Skip to main content

Click here for an archive of Cramer's "Mad Money" recaps.

When does a loser stock make you mad money? When it's

US Steel

(X) - Get United States Steel Corporation Report

, Jim Cramer told on his "Mad Money" TV show Friday.

Even though he's not a fan of the steel sector, US Steel is an incredible takeover target, Cramer said.

That's because there are three companies getting ready to bid for


, a Canadian steel company that is the same size as US Steel and in the same business as US Steel, he said.

The two companies that don't get Dofasco will be looking for someone else, and US Steel is dirt cheap, according to Cramer. And he thinks that makes US Steel the next logical choice.

CSFB upgraded US Steel partly on the basis of takeover speculation, and that even if consolidation doesn't happen speculation could drive the stock higher, Cramer said.

However, he warned, it's not worth owning if it's not a potential takeover target.

A caller asked whether carbon fibers are a good investment or a speculative play. Cramer said to be very careful about choosing a carbon fiber stock, but recommended looking into


(CBT) - Get Cabot Corporation Report


TheStreet Recommends

ISE Offers Investment Option

Stock platforms have been on fire, Cramer said, and now it is time for

International Securities Exchange

( ISE) to play catch-up.

Its stock will move because it's an options exchange, he said, pointing out that the options market has grown at a 17% compound annual growth rate, a lot faster than the equity market.

Image placeholder title

Plus, he said, there's still pricing power in the options market.

There is no reason to expect ISE's excellent growth picture to change since it has a top reputation among traders for superb execution, he said.

And to sweeten the deal, Cramer said it traded at 30 times earnings, in line with its peers, but is growing faster and taking more market share than the competition.

The Seven Samurai

Cramer presented the final member of his "Seven Samurai" top picks in Japan,

Matsushita Electric Industrial

(MC) - Get Moelis & Co. Class A Report


Japan is turning around. Big-screen plasma TVs are hot and Matsushita is making itself into a flat-screen powerhouse, he said. In fact, Cramer said he'd rather own Matsushita at $22 than


(GLW) - Get Corning Inc Report

at $24.80.

He said that Matsushita intends to control 40% of the plasma market by 2010, and that means 10 million units.

The company is well-positioned to be the No. 1 player because it's upping its production capability faster than the competition, he said, pointing out that it's opening plants sooner than expected and plans to spend $1.57 billion on a plasma TV plant in western Japan.

That would give Matsushita the biggest plasma TV production capacity in the world, Cramer said.

He told a caller that even though


(SNE) - Get Sony Corp. Report

is boosting its plasma TV business, the stock is only going higher because the Japanese economy is turning around.

Cramer was asked which of his Seven Samurai plays he would choose if he could only have one.

He said that the finance play

Mitsubishi UFJ


would be his pick of the group, which also includes











(HMC) - Get Honda Motor Co. Ltd. Report



(TM) - Get Toyota Motor Corp. Report


Mad Mail

Reaching into the "Mad Money" mailbag, Cramer answered a viewer who asked why



is trading higher than


( CMGI).

Cramer said it's because CMGI hasn't turned around, while JDSU has improved dramatically and diversified.

He agreed with a viewer who noted that

Occidental Petroleum

(OXY) - Get Occidental Petroleum Corporation Report

is very cheap, adding that he owns it for his

Action Alerts PLUS charitable trust.

But he said to stay away from

Guangshen Railway

(GSH) - Get Guangshen Railway Co. Ltd. Report

because he would stay away from the Chinese equity market altogether.

He commended a viewer for pointing out home health care company

Matria Healthcare's

(MATR) - Get Mattersight Corporation Report

potential upside given the fact that chronic illnesses such as diabetes are on the rise.

And finally, he said that there's still money to be made in

Under Armour

( UARM).

Lightning Round

Cramer was bullish on

Peabody Energy

(BTU) - Get Peabody Energy Corporation Report



(GOOG) - Get Alphabet Inc. Class C Report


T. Rowe Price

(TROW) - Get T. Rowe Price Group Report



(CAL) - Get Caleres, Inc. Report


GOL Linhas

(GOL) - Get GOL Linhas Aéreas Inteligentes SA Report





Chesapeake Energy

(CHK) - Get Chesapeake Energy Corporation Report


Cooper Cameron




( TRAD),

Reynolds & Reynolds

( REY),

Johnson Controls

(JCI) - Get Johnson Controls International plc Report



(PII) - Get Polaris Inc. Report



(HPQ) - Get HP Inc. Report



( THE),





(RIG) - Get Transocean Ltd. Report



(ENG) - Get ENGlobal Corporation Report


Aqua America

(WTR) - Get Aqua America, Inc. Report


Cramer was bearish on


( SUF),




JetBlue Airways

(JBLU) - Get JetBlue Airways Corporation Report



(DELL) - Get Dell Technologies Inc Class C Report



(SCS) - Get Steelcase Inc. Class A Report



( ASVI),





(EC) - Get Ecopetrol SA Report


Suntech Power



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 latest book by

clicking here


At the time of publication, Cramer was long Aqua America and Occidental Petroleum.

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. 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.