After a series of blockbuster earnings that blew past even the most optimistic of Wall Street expectations, Apple Inc. [stckqut]AAPL[/stckqut] felt the pain of falling short of elevated expectations.

Apple said Tuesday its profit surged 38%, aided again by strong demand for the company’s latest iPhones and robust growth in China where sales more than doubled. The gains lifted Apple’s cash reserves to a record $203 billion.

But while Apple sold 35% more iPhones in the fiscal third quarter compared with a year earlier, those sales missed some analysts’ estimates. Apple also indicated its revenue in the current quarter could come in below Wall Street projections.

Source: Apple iPhone Sales, Up 35%, Disappoint

Cramer was mesmerized when he heard the Netflix [stckqut]NFLX[/stckqut] conference call. The stock rallied 18% after the quarter and is up 137% for the year on the split adjusted basis. Cramer discussed what he learned from the conference call and where he thinks the company is headed.

Netflix is way too big for just a $43B market cap. The company has original content that is being built into almost all the TV streaming services in the world. The company has a solid grip on internet and technology. Secondly, the total addressable market for the company is more than 400M subscribers. Customers get unlimited movies and shows at a bargain price. Almost everyone can afford it. Thirdly, the original content is brilliant and is putting the customer first instead of being dictated by advertisers. Lastly, the management is not under promising and over delivering on purpose, they instead do not know how good they are. The company keeps giving what customers want and the subscribers are increasing as always.

“Stop saying ‘Holy smokes, Netflix is now bigger than X or Y or Z television or entertainment company.’ Get used to it. It should be,” said Cramer. He thinks that it will take a big effort to screw up this wonderful company. He thinks that $150 is a realistic target for this stock.

Source: Netflix Is Still Undervalued – Cramer’s Mad Money (7/16/15) | Seeking Alpha