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Investing can be confusing. Luckily, Cramer has mapped out some road rules for all you Home Gamers trying to navigate the jungle that is Wall Street. Think of it as "Mad Money 101" –- some fundamental advice to keep in mind as you play the market. Whether you're a first time investor or a seasoned financier, it's always good to remember the basics.
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Feb.06
3:25 PM ET

Cramer called Lehman Brothers' Clorox downgrade "brutal" during Wednesday's Stop Trading!.

"I don't know how the company comes back from it," he said.

Lehman's analyst called management's credibility into question, Cramer pointed out, and told investors to sell the stock. The report was "truly negative," he said, considering rivals Avon [AVP  Loading...      ()   ], Procter & Gamble [PG  Loading...      ()   ] and Colgate-Palmolive [CL  Loading...      ()   ] are doing well.

The downgrade could mean that Clorox [CLX  Loading...      ()   ], part of the normally recession-resistant consumer goods sector, could watch its competitors climb if the market turns down while CLX stays flat.

In earnings news The Walt Disney Co. [DIS  Loading...      ()   ] reported better-than-expected numbers -- at least to the Citigroup analyst that recently downgraded the stock. The analyst cited weak performance in Disney's theme park division, but the earnings call showed that business was actually up year-over-year.

Lastly, both VF Corp. [VFC  Loading...      ()   ] and Ralph Lauren [RL  Loading...      ()   ] are up, both for different reasons, though. VFC pre-announced upside guidance twice and beat both projections, while Ralph Lauren went up after merely meeting consensus estimates. Sentiment about RL was so negative, Cramer said, the stock had no choice but to go up once it made the quarter.

Any negativity about retail is probably already baked into these stocks, Cramer said, so both have good chances of increasing even more.

Jim's charitable trust owns Citigroup.

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