NEW YORK ( TheStreet) -- "On Monday we could wake up in a whole new investing universe," a cautious Jim Cramer told the viewers of his "Mad Money" TV show Friday. He said that Washington is what matters most to the markets and all eyes will be on health care, which could reignite president Obama's anti-stock agenda if it passes. Cramer said for next week's game plan, he's continuing his trend of watching and listening to conference calls to get a better read on the various sectors of the economy, and how they'll likely fair in a new, post-health care world.
Telco Turnaround PlayFor "Speculation Friday," Cramer recommended the stock of Sonus Networks ( SONS), a little $2.57-a-share telco-equipment company that makes the gear need to connect legacy phone networks to new Internet-based systems. Cramer said Sonus has been a dog since 2007, when the stock traded at $8 a share. Since then, the company has seen three restructurings, including one in 2008 and two in 2009. However, now that the company has finally improved its cost structure, Cramer said Sonus is finally looking attractive and has limited downside. Sonus beat expectations when it reported its last quarterly earnings, and as Cramer noted, the company has a diverse international customer base, which makes it not dependent on a few key clients. Cramer said even though Sonus competes with the big boys like Cisco ( CSCO), a stock which he owns for his charitable trust,
Speculative Energy PlayIn a second "speculative" segment, Cramer told viewers that there are two ways to value a company, by its share price and by the price it's worth to another company. He said that SandRidge Energy ( SD), a speculative oil and natural gas driller, is one company where the share price doesn't match its takeover value. SandRidge currently trades just two points above its 52-week low, yet the company has 1.3 trillion cubit feet of gas reserves and a great 48%-to-52% mix of oil versus natural gas production. The company operates mainly out of Texas, Oklahoma and surrounding areas and has several trillion cubic feet of additional reserve potential in the areas it serves. Cramer said SandRidge's share price has been in the doghouse because none of the company's production is hedged after 2010, and the company has $2.59 billion in debt. He said analysts fear that unless the price of gas improves, the company may not be able to service its debt after 2011. But Cramer noted that the company's share price does not reflect its value to a potential acquirer, and debt fears may be overblown as that risk is already priced into SanRidge shares, and the bulk of the company's debt does not come due until 2014. Cramer said SandRidge is priced for disaster, but with so much going right in the natural gas world, it's hard to believe the apocalypse is coming for SandRidge.
Mad MailCramer told a viewer that Iron Mountain ( IRM) is a difficult stock since it requires new business formation to thrive, and as such, will likely be a flatliner. Cramer told another viewer that Boeing ( BA) is in a multi-year move, but might be a little too hot at current levels.
Lightning RoundCramer was bullish on Wendy's/Arby's Group ( WEN), McDonald's ( MCD), Pactiv ( PTV), Temple-Inland ( TIN), International Paper ( IP), Abbott Laboratories ( ABT), Nordic American Tanker ( NAT), ATP Oil & Gas ( ATPG) and Green Mountain Coffee Roasters ( GMCR). He was bearish on Air Products and Chemicals ( APD), Tessera Technologies ( TSRA), Stereotaxis ( STXS) and Navios Maritime Partners ( NMM). -- Written by Scott Rutt in Washington D.C. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.