Hot technology trend should benefits this stock, says Cramer

(Click for video linked to a searchable transcript of this Mad Money segment)

Investing in technology stocks can seem so complicated. Cramer likes to keep it simple.

And he believes the simplest thing any investor can do is identify trends that should generate momentum for some time to come – and then determine which companies are best positioned to leverage the trend.

Cramer thinks one of the biggest trends in tech today is the touchscreen. In fact, Cramer believes the new touchscreen technology has become so appealing and easy to use that he thinks it could help renew interest in PC's. Read More: Cramer Old Tech, New Favorite

And if any company stands to benefit from the touchscreen trend, Cramer thinks its Cypress Semiconductor due to its TrueTouch technology. "They're behind the touchscreen chips in countless non-Apple products," Cramer explained.

Image Source | Getty Images

That alone sounds like a big reason to be bullish on Cypress, but as it turns out, it's not the only reason Cramer likes this stock.

"They also sell what are known as programmable systems on a chip—these are small, low power semiconductors used in all kinds of devices, especially phones and tablets," he said. With gadgets becoming more popular in the developing world, Cramer thinks this stock stands to benefit.

"Also Cypress is the market leader static random access memory chips, or SRAM, which is more of a commodity business, but still a huge opportunity because Samsung recently got out of the SRAM game, giving Cypress a lot of room to take share."

All told, the Mad Money host likes the potential. And he believes the company's latest earnings confirm his bullish outlook.

Read More from Mad Money with Jim Cramer
Cramer turns top hedgie theme into individual stock plays
As Yahoo! disappoints, Cramer sees 3 things to shout about
Amid controversy, American Tower goes 'Mad'

On July 18th, Cypress Semiconductor reported $0.14 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.07 by $0.07, reports. The company had revenue of $193.47 million for the quarter, compared to the consensus estimate of $182.79 million.

"As far as I'm concerned if you want to know what's working in tech right now, it's Cypress," Cramer said. "This stock should have more room to run."

Call Cramer: 1-800-743-CNBC

Questions for Cramer?

Questions, comments, suggestions for the "Mad Money" website?