Cramer's 'Mad Money' Recap: Money Managers 101

"But at the same time, it must so clearly be bought," Cramer said.

Alaska recently turned down some of Exxon's leases to drill, but the stock is still up, he said. And on "Black Monday," when the market was down 150 points, Exxon was up.

The bottom line is Cramer may not be able to stand Exxon, but he still believes it's a buy because the mutual funds have been buying this stock.

Although people may be under the impression that Exxon is up because the price of oil is up, this is only a small part of why the stock has risen, he explained. If this were wholly true, then stocks like Chevron (CVX Quote) and ConocoPhillips (COP Quote) would be up as well, and that has not been the case, Cramer said.

The real reason why Exxon has gone up is actually "stupid" and has nothing to do with the company's fundamentals, he continued.

"It is on a roll because some large mutual fund families have decided they don't really know where oil is going but their portfolios need some exposure that has the look and feel of oil," Cramer said. "But they are also worried about having exposure to the commodity of oil because they don't believe in it."