Look, you need a healthy amount of skepticism to be a good investor, no denying that. But its important to know when to believe im talking about buying the stocks of companies that have been left for dead, because of a single bad quarter, when the executives have proven time and time and time again that they can navigate rougher waters and right the ship on another record breaking day for the averages, dow gain 1g00 points, the s p 500 advancing, nasdaq up, some stocks have been left behind by this juggernaut of a bull market and in many cases, i think the sellers are making a big mistake. [ buzzer ] before i get into these situations, though, let me come to praise the companies that provided the impetus behind todays rally. Caterpillar and mcdonalds talk about faith people have totally lost faith in caterpillar during the downturn i remember seeing a sell call on january 25 of 2016, when the stock was at 57, going to 51 cat closed at 114. What happened . End markets did get a little better but caterpillar took tough action after took action to cut its costs. So when they got even a smidge of recovery in resources and small bumps in road building orders, the earnings have started soaring. Here you have to thank not only the ceo, but also the former ceo, who, after initially not seeing the downturn coming, really figured out what was happening. And he took costs out like the grim reaper. This is really the first good quarter caterpillar has had in years. So theres no reason to think this is onetime only and i bet it has more room to run. Maybe much more. So ring the register no then theres mcdonalds. What is it about steve easterbrook, the ceo, that people dont understand . It seems like other than me, hes been doubted every quarter since he took over when the stock was in the 90s mocking him as a onetime winner hardly they didnt believe it would matter that he simplified the menu or he came up with new and good tasting sandwiches. Came up with some new ideas for the rest of the business worldwide. But despite the skeptics, everything has worked, and the franchisees have bought in thats how you get a mega cap skok going from 90 to 159 everything has worked at mcdonalds, and easterbrook is far from finished, even after the stocks 4. 8 move today. I cant wait to speak to him on squawk on the street tomorrow. Last time i asked him why is it going to well . He said, jim, mojo lets talk about the stocks that arent getting the benefit of the doubt today even though they deserve it lets start with this ceo of 3m, whose stock got chainsawed today, losing 5 after the company delivered a good but not great quarter after so many terrific ones. Honestly, i couldnt believe 3m could decline that hard when it had 4 organic growth. Theres so much going right here, including continued growth from new products. The culprit on the selloff i think he spoiled investors by giving them quarter after quarter of margin expansion. So this time when they didnt get that, they missed the earnings by a penny, the damn thing excuse me, darn thing got sent right to the slaughterhou slaughterhouse sell sell sell sell once it mistranslates into a tenpoint decline, does that make sense to you . Personally i think its nuts so i suggest you use this opportunity to buy some shares in one of the highest Quality Companies out there. Next, oh, boy, heres one that you were tweeting me and doing all sorts of stuff so, youre all nervous about it but wait, lets get to the bottom of it Dominos Pizza investors just got spoiled, when dominos reported this time around, it delivered 9 same store sales growth, people were looking for 7. 9 thats nice. But the international number, hmmm up 2. 7 . Many people expected double that, some expected almost triple hence why the stock tumbled more than 21, or 10 today the house of pain i acknowledge that an international slowdown is troubling. Dominos business in britain was very weak and i put on my detectives hat and i went through the Conference Call and mcdonalds had the best results in britain in 43 years so its not like the uk has turned against fast food however, i think longtime ceo patty doyle deserves the benefit of the doubt here. After everything hes done right here, our Sales Performance is soft and below what weve come to expect. With this foundation, a diverse portfolio, and issues easily categorized as correctible, i am confident we can get top line performance in this business to levels we are used to. He then came back with this promise. The slowdown in same store sales was driven by the european region, where the issues in a few select markets are known, and fixable. Fixable you really want to bet against him . Be my guest. Ive been recommending dominos since doyle came on the show seven years ago, when the stock was at 10 even after todays hideous decline, its 192 we heard from the ceo of hasbro that was on the show, the stock fell 11 points over the rest of 2017, i think the companys numbers will jump thanks to the new star wars movie and a hasbro production of my little pony and it was such a big part of season one i think hes champing at the bit ahead of hasbros Analyst Meeting next thursday, august 3, where hell lay out a timeline for what i expect will be an amazing Holiday Season plus, this quarter caused the stock to get hammered last year. You know what that happened to be a terrific buying opportunity. Maybe it will be different this time finally, oh, boy, heres one took my breath away. Alphabet alphabet, where the parent of google showed cracks in its advertising model, as it cant make as much as it did on desk top. Thats why it shed 30 points they got so many ways to monetize the other parting of the business, like youtube, maybe im just not as concerned as others. Its incredible when selling began, nobody thought about wamo, or its data centers. Was it a perfect Conference Call no but has the cfo suddenly become untrustworthy . Are you kidding me i know the sellers arent done they always come back the next day, because they couldnt get their selling done today but theres too much going right at this company to abandon it right now. More on that later in the show you need to have some faith in companys manage teams that have delivered endlessly, or youll never be able to buy stocks at a discount these four are giving you bargains i think all four are worth buying into weakness, starting in tomorrows session. Im going to dennis in michigan. Dennis caller jim, this is dennis calling. Got a question for you im looking at the Airline Stocks, and the last month theyve been down over 5 roughly. But the oil prices are low and the capacity seems to be pretty well off what are your thoughts on the Airline Stocks like delta . All right, look, listen and listen good. Theres only one thats going to come out on top. Even thats going to report and people wont like it, because theyre in the down mode thats southwest air, when they report on the 27th my Charitable Trust owns it. Heres the problem with this group. It went out of favor real fast and now because a couple didnt report good numbers, it will be difficult for the group to turn around right now we have to wait until we see new numbers for this month then they start turning around can we go to kumar in florida, please caller hi, jim, thanks for your book, i appreciate your support for the community. Thank you caller my question is on tesla. I see tesla, the number of cars, theyre selling close to 420, 430 by the end of 2018 so im predicting its going to close to 500 a share. So what is your take on it tesla is a theres probably about a thousand stocks i can opine on tesla is the toughest one. Its the one i always punt on, because if you like the car, you buy the stock. As my friend jim stewart said once when he was on squawk on the street. People who like the car own the stock. You cant shake them, because the car is great so if you want to take a fly on tesla, be my guest miles in ohio, miles caller cramer, how are you doing, man im doing real good, how about you, partner caller im doing good. Im wondering about ibm today. These guys are trading at a low right now, but there is sectors such as cloud, a. I. , you turn on the tv and you see it all the time can they stay competitive when you look at google and amazon getting into their markets aint that the problem, miles. Youre up against google, a wounded google woooo. Youre up against amazon i mean, these are guys who are really amazing, and youre up against microsoft. So you have a 4 yield they can get it together, but its not going to happen overnight or this quarter either you have to believe in Company Managements and get in on the discounts when you believe. Mccormick just sent 4. 2 billion on mustard im sitting down with the ceo if wall street is looking at the deal all wrong and fang is back, but its not the fun youre thinking about. And General Motors just defied the gloomy numbers and the u. S. Auto sector. Hey, im investigating with magna international. So stick with cramer dont miss a second of mad money. Follow jimcramer at twitter have a question . Tweet cramer at madtweets send jim an email t madmoney cnbc. Com or give us a call at 1800743cnbc miss something head to madmoney. Cnbc. Com. [pony neighing] what . Hey gary. Oh. Whats with the dogsized horse . Im crazy stressed trying to figure out this complex trade so i brought in my comfort pony, warren, to help me deal. Isnt that right warren . Well, you could get support from thinkorswims inapp chat. It lets you chat and share your screen directly with a live person right from the app, so you dont need a comfort pony. Oh, so what about my motivational meerkat . Inapp chat on thinkorswim. Only at Td Ameritrade. Hey youve gotta see this. Cno. N. Alright, see you down there. Mmm, fine. Okay, what do we got . Okay, watch this. Do the thing we talked about. What do we say . Its going to be great. Watch. Remember what we were just saying . Go irish see that . Yes im gonna just go back to doing what i was doing. Find your awesome with the xfinity x1 voice remote. The spices in frenchs mustard with the best thing thats happened since the sandwich when it comes to making deals, wall street is no fan of mustard. Pantry player mccormick paid over 4 billion for frenchs and franks. Is there a secret ingredient the market is missing . One of the things that have gotten very difficult is the supermarket industry lately. In order to make it through this period, i think the packaged Food Companies need to merm, geo theyll have more bargaining power. But is that enough to make them worth owning consider mccormick and company, the world leading maker of spices and seasons for years, the stock has worked its way higher however, in the past couple of months, it seems to have gone out of style even though the Company Reported a nice top and bottom line the stock is down 11 from its recent high. Inthe question is, can mccormick banish the doom and gloom . I think its a natural fit and like i said, the package Food Companies need to merge to stay competitive mccormi so should we be giving the spice maker more credit . Lets take a closer look with the chairman and ceo of mccormick. Welcome to mad money. Good to see you, sir thank you for coming on. Great to be here. I know youre a fan of the show, which is fantastic im a fan of what you thought, because im from philadelphia. We only use frenchs red hot cause, its the natural thing that i happen to love to put on things, because it doesnt put weight on. Thats what you have to do these days but here we go, jpmorgan said you paid more than 50 more. So tell us why you did it and why its going to work for you what is were doubling down on is growth and flavor were a Flavor Company our brands are all about flavor. The seasoning, the wonderful foods that people today want to cook from scratch. Were one of the last growth stories left in food and these brands match up perfectly and in many ways theyre like liquid spice. What i think people misinterpret, particularly the older people, is that this is the fastest grower this that whole aisle. That is franks red hot is the real gem in the portfolio brands that we bought this is a brand that was launched in 1920, so its almost 120 years old, but its really 120 years young. Millennials use this brand on everything dont you think they use it because you can eat as much as you want and it doesnt put on weight so you still look okay in the selfies . Thats a good point i think that might be part of it instead of mayo, i switched to hot sauce im on tv and i dont want to look fat this is the way that you avoid it beyond the idea of fat, these products have simple, clean ingredients. If you look on the back, franks has five ingredients red hot cayenne pepper, vinegar, water, garlic, and salt. Thats it. Mccormick, doctors always tell you to use mccormick, because its nothing but the spice. Theres a bigger trend at work here. Younger Consumers Want to cook from scratch and theyre more adventurous in the kitchen and want to make foods from the raw ingredients. And in addition to cooking from scratch, they want more flavor if you look age group by age group, as you get younger with the consumer, they have a higher desire for spicy, flavorful flavors. That is worldwide, not just the u. S. Theres just these trends that occur, but that wasnt my generation what changed this has been a Long Time Coming but generation by generation, it was still true, even in the past our generation, spicy was italian was considered spicy yet today, consumers are challenging them severals with all kinds of spicy cuisines, and the younger consumer is the most adventurous of all we used tobasco when i was younger. In market share, franks is about twice the size of tobasco. The difference is, you can really use franks, because put it on thick. Tobasco, you can use a few drops at a time. Franks on twitter, they use a curse word you can put it on your company is a company that i guess everybody is hot sauce one of the things about hot sauce is its always associated with excitement and fun times and maybe a little bit of irreverence. The idea that theres other brands that come on amazon that dont have any store presence and suddenly come out of nowhere and do well. Amazons a tremendous customer of ours we have a strong presence on amazon we have a great relationship with them. We believe that consumers arent going to be any different about shopping for food than other things, online, its a reality its going to grow, and were committed to being part of it. So this is something were really confident we can do well in this area so lets go back to the original jpmorgan said they priced this out at 2. 8 billion and you came in much, much higher were there just many other bidders you had to do that were you close to other bidders . Who else was involved and why did you choose to pay so much . I wish i could have bought my house for a discount, but if i tried to, somebody else would be living in it same with this this is a quality asset, they have strong growth characteristics, theyre on trend and tremendously profitable a lot of other companies saw value in this. This has been at the top of our strategic plans for over a decade when they decided they were going to sell it, they knew we wanted it. But there were others who did, as well. I always loved your balance sheet, sir but now its not the best balance sheet. This is one of the things weve been conservative with, to give us the firepower to step up leverage more than we normally are and buy the Strategic Asset thats going to grow the company for the longterm. We did it when we bought lowerys, and today that is a great buy. And nobody asks today what those brands cost. Thats a great look ive been a backer of your company forever. I believe that millennials like certain brands and they hlove your brands. Youve won me over on this were going create a lot of shareholders thats the chairman and president and ceo of mccormick you heard about the price and how theyve been waiting for this deal. They were obviously ready. And you know what . I can tell you this is what the younger people mad money is back after the break. Rays always been different. Last year, he said he was going to dig a hole to china. At t is working with farmers to improve irrigation techniques. Remote moisture sensors use a Reliable Network to tell them when and where to water. So that farmers like ray can compete in big ways. China. Oh. He got there. Thats the power of and. Your insurance on time. Tap one little bumper, and up go your rates. What good is having insurance if you get punished for using it . News flash nobodys perfect. For drivers with accident forgiveness, Liberty Mutual wont raise your rates due to your first accident. Switch and you could save 782 on home and auto insurance. Call for a free quote today. Liberty stands with you™ Liberty Mutual insurance. At the lexus golden opportunity sales event before it ends. Choose from the is turbo, es 350 or nx turbo for 299 a month for 36 months if you lease now. Experience amazing at your lexus dealer. Bangs back wait a second, its the wrong fang thats right, were witnessing a rotation as money flows out of the highest Growth Stocks courtesy of the resource stocks. Stocks Like Diamondback Energy symbol fang. The irony is incredible. Alphabet, the parent of google, the g in fang, got hammered because its not making as much off mobile ads as it does desk top. The Staggering Amount of hours people spent watching youtube, 1. 5 billion people watch an hour a day, so it alphabets stock is going to get pounded like facebook did meanwhile, as the tech fang languishes, the oil fang, diamondback energy, went higher. Buy buy buy because of a phenomena, theyre starting to cut back on the capital expenditures, because theyre not making enough money to cover the costs. If you recall, as i said last night, slumberger, oil prices are lower, because wall street has gotten less willing to give these companies money. 8 of the worlds oil capacity that comes from the u. S. , peaking. If thats the case, the traders who dominate the futures bit will switch direction and go long oil because of u. S. Supply cutbacks oil jumped today and seems to be headed back to 50 sense the gain in diamondback sto stock. Its entirely possible that the growth in the core business is slowing. But alphabet has 94. 7 billion