Cramer's 'Mad Money' Recap: Toxic-Stock Plays

He first recommended this stock 14 points ago, and although Stericycle is up, Cramer believes it is "still worth buying." Not only is Stericycle heavily regulated by the government, which keeps out competitors, but it is the "only national player in the medical-waste business," he said.

Cramer believes that the business of medical waste is good right now because it is consistent, as medical products such as needles will never get tossed out with normal garbage.

Also, Stericycle has negotiated long-term agreements with hospitals and medical centers, which means it has stable income, he said.

Bed Bath From Both Sides

Recently, Morgan Keegan downgraded Bed Bath & Beyond (BBBY Quote) based on "declining fundamentals," and at the same time Goldman Sachs upgraded the retailer based on "improving fundamentals," Cramer said.

Right now, he considers Bed Bath & Beyond to be an "expensive stock based on its earnings." But even though "its concept seems to have lost its way" and the stores have slowed because of housing, Cramer said he would not sell the stock if he owned it.

He urged his viewers to learn how to use these reports to analyze the stock by looking at both sides of the story.

On one side, Morgan said that the company's guidance is "reasonable," meaning when it reports it won't overdeliver. Morgan also said that BBBY's buyback will be finished earlier than expected, which it views as a negative, and that the store's valuation doesn't include risk factors such as deceleration of sales growth.