Cramer's 'Mad Money' Recap: The Natural Gas Stock for 2008

Redemption Time

With asset management company Legg Mason(LM Quote) facing an off year in its domestic equity funds, it is redemption time for investors who are asking for their money back from the company, Cramer said.

For six consecutive quarters, money has poured out of the company's domestic equity fund as a result of a lackluster performance in 2006 and 2007. "This is terrible news for them," he said.

Legg Mason isn't doing much about its subprime issues or litigation risk either, Cramer pointed out. "We thought we were investing in Tiffany(TIF Quote) but it turned out to be more like Home Shopping Network's cubic zirconia," said Cramer.

The funds' legendary money manager, Bill Miller, is likely to sell stocks to meet redemption, which could mean a buying opportunity for investors to pick up some knocked-down stocks. Or it could signal a rush to sell before institutional investors in some stocks crush smaller shareholders.

From Miller's portfolio, American International Group(AIG Quote), Countrywide(CFC Quote) and Capital One(COF Quote) are stocks investors should be selling, too, said Cramer.

But Miller's sale of Eastman Kodak(EK Quote), Google(GOOG Quote), UnitedHealth(UNH Quote) and Sprint Nextel(S Quote) could knock down these stocks and offer a buying opportunity for others, said Cramer.

"Do take advantage of the knockdown in Google or Sprint to buy some," said Cramer.

Mad Mail

In his "Mad Mail" segment, Cramer told an emailer that when investors are ahead on a speculative stock, they should take some profit but not sell all. "If you have a nice gain, take some off the table," he said.