Jim Cramer says it is time for investors to change their standards and start valuing stocks and companies based on evidence, instead of assuming they are guilty because of one measly fact.
Snap priced its IPO at $17 a share on Wednesday, and while many investors seemed to be skeptical to Cramer, he thinks it could be a winner right out of the gate thanks to its reach with a younger demographic.
"I am not saying we shouldn't be critical. I am saying that investors may be too negative right now about faster-growing tech," Cramer said.
This was evident when shares of Salesforce were hammered in after-hours trading on Tuesday because of a conservative revenue forecast. Cramer reminded investors that Salesforce isn't Valeant with a tattered balance sheet; it's an 18-year old company with a record of outperformance.
"In this market, you don't convict—you give the defendant the benefit of the doubt," Cramer said.
One stock in the technology space is Veeva Systems (NYSE: VEEV), the cloud-based software company that got its start helping pharmaceutical sales representatives more efficient.
It now has a platform called Vault that is built to make the life science industry more efficient while ensuring its clients comply with regulations. With the stock up more than 70 percent in the past year, Cramer spoke with CEO Peter Gassner after the company reported a strong quarter.
"We went public about three years ago and Vault was a $15 million business, now it is at a $220 million run rate and actually last quarter we announced we signed our two biggest Vault deals ever," Gassner said.
Cramer didn't count on President Donald Trump showing up on Tuesday night in front of Congress with a tone that sounded … presidential.
Apparently, Wall Street didn't, either .
"The impossible 24 hours ago now seems downright likely today, which is why we put on such a magnificent rally," Cramer said.
In addition to Trump's new measured and hopeful tones, reiterated his intent to spend on infrastructure .
Sure enough, infrastructure stocks roared higher on Wednesday.
"Emcor (NYSE: EME) and MasTec (NYSE: MTZ) are quintessential Trump stocks, the kind that have a right to roar if the new, kinder, gentler Trump comes to the hill more often," Cramer.
However, one dilemma that these stocks face is that they will require legislation in order to keep climbing. Both Emcor and MasTec could benefit if the President gets his way on various issues, but could still do well without an infrastructure bill.