Cramer's 'Mad Money' Recap: First Solar's Bright Future

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"When it comes to solar stocks, there's only going to be one winner," Jim Cramer told viewers of his "Mad Money" TV show Thursday. "And that winner is First Solar (FSLR)."

Cramer says it's time to start buying the stock aggressively on any weakness.

Cramer: Why We Need the Uptick Rule

First Solar is ahead of other solar power companies because its panels, unlike other solar technologies, don't require expensive silicone in the manufacturing process.

Instead the company relies on its proprietary thin-film technology that is less expensive to manufacture and has efficiency ratings that are rapidly approaching that of its silicone-based competition, he says.

By driving down the cost per watt of their panels, the company could even someday approach that of oil or coal, he says. He also notes that First Solar doesn't need government subsidies to be profitable.

Cramer also likes First Solar because it does not sell into the volatile consumer market, choosing to instead focus almost exclusively on industrial and utility customers.

Plus, every candidate in the presidential race has endorsed solar energy, making it the perfect energy play for the long term, he adds.

Cramer likened First Solar to that of an early Intel (INTC), which used its technology and mass market expertise to dominate the chip industry.

Cramer sees years and years of growth for First Solar, calling it "the single best way to play green energy."

Sell Bud, Buy TAP

In the "Sell Block" segment, Cramer offered a pair strategy for playing two stocks in the beer sector. He recommended selling Anheuser-Busch (BUD) and picking up Molson Coors (TAP).

While Anheuser-Busch may hold the title of "king," Molson is the better stock, he says.

Molson's recent joint venture with SABmiller now gives the company a 29% market share. While that may pale in comparison to Anheuser's 47% share, the cost savings from the Molson-Miller combination will give the company much needed cash to grow its share.

Cramer also liked Molson for its valuation. While both companies trade at roughly 15 times 2009 earnings, Molson's 12.3% long-term growth rate makes it cheaper compared to Anheuser's 8.2% growth rate.

Cramer said Molson also deserves a higher multiple due to its international exposure: 55% of its sales are overseas compared to only 7% at Anheuser.

Go Brazil

Cramer once again turned to Brazil and recommended CPFL Energy (CPL), the country's largest privately held utility company.

Cramer said CPFL is simply a growth story. The company currently has a lock on 13% of the national power market in Brazil, and is growing at an amazing 16% a year.

The utility plans to double its generating capacity in the next five years to meet growing demand. It's currently adding new customers at a rate of 5.2% a year.

The company is also growing through acquisition, but Cramer noted it's not willing to overpay for the assets it acquires. The company also offers a 7.8% dividend yield.

CPFL is the way to play the growing demand for electricity in Brazil, Cramer says.

Mad Mail

In this segment, a viewer asked why the market puts Ebay (EBAY) at a higher valuation than Valero (VLO), a company with higher earnings per share.

Cramer said the markets value companies based on their future, not current, earnings. With oil margins declining, Valero is not as valuable as Ebay, a company with accelerating earnings growth.

More on RIM

In a final note, Cramer clarified his outlook on Research In Motion (RIMM), saying that while he still liked the stock, he needed it to come down before purchasing it again.

He also touted his recommendation of US Steel (X) at Penn State University last week. That pick is up a quick 13 points.

Lightning Round

Cramer was bullish on El Paso Corp (EP), Corning (GLW) and BP (BP).

Cramer was bearish on Intercontinental Hotels (IHG), Pfizer (PFE), NewMarket (NEU), Citrix Systems (CTXS), Dendreon (DNDN), Sandisk (SNDK), Live Nation (LYV), Bear Stearns (BSC) and Fuel Tech (FTEK).