When the market falls as it did on Thursday, with the Dow losing 133 points, investors should turn to the safer, more consistent stocks that pay a dividend, Cramer said. Often times these are food and beverage companies like PepsiCo , whose products are bought regardless of whether the unemployment rate is rising or falling.
Cramer during Mad Money praised Pepsi’s products, from Doritos to Gatorade, as well as the strong balance sheet and significant overseas exposure. Right now PEP is cheap, trading at a discount to its historical multiple, and the stock yields a healthy 3%. Cramer said that number could trend higher given the company’s bright prospects.