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Cramer's 'Mad Money' Recap: Next Week's Game Plan

Cramer said perhaps the only stock the markets don't like at the moment is Apple (AAPL), another Action Alerts PLUS name. He said that's ironic since before a few months ago Apple was one of the bigger value creators of all time.

Speculation Friday

For "Speculation Friday," Cramer recommended, of all things, a mortgage insurer. He said that after years of being toxic, Radian Group (RDN - Get Report) may now be in a position to make up for its prior sins.

The mortgage insurers were among the biggest losers of the financial crisis, said Cramer, as millions of homeowners defaulted on their loans, sending many insurers into bankruptcy themselves. But now that the crisis has passed and lending standards have tightened, Cramer said this group won't stay dead forever -- which is why shares of Radian have rallied 250% from their lows.

The fact of the matter is that as housing recovers, it's doing so with fewer mortgage insurers still standing, and those that remain are in far better shape than they were before 2008. That's why Radian, which was the number three player, is now solidly number one, having written $37 billion in policies in 2012, an increase of 139%.

Radian is at an inflection point, said Cramer. The company expects to return to profitability this year and possibly even this quarter. With a book value of $14 a share, he said shares of Radian Group won't be trading at $8 for long.

Lightning Round

In the Lightning Round, Cramer was bullish on Verizon (VZ), VirnetX (VHC), AT&T (T), Linn Energy (LINE), Alnylam Pharmaceuticals (ALNY), BioMarin (BMRN), Aqua America (WTR), Bank of America (BAC) and LAM Research (LRCX).

Cramer was bearish on Frontier Communications (FTR), Vonage Holdings (VG), CenturyLink (CTL), Permian Basin Royalty Trust (PBT), Molycorp (MCP) and Photronics (PLAB).

Mad Mail

In the "Mad Mail" viewer feedback segment, Cramer followed up on InvenSense (INVN), which stumped him during an earlier show. He said he was too conservative in not recommending the stock in November, but sometimes being conservative means missing some upside.

Cramer was bearish on Computer Sciences (CSC), saying this company has exposure to both government spending and Europe, so he'd be taking profits. He was also bearish on Bloomin Brands (BLMN), owners of Outback Steakhouse among other chains, saying the company is fully valued and he'd only be interested under $16 a share.

When asked about Johnson Controls (JCI), Cramer said he's not a fan at the moment. Likewise with VMWare (VMW). Cramer noted he's grown tired of the "big data theme" for the moment.

Executive Decision

In the "Executive Decision" segment, Cramer spoke with Michael Landy, chief operating officer of Monmouth Real Estate (MNR - Get Report), an industrial real estate investment trust with a 5.6% yield. Monmouth delivered a three-cent-a-share earnings beat on Feb. 7 and currently has a 94% occupancy rate for its properties.

Landy said that Monmouth's strategy is to only focus on investment-grade tenants, which gives his company an "all star" lineup of blue-chip tenants including FedEx, which leases many facilities from Monmouth. Landy said FedEx has worked with Monmouth for over 20 years and has a solid, long-term relationship, which is one of his company's biggest strengths.

That's why Monmouth weathered the recession fairly unscathed and was able to sustain its earnings without cutting its dividend. There were no outward signs of recession at Monmouth, Landy said. The growth of Internet commerce continues to be a big driver for companies like FedEx, he said, which translates into continued earnings for Monmouth.

When asked about the possibility of a dividend increase in the future, Landy confirmed that Monmouth has many projects in its pipeline that can produce additional revenue.

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

-- Written by Scott Rutt in Washington, D.C.

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC
At the time of publication, Cramer's Action Alerts PLUS had a positions in AAPL and HD.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for, Inc., and CNBC, and a director and co-founder of All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of or its affiliates, or CNBC, NBC Universal or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.
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