Cramer listed a number of reasons why investors sell. Many have lost hope of further government stimulus, which means many small businesses are unlikely to survive our social distancing requirements until a vaccine is available. Travel and leisure are also on the agenda, and we still have a lot of unpaid rents that need to be reconciled.Then there is the uncertainty surrounding our government, including a contentious election, a Supreme Court nomination, and President Donald Trump’s obsession with TikTok.Speculative stocks like Nikola Corp. (NKLA) – Get the report Also weigh on the minds of investors, as do the corruption scandals in foreign banks that weigh on their own.
Despite all of these worries, Cramer told viewers he believes we are nearing bottom. He reminded viewers that stocks get cheaper as they go down and sales like today are a sign of a healthy market.
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Executive decision: Ely Lilly
In his first “Executive Decision” segment of the week, Cramer spoke with David Ricks, President and CEO of Ely Lilly (LLY) – Get the report, the drugmaker whose shares fell 1.9% on Monday, as well as wider markets, despite the publication of positive clinical trial data on the company’s breast cancer treatment.
Ricks explained that their treatment, added to the current standard of care, reduced the rate of breast cancer recurrence by 25%. He called the data “good news” for patients and their families, and called the data the first significant breakthrough in nearly 20 years.
Oncology continues to be a priority for Lilly, Ricks said, which is why they recently added Loxo Oncology to their portfolio for $ 8 billion.
Ricks also commented on their recent work on creating neutralizing antibodies to treat patients with COVID-19. He said in just six months, they went from nothing to clinical trial data showing they can reduce hospitalization rates by up to 72%. He said they were continuing to test their antibodies in hard-hit nursing homes and partnered with Amgen. (AMGN) – Get the report to help with manufacturing.
Executive decision: Coca-Cola
For his second “Executive Decision” segment, Cramer spoke with James Quincey, President and CEO of Coca-Cola (KO) – Get the report, the beverage giant is working hard to adapt to a new COVID-19 world.
Quincey said consumer tastes were changing even before COVID-19 hit, but now people are looking for new things and blurring the lines between beverage categories. Beverages like hard seltzers have grown by over 200% in the United States over the past year, and Coca-Cola will join the trend with Topo-Chico, a popular sparkling mineral water, in the near future.
Coca-Cola is also working hard to support its bottlers, retailers and restaurants, all of which have been affected by the pandemic. Quincey said Coke is upgrading their platform and moving to a digital organization, which allows them to be faster, more agile, and better support all of their partners. He said they were listening to customers and that there would be innovations and announcements in the near future.
Executive decision: Albertsons
For its latest “Executive Decision” segment, Cramer checked out Vivek Sankaran, president and CEO of the Albertsons grocery chain (ACI) – Get the report, which saw its shares rise 4.5% today amid heightened fears of COVID-19. Albertsons shares are trading for just six times earnings.
Sankaran said Albertsons is on a solid foundation, but still has growth potential. The company has some great brands that customers have grown up with and love. This is how he is able to add new buyers every week and entice existing buyers to buy even more.
Albertson’s is also investing in technology. Sankaran said technology enables productivity and as the business integrates with common systems, it can use data for increased productivity. He said productivity in shopping, personalized pricing and increased promotions are all possible.
Sankaran was also bullish on Albertsons private label products. He said store brands were the # 1 items in dozens of categories across the stores.
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Back to Soup and Streaming
In his No-Huddle Offense segment, Cramer told viewers as the weather was getting colder and COVID-19 cases in the UK and Spain were climbing, it looks like we’re back where we started, investors. buying the COVID shares.
Cramer said it was once again safe to buy from packaged food manufacturers like Campbell Soup (CPB) – Get the report, as well as anything e-commerce related, like Shopify (BOUTIQUE) – Get the report and square (SQ) – Get the report. Real estate remains hot and that’s good news for DocuSign (DOCU) – Get the report. And of course if we’re back home we’ll need more Platoon (PTON) – Get the report and lots of Netflix (NFLX) – Get the report.
Here’s what Jim Cramer had to say about some of the actions that callers offered during the Mad Money Lightning Round on Monday night:
Diamond Peak Holding (DPHC) – Get the report: “Take some profits and let the rest work. ”
Marcus (MCS) – Get the report: “I’m not a fan of Marcus. ”
The GEO group (GEO) – Get the report: “I haven’t been a fan of this band for 15 years. “
Ciena (PRICE) – Get the report: “It was a terrible neighborhood. Be careful with Ciena. ”
Smith & Wesson Brands SWBI: “It’s hard to own but the demand is high. ”
Republic Services (RSG) – Get the report: “It’s a very good company. I think you have a winner. ”
Caesars Entertainment (CZR) – Get the report: “I think it’s time to ring the register. “
Coty (COTY) – Get the report: “It’s another who is not a good company. ”
Arrowhead Pharmaceuticals (hero) – Get the report: “I don’t understand why this title is doing so badly. ”
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At the time of publication, Cramer Action Alerts PLUS had no position in the mentioned stocks.