RealMoney Radio Recap: Make a Move, Mel

Procter & Gamble (PG Quote - Cramer on PG - Stock Picks) is a classic defensive stock, Jim Cramer said on his "RealMoney" radio show Wednesday.

In tough economic times, people don't cut out anything they make, he said, adding that P&G's portfolio might be more defensive than any stock he knows, even more so than PepsiCo (PEP Quote - Cramer on PEP - Stock Picks).

Cramer said the stock, which was recently at $58.55, is going up to at least $60 by next Friday.

Even though Procter & Gamble didn't have an excellent quarter, it is in a defensive sector and is a buy, he said.

Cramer said that if he could talk to one CEO right now, it would be Sirius Satellite Radio's (SIRI Quote - Cramer on SIRI - Stock Picks) Mel Karmazin.

It's time for Sirius Satellite to make a bid for XM Satellite Radio (XMSR Quote - Cramer on XMSR - Stock Picks), he said.

The two companies are paying too much money competing against one another, and Cramer believes that merging the two would allow Sirius to raise its prices, dictate its auto prices and get into retail with a vengeance.

In addition, he said Sirius Satellite should move now, before XM Satellite becomes stronger and gets competitive again. If they go through with the merger right now, Cramer predicted that Sirius will go from $4 to $8, he said.

Don't Back Away

Although Valero Energy (VLO Quote - Cramer on VLO - Stock Picks) reported a beautiful quarter, it is down, said Cramer.

However, his convictions on the company remain unchanged, and Cramer is not backing away from it.

When people see a company that reports beautiful numbers and still goes down, they might want to cut and run. But with Valero, Cramer doesn't believe that you should do so.

With the price of oil at its all-time high and the fact that Valero had an unbelievable quarter and has one of the most aggressive buybacks, Cramer said there is no good reason why it should be stagnant.

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