'Mad Money' Spotlight: Cramer Bags Wendy's

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Wendy's/Arby's(WEN Quote) may have been rated by Zagat as the best fast-food chain, but worldwide demand still flows the way of McDonald's(MCD Quote) -- which is why Jim Cramer said during Wednesday's "Mad Money" that he cannot stomach the notion of recommending Wendy's.

"It is too expensive and it doesn't have the momentum and it's not as well run as McDonald's," he said.

Wendy's did manage to narrow its loss in the first quarter, as revenue more than doubled. The company recorded a loss of $10.9 million, or 2 cents a share, compared with a loss of $67.5 million, or 73 cents, in the year-ago period.

But Cramer says Wendy's $4.03 share price is just too high.

Restaurants, overall, have been struggling during the recession, but McDonald's has been able to pull ahead due to its value pricing.

McDonald's closed at $57.36 on Wednesday. The largest fast-food chain saw same-store sales jump 5.1% in May.

And during McDonald's shareholder meeting last month, CEO Jim Skinner said momentum is expected to continue through the second half of the year.