If you have cash on the sidelines, now's the time to do some buying, Jim Cramer told his Mad Money viewers Monday. That's because the selloff didn't begin today, Cramer said. It's been happening for weeks.
Investors may still be digesting worries and things that have put the market into disarray, but most of those worries aren't new. And with many stocks now well off their highs, the time to start buying is now.
Cramer listed a number of reasons why investors are selling. Many have lost hope for additional government stimulus, which means many small businesses likely won't survive our social distancing requirements required until a vaccine is available. Travel and leisure is on the ropes as well, and we still have a lot of unpaid rents that must be reconciled.
Then there's uncertainty about our government, including a contentious election, a Supreme Court nomination and President Donald Trump's obsession with TikTok.
Despite all of these worries, Cramer told viewers that he thinks we're nearing the bottom. He reminded viewers that stocks get cheaper as they go lower and selloffs like today are the 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, chairman and CEO of Ely Lilly (LLY) - Get Report, the drugmaker whose shares fell 1.9% Monday, along with the broader markets, despite posting positive clinical trial data on the company's breast cancer therapy.
Ricks explained that their treatment, when added to the current standard of care, has shown to reduce the rate of breast cancer recurrence by 25%. He called the data "great news" for patients and their families, and called it the first significant advancement in almost 20 years.
Oncology continues to be a focus 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 creating neutralizing antibodies to treat COVID-19 patients. He said in just six months' time, they've gone from nothing to clinical trial data showing they can reduce hospitalization rates by as much as 72%. He said they continue to test their antibodies at hard-hit nursing homes and have partnered with Amgen (AMGN) - Get Report to help with manufacturing.
Executive Decision: Coca-Cola
Quincey said consumer tastes were changing even before COVID-19 struck, but now people are looking for new things and are blurring the lines among beverage categories. Drinks like hard seltzers have grown over 200% in the U.S. over the past year, and Coca-Cola will be joining the trend with spiked Topo-Chico, a popular sparkling mineral water, in the near future.
Coca-Cola is also working hard to support their bottlers, retailers and restaurants, all of whom have been affected by the pandemic. Quincey said Coke is upgrading their platform and evolving into a digital organization, which allows them to be faster, more agile and support all of their partners better. He said they are listening to customers and there will be innovations and announcements in the near future.
Executive Decision: Albertsons
For his final "Executive Decision" segment, Cramer checked in Vivek Sankaran, president and CEO of grocery store chain Albertsons (ACI) - Get Report, which saw its shares rise 4.5% today on increased COVID-19 fears. Shares of Albertsons trade for just six times earnings.
Sankaran said Albertsons sits on a strong foundation, but it still has potential for growth. The company has tremendous brands that customers have grown up with and love. That's how it's able to add new shoppers every week and get existing shoppers to buy even more.
Albertson's is also investing in technology. Sankaran said that technology enables productivity and as the company integrates to common systems, it can use data for increased productivity. He said productivity in buying, personalized pricing, and increased promotions are all possible.
Sankaran was also bullish on Albertsons' private label products. He said the store brands are the No. 1 items in dozens 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 is getting colder and COVID-19 cases in the U.K. and Spain are climbing, it looks like we're right back where we started, with investors buying up the COVID stocks.
Cramer said it's once again safe to buy packaged foods makers like Campbell Soup (CPB) - Get Report, as well as anything to do with e-commerce, like Shopify (SHOP) - Get Report and Square (SQ) - Get Report. Real estate remains hot, and that's good news for DocuSign (DOCU) - Get Report. And of course, if we're back at home, we'll need more Peloton (PTON) - Get Report and lots and lots of Netflix (NFLX) - Get Report.
Here's what Jim Cramer had to say about some of the stocks that callers offered up during the Mad Money Lightning Round Monday evening:
Smith & Wesson Brands SWBI: "This is a tough one to own but demand is strong."
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At the time of publication, Cramer's Action Alerts PLUS had no position in the stocks mentioned.