This market continues to be controlled by fear, Jim Cramer told his Mad Money viewers Monday. There's the fear of getting sick, the fear of a worldwide economic slowdown and last week, a fear of falling stock prices. But Monday, only two numbers mattered to the markets -- 1.15% and 1.4%.
Cramer explained that the first number, 1.15%, was the yield on the 10-year Treasury bond. That number that's so low, it makes stocks look attractive again to investors. The second number, 1.4%, is the current estimated fatality rate of the coronavirus. This number, if true, means that this outbreak isn't a global pandemic as feared. It could be, Cramer said, more akin to a severe seasonal flu outbreak. These numbers, when combined, mean good things for stocks, Cramer said, even though the futures markets continue to be chaotic.
If you believe in yourself and are willing to correct your course when you're wrong, Cramer said it's safe to begin buying stocks on big declines and sell them into strength.
We aren't out of the woods yet, he cautioned, but if you steer clear of the cruise lines, travel stocks and restaurants and instead stick with the stay-at-home stocks and technology, there's still money to be made.
Cramer and the AAP team are looking at everything from earnings and tariffs to the Federal Reserve. Find out what they're telling their investment club members and get in on the conversation with a free trial subscription to Action Alerts Plus.
Executive Decision: Beyond Meat
For his "Executive Decision" segment, Cramer sat down to talk with Ethan Brown, founder, president and CEO of Beyond Meat (BYND) - Get Report, the plant-based food maker that saw its shares plunge 15% when it reported earnings late last week, only to rebound 7.1% in Monday's session.
Brown said that Beyond Meat is not a food company, it's an innovation engine working to close the gap between plant-based proteins and their animal equivalents. The more Beyond Meat closes that gap, the more consumers come to their brand.
Beyond Meat means different things to different people, Brown added. Those over 40 come to the brand for health benefits like less salt and cholesterol. For example, products like the sausage now found at Dunkin' Donuts (DNKN) - Get Report offers half the fat, 30% less sodium, while having more protein and iron.
Meanwhile, millennial consumers love that Beyond Meat is building a more sustainable planet.
Brown said that Beyond Meat is committed to grabbing as much market share as they can and won't focus on profits until they've succeeded in their mission of perfect plant-based meat alternatives.
On Real Money, Cramer keys in on the companies and CEOs he knows best. Get more of his insights with a free trial subscription to Real Money.
Executive Decision: Pegasystems
Trefler started off by saying that Pegasystems has learned a lot in their 35 years in business and has seen many ups and downs in their stock price. At the end of the day, however, customers are looking to streamline their work and save money, which is what Pegasystems allows them to do.
Every company is looking to remove wasteful work, Trefler continued. Whether that is engaging better with customers or connecting multiple channels and systems together for a seamless experience.
When asked about the coronavirus and how it might affect Pegasystems's annual conference in June, Trefler said they are staying agile with their plans, but expect the virus to settle down as the weather warms up.
Elliott Management and Twitter
Cramer's been a long-time fan of Twitter and weighed in with his opinion.
Twitter has been an underperformer under Dorsey, he noted. Since July 2015 through last week, the stock has fallen 6.2%, compared to the S&P 500 with a gain of 56% and rival Facebook (FB) - Get Report at 121%, even with that social media giant's endless scandals. Does Facebook deserve to trade for 20 times more than Twitter? Cramer said it does not.
There's no question that Twitter is being under-managed by Dorsey, who is also the CEO of Square (SQ) - Get Report. The lack of innovation at Twitter is proof of that, Cramer said, which is why he's siding with Elliott Management.
Even though Cramer said he thinks Twitter is getting its act together and is a buy even without Dorsey's ouster, the company could do even more, and be more rewarded by Wall Street, with someone else at the helm.
In his "No-Huddle Offense" segment, Cramer said as bond yields plummet and investors reach for yield, they must first ask themselves whether that yield is worth the risk.
Among the highest yielders in the Dow Jones Industrial Average are Dow Inc. (DOW) - Get Report at 7%, Exxon Mobil (XOM) - Get Report at 6.5% and Chevron (CVX) - Get Report at 5.3%, followed by IBM (IBM) - Get Report at 4.8%. All of these accidental high-yielders aren't worth the risk, Cramer said. Dow has cut their dividend before, Wall Street has turned against the oil stocks, and IBM continues to be a wait-and-see turnaround story.
These stocks were followed by Pfizer (PFE) - Get Report and Verizon (VZ) - Get Report, the only two of the top 10 dividend stocks Cramer said he'd bless buying. Both of these companies have solid businesses and strong balance sheets that can weather the coronavirus, economic declines and more.
Rounding out the top 10 were names like Walgreens Boots Alliance (WBA) - Get Report, 3M (MMM) - Get Report, Cisco Systems (CSCO) - Get Report and Caterpillar (CAT) - Get Report. Cramer said he can't bless any of these dividend stocks as their yield simply isn't high enough to offset the risks, especially for Caterpillar, which is levered to oil and China.
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:
Introducing TheStreet Courses: Financial titans Jim Cramer and Robert Powell are bringing their market savvy and investing strategies to you. Learn how to create tax-efficient income, avoid top mistakes, reduce risk and more. With our courses, you will have the tools and knowledge needed to achieve your financial goals. Learn more about TheStreet Courses on investing and personal finance here.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.
To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.
To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.
At the time of publication, Cramer's Action Alerts PLUS had a position in FB, CSCO.