Cramer's 'Mad Money' Recap: Taking Advantage of the Pullback (Final)

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NEW YORK (TheStreet) -- "Forget the averages, we need to invest in stocks on a case-by-case basis," Jim Cramer told the viewers of his "Mad Money" TV show Thursday.

He said that while the market struggles to realize that things really are better than they were last year, there are a host of stocks that are far cheaper than they should be.

Cramer said it's clear that while things are not great in American business, they aren't horrible either. There are a lot of bright spots, he said: Job losses are declining, credit card delinquencies are down, housing inventory is falling and retail sales are stronger than expected, just to name a few. So in Cramer's opinion, stocks deserve to be higher than they were. The question is: How much higher?

The S&P 500 average is up 30% from its lows, said Cramer, and using that average, we can find stocks that aren't up enough given how well they're doing.

He said that McDonald's (MCD Quote) is barely up year over year, despite boosting its dividend and raising its same-store sales. He said that steel maker Nucor (NUE Quote) is unchanged year over year, which makes that stock too cheap as well.

Cramer said that in the shipping sector FedEx (FDX Quote) has gains of 15% on the year, but rival UPS (UPS Quote), a stock which he owns for his charitable trust, Action Alerts PLUS, is flat, which makes that stock too cheap as well.

Cramer also highlighted other groups he's featured as of late, including agriculture, with Deere (DE Quote) and Monsanto (MON Quote) getting the nod in that group.