NEW YORK (TheStreet) -- L Brands (LB) stock is falling 3.52% to $91.78 in mid-morning trading on Thursday after the company reported a 2% decline in comparable store sales for January 2016, driven by a 4% drop at Victoria Secret stores.
The decline in L Brands stock is "insane" because the company had a "perfect quarter," TheStreet's Jim Cramer said on CNBC's Squawk on the Street this morning, referring to the company's 6% comparable store sales growth for the fiscal 2015 fourth quarter ended January 30.
"L Brands may be the best mall retailer in the country," Cramer observed, adding that CEO Leslie Wexner "defeats the bears time and time again."
L Brands is the bright light in the retail sector, Cramer noted, recommending investors to look at L Brands when the rout ends.
"It's a case by case" situation when deciding where to invest in the retail sector, "making it difficult to pick retail stocks," Cramer cautioned.
Before today's market open, Kohl's Corp. (KSS) lowered its full year earnings guidance and Ralph Lauren Corp. (RL) reported lower than expected quarterly results.
Cramer believes that these results show that cheaper gasoline is not driving consumers to retail stores or malls.
"We don't want to see retail as bad as it is," he commented, adding that there are simply more negatives than positives in the retail group.
"We are spending more time on Facebook (FB) and [playing] video games," Cramer explained, noting that TakeTwo Interactive Software's (TTWO) quarter was strong because "Grand Theft Auto is the greatest game out there."