Cramer's 'Mad Money' Recap: Four Spec Names to Play - TheStreet

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Speculation may sound "irresponsible, reckless and stupid" to some, but protected speculation is something Jim Cramer endorses, the "Mad Money" host told viewers Friday.

The first risky name Cramer wants people to look into is Landec (LNDC) - Get Report, "a small, $12 stock."

It's in one of the hottest sectors right now -- the seed technology business -- he said. Although seed technology might not sound sexy, this speculative stock could make people some mad money, Cramer said.

High corn prices are encouraging farmers to grow more corn and deliver higher yields from the same fields, he explained. And Landec "is a speculative way to play this trend."

The company has come up with Intellicoat, a technology that keeps water from germinating planted seeds until the soil is warm enough for them to grow healthily, Cramer said. It allows farmers to plant seeds four weeks ahead of the ideal planting date.

"If corn is the next oil, then Landec is equivalent to a pressure pumper that gets more corn out of the soil," he said.

Landec's main business is to make food packaging that increases the food product's shelf life, Cramer continued. Although Landec's food packaging business is the company's "main revenue generator," what Cramer really likes is its seed technology business.

On a conservative level, he believes Landec has a 27.5% long-term growth rate. But Cramer warned people to use limit orders and not to buy the stock all at once.

Three Specs Around the Cisco

If market players want a "steady, dependable" play for the telco and cable build out, Cisco (CSCO) - Get Report is the stock to buy, Cramer told viewers.

At the same time, taking Cisco's "great" quarter as a cue, he believes it's time to get back into the speculative plays in the telco sector. While the little telco companies are "notoriously unreliable," they can be "unbelievable" when business is good, Cramer said.

Optium( OPTM) and Finisar (FNSR) - Get Report should be the biggest beneficiaries of Cisco's quarter, he said.

Opnext, which will trade under the symbol OPXT after it comes public next week, is another stock Cramer believes is levered to Cisco's performance and people should buy. However, he warned viewers to be "especially careful" and not to pay more than $16 to $17 for Opnext, "unless there's too much enthusiasm."

"If you can get in on the IPO, chances are very good that you'll make money off the initial pop," he said. "That would be the real opportunity."

Cramer warned viewers that these stocks will likely burn out fast. "They are not Cisco, and if you hold them too long they will break your heart," he said.

Cramer advised market players to sell the stocks when they're up, even if they look like they might be going higher. Otherwise, people will be putting themselves "in danger of losing money," he said.

Next Week's Game Plan

Cramer said he doesn't care for the market right now, as gold keeps rising and financials are not doing well. Plus, next week is options expiration week, which always makes things even more dicey, he said.

Therefore, people should take some profits, he said. "If you're tempted to pull the trigger, buy less," about half of what you would normally buy, Cramer advised. And he told people not to be surprised if a stock goes down even after reporting a good quarter.

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This week, Prudential (PRU) - Get Report reported a really good quarter, and Aon( AOC) talked about how good the insurance business was.

But MetLife (MET) - Get Report, which reports next Tuesday, is the big sleeper stock of next week, Cramer said. He advised people to buy it before and after it reports earnings, regardless of whether or not it gets hit, since it's best of breed and has a "tremendous" growth rate.

Cramer warned viewers of the possibility that MetLife's stock might do nothing after the insurer reports, because the market is so awful. But he said people should not panic and should buy more later in the week.

Denny's (DENN) - Get Report has a high debt situation, which Cramer said he likes because this enables it to refinance at better rates. However, he advised people to wait on buying this stock, even though he likes it.

Wait on Chipotle Mexican Grill (CMG) - Get Report to report as well and then buy it after next week, Cramer continued.

He said his long-term view on Life Time Fitness (LTM) - Get Report is still the same, and he believes people should buy it.

Buy Baidu (BIDU) - Get Report lower after it reports Wednesday, Cramer said. And buy a little Psychiatric Solutions (PSYS) ahead of when it reports Thursday as it should have a nice jump, he said.

Ring the register before Masco (MAS) - Get Report reports, because its quarter will not be good enough, Cramer said. In addition, take a little KB Home (KBH) - Get Report off the table before it reports and then go back into it after it reports, Cramer said.

Get in Daktronics (DAKT) - Get Report ahead of and after it reports.

Lastly, keep an eye on Reliance Steel (RS) - Get Report, Cramer said, adding that he expects some profit-taking in the stock. If people own it, they should consider ringing the register.

Mad Mail

In the "Mad Mail" segment, Cramer told a viewer that MasterCard (MA) - Get Report, under $100, is a gift. The stock closed at $103.60 on Friday.

However, because MasterCard was up 129% last year, he feels people shouldn't be too greedy with it.

When a mailer asked why Cramer likes Procter & Gamble's (PG) - Get Report CEO A.G. Lafley so much, Cramer said Lafley is a man that "has taken a good company and made it great."

Cramer said Lafley is delivering, and he believes that Procter & Gamble is a nice stock to buy and put away.

Lightning Round

Cramer was bullish on Disney (DIS) - Get Report, Nike (NKE) - Get Report, Under Armour (UA) - Get Report, Safeway (SWY) , Caremark( CMX), Express Scripts (ESRX) , RBC Bearings (ROLL) - Get Report, Amerisafe (AMSF) - Get Report, Avis Budget (CAR) - Get Report, AutoNation (AN) - Get Report, IAC Interactive (IACI) , Harley-Davidson (HOG) - Get Report, Home Inns & Hotels (HMIN) and Intercontinental Exchange (ICE) - Get Report.

Cramer was bearish on Finish Line (FINL) and Whole Foods( WFMI).

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

Want more Cramer? Check out Jim's rules and commandments for investing from his popular book by clicking here.

At the time of publication, Cramer was long Express Scripts.

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."

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