“Really, why should there be any confidence? You have some people signaling that the euro should be broken up. Others love it. Some want bonds printed by the ECB. Others think that’s preposterous. You have banks in Europe that would have been shuttered in the U.S. years ago because of their reckless lending. The U.S. has standards, at least. Europe has nothing — no real rules at all.”
“In short, it doesn’t really matter at this point how well a company is doing in Europe. The fact that it is in Europe means it is subject to these inanities — and, in the end, that’s all that really counts.”
So this is Jim Cramer’s view about Europe. We all know Cramer’s controversial positions and statements. Again, I think his view is too simplistic, I agree that Europe is a bag of cats, but you cannot discard any European company just because “it is in Europe,” specially when more than half of its profits come from outside of Europe.
In my opinion that is a populist view, from a guy that has better knowledge of the US market and is not even trying to see all the components of the European reality, and one of the components is that this crisis has led many stocks to hard discount prices.