McDonald's reminds Cramer of Kesha & Pitbull

Cramer: McDonald's reminds me of Kesha & Pitbull
Cramer: McDonald's reminds me of Kesha & Pitbull   

Jim Cramer thinks the decline in the averages on Tuesday made sense. It was logical, and even expected, periodically.

"Since we are in the thick of the playoff hunt, you have to view this market like the NFL. Sometimes a terrific team gets beat simply because it doesn't execute well. Individual players fail to play up to their potential, especially when you're on the road facing a vicious 12th man of a backdrop."

When the "Mad Money" host refers to a backdrop, let's take the Chinese market as an example. It had a huge run recently and was hammered on Monday night, down 5 percent. That's pretty jarring. Not as scary as the 12 percent decline in Greece—the worst in 27 years.

Ultimately, it was individual stocks that rattled Cramer. Investors are used to Verizon delivering, so what the heck happened? It sunk 4 percent on Tuesday when it finally acknowledged the price war between T-Mobile and Sprint, and was downgraded by Baird due to competitive pressures mounting.

Cramer thinks that at the end of the day, the bearish loom that overtook the market made sense. Though, he will still be running with the hometown bull favorites until the end of the year.

Read More Cramer: Why the market decline made sense

McDonald's Corp. signage stands above a restaurant in Carrolton, Kentucky.
Luke Sharrett | Bloomberg | Getty Images
McDonald's Corp. signage stands above a restaurant in Carrolton, Kentucky.

Cramer misses the good 'ole days when the activist investors would actually try to help out the little guys. They would turn around struggling companies and ailing executives who needed to be held accountable.

These days though, it seems like they are going for the big dogs. The best of the best.

"They don't want to lose money, so they pick targets who are already successful and they put heat on them to do even more. In poker terms, they're going after players who have built a straight and trying to get a full house out of them."

This is just too darn sad, because Cramer thinks that there are two companies who are just begging for an activist to strike: United Technologies and McDonald's.

However on Friday, investors learned that the CEO Louis Chenevert may or may not have been spending a lot of time fine tuning his yacht rather than on running his business, resulting in the announcement for Chenevert to retire abruptly.

Then there is McDonald's. Cramer is hearing rumors that there is nothing that this company can do to turn itself around. That they are selling the wrong kind of food.

Seriously?! They have a terrific balance sheet with an extensive reach; Cramer thinks there is definitely something they can do to turn itself around. No one seems to want to take on McDonald's CEO Don Thompson though.


Read More Cramer to activists: Pick on McDonald's!

"History can be a very powerful guide when it comes to picking stocks, but there are times when you simply cannot take your cue from the past, because the future looks so different from anything we've seen before," the "Mad Money" host added.

GameStop is the ultimate example of this. Investors who have stuck with GameStop have been bent, abused and thrown around because they will not acknowledge that things have changed in the video game business.

Wrong. GameStop reported horrendous numbers approximately three weeks ago, missing the quarters in both earnings and sales. The stock fell 13.7 percent after this latest quarter, and has continued to tumble since that time.

What is interesting to Cramer is that the bulls have spent most of the year talking about how GameStop should be doing really well. However, there is a reason why the stock continues to fail, and it's not because of the excuse GameStop gave of a delayed release in the new Assassins Creed game

Alternatively, technology retailer Best Buy has been climbing at a steady pace.

What has Best Buy done differently? Acknowledgement. Management has openly acknowledged all of the issues that the company has faced.

"They don't avoid these issues, they attack them head on, in stark contrast to GameStop, which keeps proving that denial is not just a river in Egypt, to name another river besides Amazon that has destroyed retailers," Cramer said.

Read More Cramer: Stop relying on past trends to pick stocks

Ron Wainshal, CEO of Aircastle Ltd.
Tomohiro Ohsumi | Bloomberg | Getty Images
Ron Wainshal, CEO of Aircastle Ltd.

Utilities have been one of the market's best performing sectors in 2014, but for some reason NRG Energy is actually down for the year.

NRG has a retail division with 3 million customers, business division, and wholesale power generation business. It also has an alternative energy side, utilizing solar power. While this summer was mild one that required less electricity, Cramer thinks the drop may have to do with a new reorganization plan that could be confusing. To clarify, Cramer spoke with NRG Energy CEO, David Crane.

"It's a company in transformation from an all fossil fuel past, to a part fossil fuel and clean energy future. At the end of the day, this is about providing electricity to the American public. It's just doing it in new ways, cleaner ways, more convenient ways," Crane said.

The CEO also pointed out how renewable energy incorporates different aspects than any other energy source has before.

"Renewable energy has actually a visual aspect of electricity, as are solar panels. As an energy provider we are getting into something we have never had to do before which is to worry about aesthetics."

Though the airline industry has had a phenomenal year this year, the cohort was taken down on Tuesday when Spirit Airlines was downgraded by Raymond James.

One airline stock that remains strong, is Aircastle Limited, which buys airplanes and then leases them to airlines around the world. Can the declining global economy affect Aircastle, which has rallied 22 percent in the past six months?

Cramer sat down with Aircastle CEO, Ron Wainshal, to find out if one struggling region in Europe could bring down the stock further.

"There are good carriers and bad carriers from a capitalization perspective. Sometimes there are opportunities that come out of trouble. So if for example, there is a currency weakness in the home currency market we might be able to buy airplanes very effectively from that airline and lease it back to them," Wainsal said.

In the lightning Round, Cramer continued to spot stocks that could use a little TLC when he gave his take on a few caller favorites:

Energy Transfer Partners: "I want to stick with it. It's got a 6 percent yield and I think that the company is fair ball over the last couple of years and made a lot of good moves. I've got no problem anymore with ETP."

Berkshire Hathaway: "This remains one of the strongest buys, we've liked it since the week the show began and and we still like it as much now."

Read MoreLightning Round: Liked this since the first week of the show