Cramer's 'Mad Money' Recap: Milk Macao Casinos

On Aug. 22, American Woodmark posted "truly terrible" numbers that have continued its slide. The stock is down 38% from its high in February. However, it recently increased its dividend 50% to 9 cents a share. It's a great sign when a company raises its dividend even though its stock is down, Cramer said.

Beyond its dividend, Cramer said that the company has a good balance sheet. It also has strong believers in Home Depot (HD - Cramer's Take - Stockpickr) and Lowe's (LOW - Cramer's Take - Stockpickr), where it gets 60% of its cabinet sales.

Cramer believes that American Woodmark, which is levered to the awful housing industry, is not going to go immediately up, so investors should wait at least five days before pulling the trigger and use limit orders, he said.

Drug High

Cramer believes that big things are ahead for Onyx Pharmaceuticals (ONXX - Cramer's Take - Stockpickr), whose Nexavar might be "the next unbelievable blockbuster" drug, he said. .

Cramer welcomed Hollings Renton, Onyx chairman and president, to the show to talk about what's ahead for his company. Renton echoed Cramer's assessment of Nexavar, saying that the drug is in its trial stages but is showing tremendous promise in fighting liver cancer.

Renton pointed out that Onyx reported $80 million in sales in the second quarter. But he insisted that the stock should not be affected by economics.