Oil Optimism: Anadarko Petroleum (APC) Kerr-McGee (KMG RETIRED), Western Gas, and Alcan (AL (defunct)) - Cramer dismisses rumors about oil inventory being high, especially after the $21 billion merger on Friday between APC, KMG and Western Gas. He sees the same pattern that occurred in 1987, when crushed stocks were being picked up in a mad rush of mergers. Therefore, Cramer suggests taking advantage of the low price of oil, copper, coal, aluminum and gold stocks, and buying into companies like Alcan (AL (defunct)), which is the cheapest aluminun.
Missing the Boat: Microsoft (MSFT) - Cramer believes that Microsoft is making a mistake by planning to get into the internet search business instead of acquiring Yahoo! (YHOO). He notes that buying back stock and raising dividends has not worked for MSFT, and thinks that the best use of company funds is purchasing YHOO rather than trying to compete with it.
New Momentum for General Motors (GM) - After suffering from rumors of bankruptcy and declining market share, management has revitalized GM through stock buybacks, controlling healthcare costs, and boosting sales. Although it is not yet a blue chip, Cramer believes that GM is a buy.
CSX (CSX): Cramer believes that this railroad company, which transports ethanol and coal, is the best in the country, and is a buy.
GlaxoSmithKline (GSK): Cramer touts GSK as the best drug company, and the only one he believes can report a great quarter without a takeover.
UnitedHealth Group (UNH): This company recently won a lawsuit, and Cramer is not worried about the investigation of CEO Bill McGuire concerning options backdating. Goldman Sachs, which is usually pessimistic about health stocks, is now saying that it has been too tough on the sector. Cramer would buy UNH.
Walgreen (WAG): Cramer is bullish on this company, calling it a “best of breed” stock.
Allstate (ALL): This company has cancelled its coverage in high-risk coastal areas, notes Cramer, and is expected to rise.
Allegheny Technologies (ATI): Cramer thinks this company is better-run than Titanium Metals.
Accenture (ACN): Cramer prefers this company to Sapient (SAPE).
Advanced Micro Devices (AMD): Cramer praises this company for producing fast, cheap, high-quality products.
NRG Energy (NRG): Although this company was recently rewarded a multi-million dollar project, it is still cheap, notes Cramer.
AAR (AIR): Cramer believes that this company may be acquired by Boeing (BA).
Citrix (CTXS): Cramer is bullish on this stock.
Anadarko Petroleum (APC): Although this company made a $21 billion acquisition, Cramer would not buy it, because it will take months before the deal will close.
Cisco (CSCO): Cramer is bearish on this company because it is “stalled.”
Crystallex International (KRY): Although this company has a gigantic gold mine in Venezuela, the country’s government is holding up progress. Cramer would get out of this speculative stock when it moves to $4 or $5.
Intel (INTC): Cramer calls this company “dead money,” and says that it is run by salespeople now rather than engineers.
More: Cramer's latest stock picks, including: Mad Money Recap, Lightening Round, Stop Trading and his Radio Show.