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Weak pre-announcement for Cree, Agrium: Jim Cramer

Cramer's Mad Dash: CREE & AGU stumble
VIDEO2:4602:46
Cramer's Mad Dash: CREE & AGU stumble

CNBC's Jim Cramer on Thursday flagged investors on two companies that recently issued earnings warnings.

Jim Cramer
Adam Jeffery | CNBC

Cree, a maker of light-emitting diodes, pre-announced earnings that Cramer said suggest its business is doing "really bad." Its lighting products business, in particular, suffered a 20 percent decline year-over-year, with the company citing weaker global demand.

"That's what I worry about," Cramer said on "Squawk on the Street," suggesting weak demand is one of the more difficult headwinds to face.

Meantime, fertilizer producer Agrium pre-announced quarterly results that were lower than expected, citing strong growing conditions.

"You just don't need a lot of fertilizer when things are real good," Cramer said.

In turn, he said, investors "would be foolish not to" pay attention to Agrium's pre-announcement, as it could spark selling throughout the agriculture sector.

"People sell first and ask questions later," Cramer said. "All of those are going to be weaker. The whole complex."

DISCLOSURE: When this story was published, Cramer's charitable trust had no positions in Agrium or Cree.