Don't Cut and Run: Cramer's 'Mad Money' Recap (Wednesday 10/28/20)

Resist the urge to let emotions rule on days like this, says Jim Cramer. Instead, aim your cash at these stocks.
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When the market throws a sale, like it did Wednesday, investors need to be ready to pounce, Jim Cramer told his Mad Money viewers. Big market selloffs are not a time to panic. "No one ever made a dime panicking," Cramer reminded viewers. Days like this are when you should be buying what's working.

Cramer identified five bull markets that can work with spiking COVID-19 cases. The first is the 5G wireless bull market. Cramer reiterated that he likes Qualcomm  (QCOM) - Get Report and Broadcom  (AVGO) - Get Report. The second bull market is in digitization, where stocks like Microsoft  (MSFT) - Get Report are dominating. Microsoft doesn't need a stimulus package to survive, Cramer said.

Next is the bull market in hygiene. People want to keep everything clean and that's great news for Procter & Gamble  (PG) - Get Report, Clorox  (CLX) - Get Report and even L Brands  (LB) - Get Report, which owns Bath & Body Works.

The fourth bull market is in home renovation, where there are a ton of great stocks to buy, from Home Depot  (HD) - Get Report, Lowe's  (LOW) - Get Report and Masco  (MAS) - Get Report for paint, tools and more.

Finally, Cramer said there's a bull market in autos. Cramer still recommended Ford  (F) - Get Report as a comeback stock, along with Tesla  (TSLA) - Get Report and Lithia Motors  (LAD) - Get Report.

Stick with these bull markets and your portfolio will thank you, Cramer concluded, but definitely don't panic and sell everything.

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Executive Decision: Bed, Bath & Beyond

In his first "Executive Decision" segment, Cramer spoke with Mark Tritton, president and CEO of Bed Bath & Beyond  (BBBY) - Get Report, the retailer with shares up 23% for the year as it attempts to turn around its operations.

Tritton said Bed Bath & Beyond is forging ahead with its strategy to provide everyday value with an omni-channel, but digital-first strategy. He said customers have been responding positively to the changes.

Bed Bath & Beyond will continue to rely on its signature coupons that are delivered by mail, Tritton said, but the coupons will be used more strategically going forward.

When asked about the balance sheet, Tritton said with $2 billion in cash on hand, Bed Bath & Beyond will be investing in four key areas: technology, supply chain, stores and product assortment. There is also cash available for a stock buyback program to return value to shareholders.

Tritton was bullish on the Bye Bye Baby franchise, saying that sales and registry items continue to be strong and baby items are a huge opportunity for the company.

Turning to the holiday season, Tritton explained that consumers still want special moments with their friends and families this holiday season and are still planning gatherings, albeit smaller ones than usual.

Executive Decision: United Parcel Service

For his second "Executive Decision" segment, Cramer also spoke with Carol Tome, the new CEO of United Parcel Service  (UPS) - Get Report, the package delivery giant that saw its shares dip 8.8% Wednesday after the company declined to offer investors forward-looking guidance.

Tome, formerly the head of Home Depot, said that UPS is a company with a rich history and a very bright future. She called UPS an "opportunity-rich" company that is only just beginning its modernization.

Tome explained that the world is changing and UPS needs to lean into a new experience for their customers. "Better, not bigger," is the company's mantra as they aim to serve their customers how they want to be served, with a new, digital experience.

Previously, UPS had developed all of its own technology in-house, rolling out new features just once a year. But Tome said that UPS is now on a continual update cycle, simplifying their business whenever they can. UPS is a big ship to turn, Tome admitted, but they're up for the challenge.

When asked about the holiday season, Tome said UPS is preparing for the biggest surge of holiday business they've ever seen. The company has taken many steps, including hiring up to 100,000 seasonal employees to deliver that "peakiest of peaks" in demand.

UPS is also expanding into healthcare logistics with two new "freezer farms," refrigerated facilities that can manufacture their own dry ice to help drugs and pharmaceuticals get where they're needed.

Executive Decision: SoFi

For his final "Executive Decision" segment, Cramer once again checked in Anthony Noto, CEO of the privately held SoFi, the personal finance company that just introduced a new credit card that aims to help customers pay down their debt instead of increasing it.

Noto said SoFi aims to be there at every moment of their members' lives, whether they need student loans, home loans, credit cards, insurance or investments. The new SoFi credit card is just another piece in their members' journeys.

When asked about cryptocurrency, Noto explained that SoFi invest aims to provide members with a host of investing options, including Bitcoin. That said, he noted that cryptocurrency is a "very risky" asset class and SoFi cautions members before they invest.

When asked about their members, Noto said that while many SoFi members are younger and inexperienced when it comes to investing, they're also very smart. They were quick to adopt new technologies and new concepts, like fractional shares, which make investing easier and more affordable.

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The Vexing Virus

In his No-Huddle Offense segment, Cramer said people need to stop asking about what happens to our economy if we go back into lockdown and instead ask, what could happen if we took this virus seriously.

Countries in Asia have taken COVID-19 seriously and they have the virus under control, Cramer said, but here in America, our response have been disgraceful. He said bars and restaurants need to be closed, masks need to be worn and our government needs to get ahead of the game with testing, protective equipment, therapeutics and vaccines.

It's not enough to pin all of our hopes on a vaccine, Cramer continued. It's very likely that immunity from a vaccine might only last a few months. We need a comprehensive plan if we ever hope to go back to normal.

Lightning Round

Here's what Jim Cramer had to say about some of the stocks that callers offered up during the Mad Money Lightning Round Wednesday evening:

DexCom  (DXCM) - Get Report: "Let's start a position in DexCom if you don't already have one."

Niu Technologies  (NIU) - Get Report: "This is a good company, but I only recommend Alibaba  (BABA) - Get Report and JD.com  (JD) - Get Report when it comes to China."

Quidel  (QDEL) - Get Report: "I like all of the medical device makers. I like Thermo Fisher Scientific TMO too."

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At the time of publication, Cramer's Action Alerts PLUS had a position in MSFT, UPS.