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If people looked at public leveraged-buyout stocks



AP Alternative Assets

, they might think it is not good to get into LBOs as both of these stocks are down, Jim Cramer told viewers of his "Mad Money" TV show Monday.

However, just because it's difficult to find a good LBO, doesn't mean people should give up, he said. In fact, Cramer has found one LBO firm that he believes is worth buying --

Treehouse Foods

(THS) - Get TreeHouse Foods, Inc. Report


Even though Treehouse may look like a food company, it is a leveraged buyout play that is "an acquisition vehicle and a growth story," he said.

Not only was the company's last quarter "terrific," but also, with each new acquisition it makes, Treehouse brings in more earnings, Cramer continued.

What market players have with Treehouse is "a virtuous circle" because as the stock goes higher, it makes more deals as it trades stock for stock at a better rate, he explained.

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The more acquisitions it makes, the more it grows and earns, and the higher its share price goes, Cramer said. And a higher share price translates into more acquisitions.

The time to buy Treehouse is now because the company is at its 52-week high, and this "high share price is the currency it uses to buy other companies," he said.

TheStreet Recommends

Cold Steel

If people listened to the media, they would be out of "sweet" stocks such as

Oregon Steel

( OS), which is up big today after getting a takeover bid, Cramer said.

But if market players missed the opportunity to make money on Oregon Steel, they can still profit with

Reliance Steel

(RS) - Get Reliance Steel & Aluminum Co. Report

, which is cheap and could be the next takeover target, he said.

The steel industry is experiencing a "major consolidation," Cramer explained. The smaller companies should be taken over by the larger whales, except


(NUE) - Get Nucor Corporation Report

, which Cramer believes is too well run to be taken over.

Back in September,

The Wall Street Journal

picked up a story about a steel glut, and before you knew it, every major media outlet seized the story and kept potential players out of these stocks, he said.

Not surprisingly, people panicked and retreated from steel stocks.

However, the media failed to mention these stocks were already selling at five-to-six times earnings because the market had already priced in the glut, Cramer said.

All people heard about was the glut, and these stocks got "way, way too cheap," he said.

Next time people hear about such a glut, the odds are the market probably knows about it, Cramer said.

Right now it's time to buy Reliance Steel, which has good fundamentals because of a series of good acquisitions it recently made in the steel sector, he added.

Ad Hock

Interpublic Group

(IPG) - Get Interpublic Group of Companies, Inc. Report

is a turnaround story Cramer said he believes investors should get into.

Although the advertising company was a "horrid disappointment," had accounting problems and looked as if it was going straight down the last few years, Interpublic is in the process of a turnaround, he said. Further, this has not really been reflected in the stock.

If market players read the latest

Advertising Age

, they know that Interpublic recently "snagged a massive contract with


(GSK) - Get GlaxoSmithKline Plc Report

," and it has a deal with


(WMT) - Get Walmart Inc. Report

, as well, Cramer said.

Moreover, Interpublic had a good quarter by cutting expenses and raising revenue, he said. Plus, none of the company's deals are under review, which means it is not in danger of losing any customers, Cramer added.

"Wall Street is just waking up to the fact that Interpublic is turning around," he said. "The bottom has been put into this stock, and opportunity is knocking. It is a triple buy."

Cramer welcomed

Carrizo Oil & Gas

(CRZO) - Get Carrizo Oil & Gas, Inc. Report

CEO Sylvester "Chip" Johnson to the show and asked him why people should buy Carrizo when it has natural gas exposure.

"Short term, there's a little bit of uncertainty, but long term, I think the picture is pretty clear," Johnson responded. "Even in the near-term, gas storage is full, but is only about 4% higher than the highest level it reached a couple of years ago."

When asked about Barnett Shale -- a natural gas field in North Texas -- Johnson called it "a very straightforward, low-risk play," and said Carrizo has "one of the biggest anchorage positions" there for a company its size.

Moreover, Johnson said he couldn't really explain why natural gas has bottomed.

"We looked at the storage numbers and thought after the moderate summer it could go lower," he said. "We had most of our gas hedged, so we weren't worried about it in the near-term, but the fact that it has bounced back now seems a little premature to us."

People who are bullish on natural gas should buy this stock, otherwise they shouldn't, Cramer said, adding that he is not a bull.

During his "Sudden Death" round, Cramer was bullish on


(FDX) - Get FedEx Corporation Report


Automatic Data Processing

(ADP) - Get Automatic Data Processing, Inc. Report


Lightning Round

Cramer was bullish on

J.C. Penney

(JCP) - Get J. C. Penney Company, Inc. Report



(KSS) - Get Kohl's Corporation Report



(DCP) - Get DCP Midstream LP Report



(DIS) - Get Walt Disney Company Report


Banco Itau

( ITU),


(MA) - Get Mastercard Incorporated Class A Report



(EBAY) - Get eBay Inc. Report



(CSCO) - Get Cisco Systems, Inc. Report






( UAUA),

GOL Linhas Areas

(GOL) - Get GOL Linhas Aéreas Inteligentes SA Report



(FTEK) - Get Fuel Tech, Inc. Report



( NMX),

New York Stock Exchange




(KBR) - Get KBR, Inc. Report


Jacobs Engineering

(JEC) - Get Jacobs Engineering Group Inc. (J) Report


Trump Entertainment

( TRMP),


(AMGN) - Get Amgen Inc. Report


Granite Construction

(GVA) - Get Granite Construction Incorporated Report


Cramer was bearish on

American Eagle Outfitters

( AEOS),


(WSM) - Get Williams-Sonoma, Inc. Report


National Instruments

(NATI) - Get National Instruments Corporation Report





Double Hull Tankers

(DHT) - Get DHT Holdings, Inc. Report


For more of Cramer's insights during the most recent Lightning Round,

click here.

Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by

clicking here


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.