Cramer's 'Mad Money' Recap: Why Worry? Just Invest

Sticking With Nastech

A little speculation is good for portfolios, as long as people recognize the risk, do their homework and are careful buying the stock, Cramer told viewers. "But what happens when your stock drops the ball?"

Nastech Pharmaceutical (NSTK Quote) is one of those "yet-to-become-profitable biotechs with the ability to make you boatloads of cash if it gets it right," he said. Its edge is supposed to be its proprietary nasal system for the treatment of osteoporosis.

Moreover, it has a "virtual mosaic of drugs" in development for various diseases, Cramer added. Nastech has drugs in the works for obesity, diabetes and autism, as well as osteoporosis

Although it missed its earnings "horribly" recently, it's important to realize stocks like Nastech don't trade based on their earnings, he explained. They trade based on their drug pipeline.

Cramer said he's not ready to give up on Nastech yet. However, if people are going to stay in the stock after this miss, they have to make sure their thesis is right.

What a Crocs

On a separate note, "we had some tricks an some treats today," Cramer said. While market players got some treats with Google (GOOG Quote), they got a trick with Crocs (CROX Quote).

"I'm now saying I'm done with Crocs," he said. "I didn't like the quarter."

Am I Diversified?

During the "Am I Diversified?" game, Cramer's first player called out the following five stocks: Dow Chemical (DOW Quote), General Mills (GIS Quote), General Motors (GM Quote), Coca-Cola (KO Quote) and Weingarten Realty Investors (WRI Quote).

Cramer called out a pair in GIS and KO and advised the caller to sell GIS and pick up a defense contractor instead. He also said it wouldn't be so bad to sell Dow either because it's not doing so well.

The second caller asked if he was diversified with these five holdings: Apple (AAPL Quote), ValueClick (VCLK Quote), Cisco Systems (CSCO Quote), Level 3 Communications (LVLT Quote) and Caterpillar (CAT Quote), the last of which Cramer owns for his charitable trust, Action Alerts PLUS.

Cramer told the caller he had too tech exposure with Apple, ValueClick and Cisco. Even though he likes them all, he said he can't recommend owning them all in a single portfolio.

The last caller named these five: Diana Shipping (DSX Quote), Terra (TRA Quote), Mosaic (MOS Quote), NovaGold Resources (NG Quote) and Altair Nanotechnologies (ALTI Quote).

Cramer told the caller he had too many speculative and fertilizer plays. He suggested getting rid of some and picking up some "plain vanilla" companies.

Lightning Round

Cramer was bullish on Core Labs (CLB Quote), FMC (FMC Quote), Oceaneering International (OII Quote), Apache (APA Quote), XTO Energy (XTO Quote), Ciena (CIEN Quote), Reliance Steel (RS Quote), AK Steel (AKS Quote), United States Steel (X Quote), Brookfield Asset Management (BAM Quote) and Yum! Brands (YUM Quote).

Cramer was bearish on Concho Resources (CXO Quote), Axsys Technologies (AXYS Quote) and Schnitzer Steel Industries (SCHN Quote).

Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here.

For more of Cramer's insights during the Lightning Round, click here.