NEW YORK (TheStreet) -- Exxon Mobil (XOM) - Get Exxon Mobil Corporation Report and Chevron (CVX) - Get Chevron Corporation Report both topped earnings and revenue estimates for their third quarters, but don't be fooled, Jim Cramer said.
"These are tricks, not treats," he said.
On Friday, a barrel of West Texas Intermediate slid 1.75% to $79.75, below $80 for the first time in over a week. The commodity is poised to make its lowest close of the year and is down 13% this month alone.
On CNBC's "Cramer's Mad Dash" segment, Cramer, the co-manager of the Action Alerts PLUS portfolio, warned investors that shares of Exxon Mobil and Chevron will have a difficult time moving higher when crude is down this much.
But it's not just oil prices weighing on these stocks. "You have to ignore the earnings growth," Cramer said. Instead, investors need to focus on production growth.
Watch the video below for a closer look at Exxon's latest quarterly resutls:
Exxon saw production fall 4.7%, while Chevron eked out production growth of just 1%. Those are not good results, Cramer said, especially when some of the companies' peers have production growth of 25% to 30%.
Instead, investors should consider buying Royal Dutch Shell (RDS.A) . The Action Alerts PLUS holding has a "restructuring story, a better yield, and good production growth," he explained.
Don't be tricked by Exxon and Chevron, Cramer concluded; they are not the stocks to buy.
-- Written by Bret Kenwell