Jim Cramer's first "RealMoney" radio caller Friday wanted to know whether he likes

Bristol-Myers Squibb

(BMY) - Get Report


Cramer said that he likes the drugmaker, which he owns for his

charitable trust, because he thinks it will merge or be bought. He also said it has a lot of good drugs in the pipeline.

However, he warned that Bristol-Myers isn't without risk in the short-term because its drug Plavix has been pummeled by generic compeition.

Still, combining Bristol-Myers with



, another

Action Alerts PLUS stock, makes a lot of sense because it would create a "drug powerhouse."

He recommended buying both companies -- Bristol-Myers because it pays a 4.4% dividend, and Schering-Plough because he believes Chief Executive Fred Hassan is "the single-best manager in the pharmaceuticals area."

Meanwhile, the market appears to believe a spate of energy projects are going to be canceled, Cramer said to a caller, which is why stocks like


(FLR) - Get Report


Jacobs Engineering

(JEC) - Get Report

are down. But he also sees the problems with energy prices as a short-term situation and thinks that many of the projects will eventually have to be built.

He told another listener to sell her position in


(AA) - Get Report

. While aluminum may not be a loser forever, he said Alcoa won't bounce back because it's a poorly run company. Cramer was bullish on


(PEP) - Get Report

, which he said could hit $70 from its current level at $64. Its Frito-Lay division is doing well and its beverage division is beating out


(KO) - Get Report

, he added.

Finally, Cramer said the pessimism about



has been priced into the stock, and it may not have much further to fall. However, he still prefers


(AMGN) - Get Report






(GILD) - 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 Bristol-Myers Squibb and Schering-Plough.

Jim 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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