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Cramer's 'Mad Money' Recap: Cheap Eats

Cramer also likes NL because only two analysts cover the stock, and they both "hate it," he said. The analysts' opinions are bound to change, he said, once price increases go through thus rendering the analysts' earnings estimates too low. Additionally, Cramer wouldn't be surprised to see new analysts covering the stock.

Finally, a number of insiders have recently purchased shares.

Cramer feels it is safe to "pull the trigger" on NL even though the stock was up more than 11% Friday, ending the regular trading session at $16.02.

A caller asked about other chemical plays. Cramer said he considered recommending NOVA Chemicals (NCX), but it is "not that good a company." Furthermore, the chemical business overall is not a good business right now because its "feed stock," oil, keeps getting more expensive.

Cramer also mentioned Titanium Metals (TIE) as a possible play on the titanium dioxide shortage but cautioned that like NL Industries, Titanium Metals' stock is "tough to buy" because of the low volume it trades daily.

Riding a Buyback

Buy Goldman Sachs (GS) and let its buyback lift the stock for you, said Cramer.

Goldman Sachs "knows how to buy back stock," said Cramer. The company bought back stock last quarter, and the stock is now trading 12% higher than it was during the buyback, he said. Goldman just announced another buyback this week, and Cramer expects similar results.

Lockheed Martin (LMT), on the other hand, also announced a buyback this week. But, Cramer said Lockheed's track record isn't so rosy. Last quarter, Lockheed bought back stock, and the stock is now trading about 5% lower, he said.

The bottom line, said Cramer, is not all buybacks are created equal. Goldman Sachs knows how to do a buyback. Lockheed Martin "accomplished nothing" with its last buyback and will probably fail again, he said.

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