PolyOne ( POL): "This is a tough group but they buy a lot of natural gas and that's good. I also like PPG Industries ( PPG), which is a better company."
Am I Diversified?
In the "Am I Diversified" segment, Cramer spoke with callers and responded to tweets sent via Twitter to @JimCramer to see if investors' portfolios have what it takes for today's markets. The first portfolio included: Apple ( AAPL), Verizon ( VZ), Costco ( COST), McDonald's ( MCD) and Chevron ( CVX). Cramer said this portfolio was perfectly diversified. The second portfolio's top holdings included: Apple, Bank of America ( BAC), Coca-Cola ( KO), Facebook and NYSE Euronext ( NYX). Cramer said NYSE Euronext is too similar to Bank of America and this portfolio should drop NYSE and add a drug company like Abbott Laboratories ( ABT) in order to be fully diversified. The third portfolio had: Smith & Wesson ( SWHC), Akorn ( AKRX), J.P. Morgan Chase ( JPM), CF Industries ( CF) and Under Armour ( UA) as its top five stocks. Cramer said "bingo" as this portfolio was also properly diversified.
No Huddle Offense
In his "No Huddle Offense" segment, Cramer said that investors need to ask "What's expensive?". Not which stocks are too expensive, but which companies sell products that simply too expensive for this market. With stocks like Tiffany ( TIF) and Coach ( COH) rolling over, Cramer said high-end retail has become more than just a Chinese problem, it's a global problem. That's why Cramer still likes companies like Wal-Mart ( WMT), Ross Stores ( ROST) and Dollar General ( DG). But Cramer went even further to warn investors to be cautious of companies such as Ralph Lauren ( RL), PVH ( PVH) and VF Corp ( VFC) as they, too, will likely be brought down by the weakness in the high-end segment, even though there's nothing wrong with their businesses. --Written by Scott Rutt in Washington, D.C. To contact the writer of this article, click here: Scott Rutt. To follow the writer on Twitter, go to http://twitter.com/scottrutt. To submit a news tip, send an email to: firstname.lastname@example.org. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.