Toppling the Bricks and Mortar

What goes up may come down, but in the case of the Net, that won't happen today.
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Looks to me like the .coms are starting to cut into the bricks-and-mortar guys' stocks, even as the bricks-and-mortar companies deny that any such thing is occurring.

I follow this

CVS

(CVS) - Get Report

like a hawk, and all it does is go down. Ever since

drugstore.com

got some good press, and then

Express Scripts.com

(ESRX)

started its hoopla, CVS has been crushed. I know CVS says it is readying a Web site to order stuff online, but while CVS fiddles with its site, its stock burns. Maybe it will be too late by the time CVS is ready to move.

I thought it was just CVS, but

Walgreen

(WAG)

reported excellent same-store sales and still got clocked. These stocks remind me of

Trans World Music

, which, although it has a Web site, is strictly viewed by the market as a bricks-and-mortar play, and that means "sell" to most people. It is not enough just to buy Net plays; you have to sell your non-Net plays that are in the sights of the Net plays!

But it is not just the bricks-and-mortar companies that are losers. I see drug stocks, which normally would be screaming with that bond market's move from Friday, doing nothing. I think money is coming out of that group and going .com. Not much interest in other health care companies, either.

Only tech seems to be able to compete with the .coms and then kind of in a much more methodical, ground-vs.-air-game way. Three points and a cloud of dust vs. instant first downs.

Again, as I

said this weekend, I think this move today is the inevitable consequence of the press highlighting the winner funds, which then get tons of money in and spend it on their fave names.

Of course, this can be a rough game for the mutual fund shareholders.

Three years ago, the top-performing fund was the

(SSGRX) - Get Report

State Street Global Resources fund, which is now the seventh-worst-performing fund, according to this morning's

USA Today

. Its reliance on the once-hot oil-drilling and oil sectors burned that fund. I know plenty of people who piled into that fund in 1996 and got crushed. What comes up may eventually come down.

Same thing could happen someday to those piling into Net funds.

But not today.

James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund had no positions in the stocks mentioned, although holdings can change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at

letters@thestreet.com.