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Cramer's 'Mad Money' Recap: Economists Don't Know Stocks

Finally, there's Onyx, a larger, $6.2 billion company with three products on the market treating five different indications. With over $1 billion in sales so far, things look bright for this biotech, which has a potential $5 billion breast cancer treatment in the works. With no new approvals expected soon, Cramer said investors can also wait for this stock to offer a good entry point before buying in.

Lightning Round

In the Lightning Round, Cramer was bullish on Acadia Pharmaceuticals (ACAD), Magnum Hunter (MHR), McDonald's (MCD), Panera Bread and Seadrill (SDRL).

Cramer was bearish on SandRidge Energy (SD), Wendy's (WEN), Transocean (RIG) and Plains Exploration (PXP).

Executive Decision: Jack Fonss

In the "Executive Decision" segment, Cramer continued his crusade against highly-leveraged ETFs by sitting down with Jack Fonss, CEO of AccuShares, a company hoping to offer investors some clarity on what these complex financial instruments are all about.

Fonss said that while the ETF market started out with good intentions, it has involved into a mess that no investor can understand. He said many of the levered ETFs, while marketed as great for professional traders, are really good for no one because they rebalance daily and often produce extremely poor results.

Fonss said that in a market that is only going up or only going down, some of these instruments may make money, but in a normal market with both ups and downs they simply don't work.

Compounding the problem is there are now some 15,000 ETF products and many investors aren't doing their due diligence to understand what the funds actually do. The US Natural Gas ETF (UNG), for example, doesn't invest in natural gas, it invests in natural gas futures that do not trade in tandem with the commodity as individual investors may think.

Fonss' company, AccuShares, hopes to solve this problem by offering funds that stick to what he described as the three best practices for ETFs: holding only liquid assets, holding them consistently and doing so in a transparent manner.

Cramer lauded Fonss for his efforts in helping individual investors and vowed to have him return as soon as AccuShares initial funds are available for trading.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer responded to the analysts who have once again become enamored with restaurant stocks. He said our nation is a lot richer than most people realize, which is why the earnings are on a roll at chains including Panera Bread and Starbucks (SBUX).

Cramer said the restaurant stocks will also be helped by falling food and gasoline costs, which are not factored into many estimates.

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 position in AAPL.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com 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 TheStreet.com, 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 TheStreet.com 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, TheStreet.com 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 TheStreet.com, 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 TheStreet.com. 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 TheStreet.com, 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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