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


Jim Cramer has been naming his top five international stock picks on this week's "Mad Money" TV show.

Continuing Wednesday, Cramer announced Diageo ( DEO) as his next foreign-legion member and No. 2 international pick.

Cramer said he likes Diageo so much he owns it for his charitable trust, Action Alerts PLUS .

Not only is the England-based liquor company cheap, it also has a "mighty dividend."

Moreover, Cramer believes that Diageo is still right, even though it has had a 30% move since he first recommended it -- it's a recession-proof stock, he said.

When the economy is down, people don't stop consuming alcohol, and instead are more apt to drink more of Diageo's Johnnie Walker scotch, a bottle of which Cramer wielded on the show. (Cramer also set up a miniature linoleum floor on the show's set, sitting, legs folded, cradling the bottle of Johnnie Walker. He often jokes on Fridays that when his beloved "Mad Money" is over for the week, he has nothing to look forward to except sitting on his linoleum floor drinking cheap whiskey.)

Another reason to buy Diageo is that it's an "indirect play on China" with relatively low risk, Cramer said. In fact, after seeing how much its scotch brands appeal to the people in China, Diageo wants to target Brazil, India and Russia, too, he said.

For those Chinese who aren't able to spend as much on their alcohol, Diageo also has cheaper local brands selling in the country, Cramer said.

Diageo has also been "dominating" the U.S. and has positive volume growth in North America, where all of its brands are either No. 1 or No. 2 in their respective categories, he said.

Plus, Diageo has good marketing and low estimates, which makes this a cheap stock people should buy, Cramer said.

If you liked this article you might like

Qualcomm Nets Wireless Licenses in India

Qualcomm Nets Wireless Licenses in India

SEC Probes Other Deals: Report

SEC Probes Other Deals: Report

Cramer's 'Mad Money' Follow-Up: April 15

Cramer's 'Mad Money' Follow-Up: April 15

Cramer's 'Mad Money' Follow-Up: April 14

Cramer's 'Mad Money' Follow-Up: April 14

Cramer's 'Mad Money' Follow-Up: March 25

Cramer's 'Mad Money' Follow-Up: March 25