The desire of mineral companies to buy "undermanaged" companies is so great that they can't resist the recent Alcoa (AA Quote) acquisition frenzy, Jim Cramer said on the TheStreet.com TV's Wall Street Confidential video Tuesday.
"Everybody recognizes that Alcoa has been a country club and it's time for it to change," he told host Gregg Greenberg.
Cramer said it's more likely the Rio Tinto (RTP Quote) will buy Alcoa; the other rumored suitor is BHP Billiton (BHP Quote). Cramer believes Rio Tinto is in the lead because after deciding to return a "huge amount of money" to shareholders via buybacks, BHP Billiton doesn't have the "wherewithal to do the Alcoa deal."
Speaking of returning money to shareholders, Cramer said he doesn't like 3M's (MMM Quote) recent buyback, even though the stock is up about $2 today. ...
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