Cramer's 'Mad Money' Recap: Cashing In Casino Stocks

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"You need to seriously consider selling your casino stocks before they lose you even more money," Jim Cramer told viewers of his "Mad Money" TV show Thursday.

Worried about a serious downturn in the gambling industry, Cramer says he's putting casino stocks on the sell block. He was particularly bearish on Las Vegas Sands(LVS Quote - Cramer on LVS - Stock Picks), which missed earnings estimates by 19 cents a share the last time it reported, and also on Wynn Resorts (WYNN Quote - Cramer on WYNN - Stock Picks).

He also recommends selling MGM Mirage (MGM Quote - Cramer on MGM - Stock Picks), which sports a negative rating despite recently beating earnings estimates. Noting MGM is preparing to buy back a portion of its outstanding shares, he says he would use the opportunity to sell every share "before everything falls apart."

Cramer says casino stocks are propped up by high real estate values that are rapidly deteriorating. He also notes the increasing cost for travelers to go to Las Vegas, as gas and other commodity prices continue to rise. Overbuilding in Las Vegas is another problem because it's leading to an oversupply of casinos and other properties, he says.

Another major disappointment has been casinos in Macau, where estimates for growth in gambling revenue had been for 75% but may actually turn out to be as low as 40% to 45%.

All these points signal a serious industry downturn, leading Cramer to say now is the time to sell.

Wind River's Hidden Value

Cramer touted Wind River Systems (WIND Quote - Cramer on WIND - Stock Picks) as another beaten-down technology stock investors should consider.

Wind River, he says, recently partnered with Google's (GOOG Quote - Cramer on GOOG - Stock Picks) Open Handset Alliance to make embedded systems for cell phones running the company's new Android operating system.

In a bull market, Cramer notes, the market would be paying twice this level for news of that caliber. Plus, the company has other substantial deals in the pipeline, he adds.

Wind River, Cramer says, could also be a natural takeover candidate and fetch as much as $15 per share. With the stock down 33% from its recent highs, Cramer sees value in the stock.

One on One With Trump

In an interview, Cramer sat down with Donald Trump to discuss the markets, the economy and real estate.

Trump says that with the U.S. already in a recession, now may be the time to look for good deals in residential real estate. He says commercial real estate may struggle a little longer, as most banks are simply "out of business" and are not lending money for commercial projects.

Cramer Interviews Donald Trump

Manhattan remains strong in Trump's eyes, but he is not sure how long that will last. In an area like California, Trump says deals can still be done, and now is the time when real estate fortunes are made. He sees opportunities to invest in real estate investment trusts such as Vornado (VNO Quote - Cramer on VNO - Stock Picks).

Trump says he is shocked that the Federal Reserve is not doing more, and believes Chairman Ben Bernanke doesn't have control of the situation. He advocates a full 100 basis-point cut to save the economy and get ahead of the curve.

Trump was also outspoken about the price of oil. He says the U.S. government hasn't put enough pressure on OPEC, an "illegal monopoly" that has the power to lower oil prices.

Final Thoughts

Cramer told viewers that it's still too early to get into these stocks: MBIA (MBI Quote - Cramer on MBI - Stock Picks), MGIC (MTG Quote - Cramer on MTG - Stock Picks), Ambac Financial (ABK Quote - Cramer on ABK - Stock Picks) and PMI Group (PMI Quote - Cramer on PMI - Stock Picks).

Lightning Round

Cramer was bullish on Hewitt Associates (HEW Quote - Cramer on HEW - Stock Picks), Philips Electronics (PHG Quote - Cramer on PHG - Stock Picks), Ford Motor (F Quote - Cramer on F - Stock Picks), Devon Energy (DVN Quote - Cramer on DVN - Stock Picks), Foster Wheeler (FWLT Quote - Cramer on FWLT - Stock Picks), Procter & Gamble (PG Quote - Cramer on PG - Stock Picks), First Solar (FSLR Quote - Cramer on FSLR - Stock Picks), Procter & Gamble (PG Quote - Cramer on PG - Stock Picks), PPL (PPL Quote - Cramer on PPL - Stock Picks) and Exelon (EXC Quote - Cramer on EXC - Stock Picks).

Cramer was bearish on Dell (DELL Quote - Cramer on DELL - Stock Picks), Abaxis (ABAX Quote - Cramer on ABAX - Stock Picks) and Fuel Tech (FTEK Quote - Cramer on FTEK - Stock Picks).

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For more of Cramer's insights during the Lightning Round, click here.