Cramer's 'Mad Money' Recap: Cost Dialysis

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The Germans have finally conquered America ... with dialysis machines, Jim Cramer told viewers of his "Mad Money" TV show Friday.

And that's why he believes it's a good idea to take a look at Fresenius Medical Care, a stock he said he would rather buy in Germany than in the U.S., where it's thinly traded (FMS Quote).

Medicare can now spend more on dialysis treatment, one segment of its coverage that has not been automatically indexed to inflation and consequently didn't get boosted each year.

And no matter how you cut it, Cramer said, this decision will automatically put money into Fresenius' pockets because it is a perfectly vertically integrated dialysis company that makes the products and provides the services necessary to deal with kidney failure.

It will make more money now that the government is paying more for dialysis, he said, adding that it's also a play on aging baby boomers. Whether or not this demographic has more kidney problems than the preceding generation, he pointed out that boomers comprise a huge portion of the population so there will be more people with kidney problems.

Even though the company took on $500 million in debt for an acquisition, he said, it took on a growth business with quick payback to debt. So in this case he would overlook the debt.

He also said that he believes DaVita(DVA Quote) is a good stock, and that it would be OK to buy it along with Fresenius.