Stop Trading!: Buy Hudson City

Hudson City Bancorp is profiting while its competitors are struggling to stay in business. If that’s not reason to buy this bank then Cramer doesn’t know what is.

Speaking alongside Hudson City CEO Ronald Hermance on his regular Tuesday Stop Trading! appearance, Cramer said that Hudson City is, by far, the strongest buy out of any of the financials.

He called Hermance “too humble” after he said that his company’s current success stems from a record backlog in mortgage applications, solid funding and some amount of geographic luck, as the regional bank is located in New Jersey – far away from the various ground zeroes of the mortgage crisis in states in the Midwest and Southwest that suffered from the most speculation.

On the government’s involvement in the housing crisis, Cramer reiterated his call that Fannie Mae and Freddie Mac should “take one for the team” and absorb many of the bad loans that are out there. Hermance said he expects home prices to decline on their own in some areas of the country.

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.

Mad Money Moments

Cramer's New Book