Cramer's 'Mad Money' Recap: Solid St. Jude

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It's important that investors learn from mistakes, and Jim Cramer told viewers of his "Mad Money" show Friday that he made one on St. Jude Medical (STJ Quote).

Cramer had called St. Jude Medical a sell during the show's "Lightning Round" segment on Thursday. "I was dead wrong to say anything but that it is a screaming buy," he said. "I had a misapprehension about this great company."

St. Jude makes defibrillator leads, small electrical wires that connect implantable cardiac defibrillators to patients' hearts, Cramer explained. Recently, Medtronic (MDT Quote), which also manufacturers leads, recalled its leads because cracks were detected on some of them.

This should have been good for St. Jude, but instead Cramer said he and the rest of the market thought the stock was a sell based on this news. He wrongly thought all thin leads for defibrillators had a problem.

St. Jude's lead business is not growing that fast, but the stock should rise, because Medtronic seems to be out of the game for now, Cramer said. Plus, he said, St. Jude is not sensitive to the economy, which is what people should be looking for right now.

St. Jude lost seven points when its competitor had to recall its leads, but it should have gone up seven, Cramer said.