Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.

NEW YORK (TheStreet) -- What the heck does Rite Aid  (RAD) have to do with Greece? Jim Cramer asked his Mad Money audience Monday.

Simple: Greece drives Rite Aid stock lower. Greece pushed most stocks lower on a day where the Dow was down nearly 108 points and the S&P 500 dropped almost 0.5%. Cramer says investors may be bailing in advance of what may be a European debacle.

Of course, Greece has nothing to do with the business of the U.S. drug store chain. It's a domestic company that should trade on earnings, Cramer said. There's tremendous consolidation in the health care sector, evidenced by today's announced $1.9 billion deal for CVS  (CVS) to take over Target's  (TGTpharmacy business. Rite Aid could be part of that trend down the road, boosting its value.

Greece has nothing to do with Rite Aid's business. But it has plenty to do with Rite Aid's stock.

Cramer said Greece may default, but that's a one-day event. There may be a second-day stock selloff, and we find out how high the losses are at highly leveraged hedge funds -- which have to sell good positions in good stocks that aren't anywhere near Greece -- and have to cover positions that are severely affected by the default and resulting fear.

Cramer's conclusion: The irrational collateral damage to stocks that are unrelated to Greece but are pulled down in its vortex should be bought near the end of day two (probably around 2 p.m.) after a default, and then he recommends doubling down on the third day (probably near the market open). He'd buy 100 shares of Rite Aid on Day 2, and 100 more shares on Day 3 at the open.

Executive Decision: Larry Merlo and Brian Cornell

For his "Executive Decision" segment, Cramer spoke with CVS Health President and CEO Larry Merlo and Target CEO Brian Cornell to dig deeper into CVS' acquisition of Target's pharmacy and clinic business. Target is a holding in Cramer's charitable trust, Action Alerts PLUS.

Cornell said the partnership will strengthen Target's position in the wellness space with an expert that brings scale, experience and capabilities. Cornell said the CVS portion of his stores will operate as a store-within-a-store and have the look and feel of a CVS pharmacy. More than 1,660 Target pharmacies in 47 states will be rebranded as CVS pharmacies.

This deal expands CVS' presence in new markets, Merlo told Cramer, and said that while there may be some one-time costs in the short term, the transaction will be at least 12 cents accretive in 2018 and beyond. Cornell added the deal is all about growth and expects the deal to drive traffic to Target stores and return cash to shareholders. In addition, the deal allows Target to increase focus on its signature product categories.

Cramer said since dropping tobacco sales, CVS has committed to being the country's health care company rather than just its drug store company.

If you liked this article you might like

Reworked Deal for Rite Aid Finally Clears FTC

Walgreens Is Primed to Rally, With or Without Rite Aid

S&P 500 and Dow Score Records With Wall Street Upbeat Ahead of Fed

S&P 500 and Dow on Track for Records With Markets in Good Mood Ahead of Fed

Walgreens to Tweak Number of Rite Aid Stores It Buys to Win Regulatory Approval