Few things are harder to pull off than a corporate turnaround, Jim Cramer told his Mad Money viewers Wednesday. The day's decline in the Dow Jones Industrial Average was largely due to the tenuous turnaround at IBM (IBM) , which fell 4.9% after the company missed revenue targets.

IBM is in the middle of a difficult transition, Cramer explained, as the company is trying to keep its legacy businesses in the air while it ramps up its newer initiatives, like Watson, it's artificial intelligence platform.

But while Wall Street greeted today's news with extreme negativity, Cramer said he'd rather be a buyer of IBM at $160 a share than a seller. Why? Because when turnarounds do pick up steam, the gains can be spectacular.

IBM reminded Cramer of three other Dow stocks that have been reinventing themselves, Coca-Cola (KO) , McDonalds (MCD) and Walmart (WMT) . All of these turns take time and require patience, Cramer said, but in the end, the companies that have the cash to get the job done often do. He was willing to give IBM a chance because of the company's 3.5% yield.

Meanwhile, over on Real Money, Cramer explains why investors need to watch the progress of turnaround plans very carefully. Get his analysis and strategies with a free trial subscription to Real Money.

Off the Charts: Semiconductiors

In the "Off The Charts" segment, Cramer checked in with colleague Suz Smith to review the charts of some semiconductor stocks on the heels of a strong quarter from semiconductor equipment maker LAM Research (LRCX) , which shot up 6.8% today.

Smith first looked at the daily chart of Microchip Technologies (MCHP) , which has been in a strong uptrend for a year and has strong institutional ownership. The stock recently tested its 50-day moving average successfully and both the stochastics and the MACD momentum indicator signaled a buy. Smith felt $86 a share could be possible.

Smith then examined Micron Technology (MU) , a commodity player that's been making a series of higher highs and higher lows. Smith liked the William's oscillator, which is very oversold, and is signaling another move higher is at hand.

Finally, Smith was also bullish on Advanced Micro Devices (AMD) , which has been trading sideways since February and is seeing declining volume accompanying its recent pullback. Here again, the stochastics are signaling oversold with a turn to the upside close at hand.

Cramer said he's siding with Smith, as LAM Research wouldn't be selling so much equipment if the semiconductor makers were not making a lot of chips.

Insight on Incyte

When Cramer recommended buying shares of Incyte (INCY) last Wednesday, he had no idea the FDA was about to reject the company's arthritis drug, Baricitinib. But now that shares have fallen from $140 to below $126, are shares still worth owning? Cramer took another look to find out.

First, Cramer acknowledged that no one saw the FDA's rejection coming, especially since the drug had already been approved in Europe. But, he acknowledged, that's the risk you take when playing FDA roulette with biotech stocks.

In the case of Incyte however, the company has a pipeline of exciting drugs still in development, and today's setback, while major, is simply a request by the FDA for more information on the dosing for Baricitinib. That makes Cramer still a buyer of Incyte on continued weakness.

As for Eli Lilly (LLY) , Incyte's partner on Baricitinib, Cramer said big pharma names are rarely derailed by a single drug as by definition, big pharma is well diversified. Shares of Lilly have already fallen more than $5 a share, despite the potential lost revenue from today's decision only accounting for $4 a share. Here too, Cramer said he's more inclined to be a buyer on weakness, not a seller.

Executive Decision: Mazor Robotics

For his "Executive Decision" segment, Cramer spoke with Ori Hadomi, CEO of Mazor Robotics (MZOR) , a surgical robotics maker that Cramer featured on the show  just last week. Shares of Mazor jumped 4.9% today on strong earnings and are up 49% year to date.

Hadomi explained that Mazor derives revenue from three pillars. It sells the robots themselves for about $1.1 million each. It sells the disposables the robot consumes, and it offers service and support. The company has always been focused on the patient, Hadomi continued, which is why he's privileged to be in this business.

Mazor robots are seeing six times fewer complications and repeated procedures, Hadomi said, and the hospitals that have Mazor robots are promoting and marketing the fact that they can offer procedures that others can't.

Hadomi also spoke about his company's partnership with Medtronic (MDT) , saying there are many synergies in culture and mission, and both are the leaders in their respective areas.

Cramer said that while Mazor is a speculative stock, it's also exciting and could be following in the footsteps of Intuitive Surgical (ISRG) .

The Lightning Round

In the Lightning Round, Cramer was bullish on Cisco Systems (CSCO) , Southwest Airlines (LUV) , Alaska Air Group (ALK) , Delta Air Lines (DAL) and Mondelez International (MDLZ) .

Cramer was bearish on Nutanix (NTNX) and JetBlue Airways (JBLU) .

No-Huddle Offense

In his "No Huddle Offense" segment, Cramer pondered whether investors should be fretting over European politics. Is what happens in Europe really relevant to U.S. stocks?

If you're a hedge fund manager who needs to make quick profits, absolutely, Cramer said. But if you're an individual investor, absolutely not.

As we learned from Brexit, the market took a sharp decline over a two-day period, but two weeks later, the Dow was up over 500 points. Events like Brexit are a fabulous buying opportunity for individuals, Cramer said. Don't let anyone tell you differently.

Cramer and the AAP team are concerned that the longer-term bullishness in Starbucks (SBUX) could be causing some unintended -- and unwanted -- short-term bullishness. Find out what they're telling their investment club members. Get a free trial subscription to Action Alerts PLUS.

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At the time of publication, Cramer's Action Alerts PLUS had a position in SBUX, CSCO and LUV.

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