Making matters worse, Teva now has its own branded drug business and will be on the other side of the trade when its own $3.8 billion multiple sclerosis drug loses its patent protection.

Cramer said Teva may seem cheap trading at only seven times earnings, but with the generic space increasingly becoming a commodity it's unlikely Teva will be able to grow much from here. That makes it a value trap, especially given how many other drug makers are offering growth plus great dividend yields.

Now and Then

Continuing with his argument that the markets are not in bubble territory, Cramer took a look at more stocks and sectors to make some comparisons between now and the markets of 2001, when a bubble really did exist.

Cramer noted that back in 2001 stocks were considerably more expensive than today. Alcoa ( AA) traded at $44 a share; today, it trades at $8. US Steel ( X) traded at $191; today, it's $17. Freeport McMoRan ( FCX) was at $62; today just $33, to name a few.

In the retail sector, stocks may seem expensive compared to where they've been recently but historically they're fairly valued. The same holds true with the industrials, he said. They're not rich, nor are they bargains.

In fact, Cramer said there are only three sectors that he feels are bargains at the moment, and those are the banks, technology, and oil and gas.

He said stocks including KeyCorp ( KEY), a stock he owns for his charitable trust, Action Alerts PLUS , remain inexpensive, as does Cisco ( CSCO) trading at just 10 times earnings. In the oil and gas sector, he likes Linn Energy ( LINE) and Markwest Energy ( MWE).

So while the bears continue to scare investors out of the market, Cramer said those same investors will be regretting not buying in right here if there's any sort of pickup in the global economy later in 2013.

Lightning Round

In the Lightning Round, Cramer was bullish on Regions Financial ( RF) and Realogy Holdings ( RLGY).

Cramer was bearish on Universal Display ( PANL), VirnetX ( VHC), Constant Contact ( CTCT) and Zillow ( Z).

Talking to Daymond John

In a special interview, Cramer sat down with author, entrepreneur and brand expert Daymond John, who last appeared on "Mad Money" in April 2010.

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