Jim Cramer's Stop Trading! Seagate Ebbs

Seagate (STX Quote) "still has lower written all over it," Jim Cramer said Wednesday on CNBC's "Stop Trading!" segment.

Cramer said there's "no reason to buy" the disk drive company despite Wednesday's 6% selloff. He said the entire disk drive group remains a sell rather than a buy, even at reduced prices.

Cramer is more interested in J.C. Penney (JCP Quote), the department store chain he called a "multiyear story" off recent innovations such as the Sephora cosmetics contract and a private label deal with Polo Ralph Lauren (RL Quote). Cramer said Penney and Kohl's (KSS Quote) do a good job of making shoppers "feel they're richer than they are," and as a result he's inclined to give Penney "the benefit of the doubt" in spite of concerns about its quarter. He sees the stock at $85, up from a recent $81.50, next month. ...