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" In a time of sky high oil prices and high food prices, the only group that's semi-immunized is health care," Jim Cramer told viewers of his "Mad Money" TV show Friday.

With the Amex Drug Index at just 301 points, 60 points off its high, the bear has already visited the healthcare group. With big money managers needing to invest their money somewhere, the healthcare group is where they're headed. "Big money managers can't hide in cash; they need to invest," he said.

Cramer recommended

CR Bard

as the last in his series this week of favorite healthcare names. CR Bard manufactures catheters and other surgical supplies and devices. The stock has fallen from a high of $188 in March, 2007, giving it huge potential upside.

According to Cramer, CR Bard has many new products coming which will help propel its growth. In addition to new products to help prevent hernias and new catheters for its surgical supply business, the company is introducing devices to help prevent hospital-contracted infections. Cramer noted that Bard now derives 10% to 15% of its sales from these new, "sexier" medical devices.

With a 14% long-term growth rate, Cramer said big money managers will be lining up to invest their cash in CR Bard, and he told investors to get in now ahead of the trade.

Cramer Wrestles the Bear

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A Ripe Takeover Target

For "Speculation Friday," Cramer reflected on the acquisition announced earlier this week of

Rohm & Haas

(PPG) - Get Report


Dow Chemical

(PPG) - Get Report


He said

PPG Industries

(PPG) - Get Report

could be the next possible takeover target. With a 3.8% dividend yield, Cramer said PPG is the safest way to speculate on a takeover.

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PPG shares are down 13% since just May 30, making it the perfect entry point, he said. Cramer praised the company's strong management and said they are committed to increasing shareholder value.

With 53% of its sales overseas, Cramer said PPG is a safer stock than investors might think since it had only 25% of its sales overseas just two years ago. The company also has only 5% exposure to housing and only 15% exposure to the automotive industry.

Cramer, a fan of PPG's aerospace and specialty products divisions, is also bullish on its recent acquisition to get into the alternative energy space. The company now derives 5% of its sales from coatings for solar cells and windmill blades.

Cramer said PPG and its peers are incredibly cheap. If the company were given a more realistic multiple, Cramer said the stock should be worth $81 a share. "Even without a takeover, PPG is cheap," he said.

Game Plans

"The speed in which

Freddie Mac

( FRE) and

Fannie Mae

(FMN) - Get Report

evaporated was just frightening," said Cramer.

Cramer rolled out his own game plan to deal with the crisis. He said the administration should guarantee all debt from both companies and take 20% of the companies in warrants. By doing this, mortgages would be become the new treasurys, and investors would scramble to buy mortgages and sell treasurys.

He predicted the mortgage market would rally under this plan, which he said is not a bailout, with liquidity flowing back into the system. Furthermore, his plan could lower mortgage rates, stop the decline in housing and send bank stocks from bear to bull.

Looking at next week's earnings reports, Cramer recommended picking up


( DNA), buying half a position before the company reports on Monday and the other half after.

On Tuesday, Cramer said he'd be bullish on both


(ETN) - Get Report


Johnson & Johnson

(JNJ) - Get Report

, calling Johnson "probably the best story of the week."

Cramer said he's no fan of


(INTC) - Get Report

, which also reports Tuesday, but would consider

VF Corp

(VFC) - Get Report

, which has already indicated better-than-expected earnings.

On Wednesday, Cramer said he'd be a buyer of

YUM Brands

(YUM) - Get Report

ahead of the Olympics, but would wait until after its earnings are announced.

For Thursday, Cramer said he's bullish on


(KO) - Get Report

and might consider

JP Morgan

(JPM) - Get Report

ahead of its earnings, but only if the markets get hit earlier in the week.

Cramer said he's bearish on


(AMD) - Get Report



(IBM) - Get Report



(MSFT) - Get Report


Merrill Lynch

( MER), all of which report on Thursday.

OK on Natural Gas

Cramer welcomed Katie McGinty, Pennsylvania's secretary of environmental protection, to the show to discuss the state of oil and natural gas drilling, particularly in her state's oil shale regions.

McGinty called oil and natural gas a huge natural resource that's a great economic opportunity for her state.

She said the state has plenty of water to support drilling, but her agency wants a better set of rules for drilling companies to follow. McGinty said that there are adequate water treatment facilities in place to handle the waste needs of increased drilling.

McGinty said that in the past three years, her state issued approximately 25,000 oil and natural gas permits, and the Marcellus shale region has been granted 130 permits so far this year.

Asked about the recent decline in coal output, McGinty said the shortfall has nothing to do with a shortage of coal, but rather with supply and demand pricing.

Cramer continued to support the oil and natural gas drillers.

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Lightning Round

Cramer was not bullish on any stock. He was bearish, though, on


(RNWK) - Get Report


Continental Resources

(CLR) - Get Report


Regions Financial

(RF) - Get Report


Natus Medical



(CIEN) - Get Report


Skyworks Solutions

(SWKS) - Get Report


Want more Cramer? Check out Jim's rules and commandments for investing by

clicking here


For more of Cramer's insights during the Lightning Round, click here


At the time of publication, Cramer was not long on any stock.

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.