“Sprint was a $2 stock that everyone had given up on, a company that looked like it was headed toward bankruptcy because of its massive losses and incredible need for capital,” he said.
But due to strong execution and “sheer ingenuity” from CEO Dan Hesse, Sprint turned around and is now trading at $4. Cramer thinks it’ll go higher still.
Going in the other direction was Zynga.
“This $3 stock used to be at $15 and was much loved by Wall Street, until today when it reported a hideous quarter, losing nearly 40 percent of its value as a slew of brokerage houses took it off their ‘buy’ lists,” Cramer said. “What the heck was it doing on their buy lists in the first place, anyway?”
Guidance for Zynga was in the range of 23 to 29 cents of earnings per share. Currently, it’s 4 to 9 cents.