Real Money Stock of the Day PepsiCo (PEP) - Get Report reported earnings this morning beating on the top and bottom lines. Jim Cramer discussed how the consumer staple stocks are holding up in this difficult market.
"As long as I've been in the business, there's always been a perception that all stocks have to go down on bad news. What happens is initially on the first day, the blast day, there's a lot of stocks that go down. Then there's lingering radiation the next day. And by the third day we start getting at bifurcation between a recognition that there's some companies that actually do well in this environment and money goes toward them. And then the others do poorly. Now, there's not new money coming in. There's money coming out of the ones that do poorly and go into ones that do better. So if you say a Walmart down or Proctor down, Colgate down Estee Lauder dam, uh, Coca-Cola down, those are where this money is going to go."
Watch the video above to see what else Jim had to say about the consumer staples and get over to Real Money for all the Pepsi coverage you need.
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