NEW YORK (TheStreet) -- On CNBC's "Cramer's Stop Trading" segment, TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said large food companies Campbell Soup (CPB) - Get Report and Kellogg (K) - Get Report reported poor earnings results, but their shares traded higher in the aftermath. Meanwhile, smaller food companies, such as Hain Celestial Group (HAIN) - Get Report, reported good results, but their shares are now lower, Cramer added.

CNBC's David Faber said that the consolidation in the industry is staggering, with plenty of M&A activity. 

"You cannot win against the conventional supermarkets because they are too powerful," Cramer said.

Their conversation follows Tyson Foods' (TSN) - Get Report move to acquire Hillshire Brands (HSH) for $50 per share, topping the takeover price that Pilgrim's Pride (PPC) - Get Report was looking to pay for Hillshire. 

Many now wonder whether Hillshire's offer for Pinnacle Foods (PF) will still be completed. Cramer called the latter a well-run company with a "good yield." 

Faber questioned whether Hillshire could get out if its deal for Pinnacle Foods.

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.

-- Written by Bret Kenwell in Petoskey, Mich.

Follow @BretKenwell

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At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.