NEW YORK (TheStreet) -- TheStreet's Jim Cramer answers Twitter (TWTR) questions from the floor of the New York Stock Exchange, and this week's first question deals with the decline in oil prices, which hit a five-year low on Monday.
Specifically, two users ask if this is a good time to buy Royal Dutch Shell (RDS.A) and Exxon Mobil (XOM) . Cramer says Exxon is bouncing and Royal Dutch has a good yield, but he notes the numbers have not been cut yet. If and when that does happen, then Cramer calls these two stocks "go-to names."
He adds investors could take a position now, but if the numbers get cut later this week, then the knee-jerk reaction will be a decline in the stock prices, which would be a better time to buy.
Cramer also says he does not think oil prices will go much lower from their current position in the $60 range.
Another user asks about the effect of low oil prices on a stock like Tesla (TSLA) . Cramer says he does not think there is as much of a one-to-one relationship between the two as people think, but also notes General Motors (GM) went up Friday because sales of its "gas guzzlers" would increase due to the falling oil prices. He adds he does not think "it's a zero-sum game" with Tesla.
The next question asks how low oil prices could affect retailers and questions which stocks are Cramer's favorites in this group. He preaches caution because Walmart (WMT) and Target (TGT) anticipated fantastic numbers but won't get them. Macy's (M) , too, expected great numbers.
Cramer recommends TJX Companies (TJX) , Ross Stores (ROST) and the dollar store stocks as the place to be. The ultimate one, he adds, is Costco (COST) , which benefits from the decline in oil because it sells gasoline, and the lag between the prices of gasoline and crude oil "is just pure profit for them."
The next question asks about Hertz (HTZ) , and Cramer points to the company's accounting irregularities. He says Carl Icahn, who recently increased his stake in Hertz, is a very smart man, but Cramer can't go with him on this one until he sees what the real numbers are.
Another user asks if Facebook (FB) is overpriced. Cramer advises a long-term view on the stock because it's a secular trend of where the advertising is. He says he does not think the stock is expensive on 2016 numbers, which is what investors should look at in this case.