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Cramer's 'Mad Money' Recap: Beware 'Treacherous' Contrarians

Cramer agreed that Joy Global is far from a cyclical company and investors are simply overreacting to the fears in Europe. He said for investors that can weather the short-term, the time to start buying Joy Global is now.

Lightning Round

Here's what Cramer had to say about caller's stocks during the "Lightning Round":

Chesapeake Energy (CHK): "Why would I want to own Chesapeake when Devon Energy (DVN) has better assets? I don't want to own Chesapeake."

Avnet (AVT): "Cheap, cheap, cheap, cheap. It has Europe and semiconductors so people hate it, but I think that's a great story."

Dr Pepper Snapple (DPS): "I think that's a terrific stock to own here. They generate a lot of cash. I say buy, buy, buy."

Nabors Industries (NBR): "No, no. This has been a terrible performer. "

Vertex Pharmaceuticals (VRTX): "I want to be hopeful, but the latest data did not give us as much hope as we wanted. "

Red Hat (RHT): "I think they tell a good story. People get nervous and they keep selling it, so be careful. But I like it."

Walter Industries (WLT): "There's too much takeover fluff in there. I don't want to touch it."

SeaDrill Limited (SDRL): "I don't really care for this stock. I like Ensco International (ESV)."

Emerson Electric (EMR): "This is a terrific company but the industrials are hated. I'd buy it at a 4% yield."

Am I Diversified?

In the "Am I Diversified" segment, Cramer spoke with callers and responded to tweets sent via Twitter to @JimCramer to see if investors' portfolios have what it takes for today's markets. The first portfolio included: Johnson & Johnson (JNJ), ConEd (ED), Walt Disney (DIS), Randgold Resources (GOLD) and Joy Global.

Cramer said that Randgold is gold and Joy Global is mining, so he'd bless this portfolio.

The second portfolio's top holdings included: Exxon Mobil (XOM), Boeing (BA), United Technologies (UTX), Royal Dutch Shell (RDS.B) and BP (BP).

Cramer said he'd get rid of Exxon and BP and add a health-care and a utility stock like Johnson & Johnson and ConEd.

The third portfolio had: Apple, Newcastle (NCT), Kodiak Oil & Gas (KOG), AT&T (T) and Netflix (NFLX) as its top five stocks.

Cramer said this portfolio was properly diversified.

Shame on J.P. Morgan

Did J.P. Morgan Chase (JPM) CEO Jamie Dimon do well testifying in front of Congress today? Cramer's answer, who cares!

Cramer said it doesn't matter whether Dimon did well or not. He and his firm were wrong when they walked into the hearing room and were just as wrong when they walked out. The real issue, said Cramer, is J.P. Morgan was betting against the interests of its clients.

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