RealMoney Radio: Here's to UnitedHealth

Cramer reflects on the company's CEO, who made lots of money for shareholders and himself.
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Executive pay is the central issue in the battle raging over

UnitedHealth

(UNH) - Get Report

and its CEO Dr. William McGuire, Jim Cramer said on his

"RealMoney" radio show Tuesday.

Cramer said that the company, led by McGuire, has been the greatest-performing stock of the last decade and has created the most wealth for its shareholders. Cramer owns the stock for his charitable trust

Action Alerts PLUS.

And because of a deal made by McGuire, the CEO now has $1.6 billion in stock options.

But Cramer also said that while McGuire told his board that if he could beat the market by a huge margin he would want a percentage, he also said that if the company didn't perform that he would accept compensation much lower than that of other CEOs.

McGuire did a great job and got the upside, said Cramer. The company was up 41% last year alone, and even though the stock has fallen along with other health care plays, he said that is one of the best-run players in the sector.

"When you make a lot of money, the press will crucify you," he said, adding that McGuire made shareholders a lot of money and created a deal that would allow him to profit from it.

Cramer said he had no idea whether McGuire backdated options, but he told listeners that it's important to look at what a CEO accomplishes for you as a shareholder.

And, he said, "there has been no greater wealth creator than Dr. Bill McGuire."

In other media news not to get caught up in, Cramer told listeners to plow ahead, do homework and invest in great stocks, no matter what noise was being generated about the

Federal Reserve

.

A commentator on

CNBC

said she spoke with Fed Chairman Ben Bernanke over the weekend, and the word was he did not intend to move the markets when he said that the rate tightening might be over, Cramer said.

But Cramer emphasized that the market reacting to possible, but unconfirmed, Fed moves is not new; and he added that "the role of the Fed chairman is to ... not let you know what he's thinking."

Cramer has said time and again that the industrial sector is on fire, which includes a lot of large-cap, blue-chip names.

But for smaller companies, he said to look no further than the fiber-optic network being introduced right now.

Verizon

(VZ) - Get Report

reported earnings Tuesday, and Cramer said that the company believes that by offering more intense services, including video-on-demand, it will get out of the dilemma caused by the fact that fewer people want a landline.

One way to win here, Cramer said, is with

JDSU

(JDSU)

, a company that tests fiber-optic lines.

JDSU reports earnings tomorrow, and Cramer said it is likely that the company will move higher, and then fall to profit-taking. This has been the pattern for

Conexant

(CNXT) - Get Report

,

Valero

(VLO) - Get Report

,

Cummins

(CMI) - Get Report

and

Alcan

(AL) - Get Report

. Cramer owns Alcan for

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If JDSU follows this pattern, Cramer said he would be a buyer of the stock on weakness.

And if gold seems too expensive at these levels, Cramer said to look into silver.

He doesn't recommend buying any actual commodities, and he said that the companies he would look at that are levered to silver include

Silver Wheaton

(SLW)

and

Pan American Silver

(PAAS) - Get Report

.

To see the most recent edition of The RealMoney Radio Recap in its entirety, please click here. This recap is published every day around 3 p.m. ET.

At the time of publication, Cramer was long UnitedHealth Group and Alcan.

James J. Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for

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