Cramer owns Costco as part of his Action Alerts PLUS charitable portfolio.
"I welcome the selling. Jimmy Chill welcomes the moronic selling so you get a better price for the Action Alerts Plus name, Costco," Cramer told TheStreet's Katherine Ross in his daily interview for Street Lightning.
Costco stock dipped over 2% as of midday Friday despite reporting earnings and revenue that exceed expectations.
Costco Earnings Breakdown:
- Revenue: $52.28B v. $52.1B (actual result: +12% year-over-year)
- Same-Store-Sales: +11.4% +10.4% (Adjusted: +14%)
- Operating Margin: 3.7% v. 3.2% (Last Year: 3.3%)
- Earnings Per Share: $3.13 v. $2.85 (+26%)
So why the post-earnings decline? Cramer cited Costco's high PPE spending in addition to high Wall Street expectations.
Though he referred to such selling as "stupid," and said the company is poised to be a winner during and after the pandemic.
Cramer suggested looking past the day-to-day moves of Costco stock and think about the long-term future of the company, advising that now is not the time to sell.
"I just want people to own it, and we're [Action Alerts PLUS] going to continue to own it," Cramer said.