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Cramer's 'Mad Money' Recap: Bright Spots

Tickers in this article: MMM HBAN PNRA LO KMP AKS GOOG NOK CVTI WHR COH V DELL ISIS RIMM GLD DD FGP PPG AAPL WAG EPD OSUR
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NEW YORK ( TheStreet) -- High-profile blowups may wreck havoc on the markets, but investors still may be better off than they think, Jim Cramer said about Tuesday's market action.

Cramer told "Mad Money" viewers today's selling really wasn't that bad and even had a few bright spots.

The market is all about symmetry, the predictable cycle of stocks going from free fall, to stability and eventually to recovery and rally.

That cycle will be playing out for DuPont (DD) , he said, as this stock he owns for his charitable trust, Action Alerts PLUS, delivered a horrendous quarter Tuesday. DuPont reported a 32-cent-a-share profit when the markets were looking for 47 cents. That's a full 32% less than investors were expecting and weakness that should have been pre announced by the company weeks ago.

But despite the weakness and the resulting carnage in its share price, Cramer said that DuPont now yields 3.8% and will likely bottom around 4% as the prospects for this great industrial can only improve with the global economy.

Cramer said two other names, 3M (MMM) and Apple (AAPL) , another Action Alerts PLUS name, also hit the markets hard, but they, too, are worth owning for the long term.

Shares of Google (GOOG) demonstrate how this cycle works, said Cramer, as that stock was hit last week, only to stabilize and begin to recover this week.

There were other bright spots in the market, said Cramer, including Coach (COH) , Whirlpool (WHR) and Panera Bread (PNRA) , all of which were able to surprise to the upside.

Executive Decision

In the "Executive Decision" segment, Cramer spoke with Chuck Bunch, chairman and CEO of PPG (PPG) , a chemical maker that, unlike DuPont, delivered a 5-cents-a-share earnings beat when it reported last week. PPG currently pays a 2% yield.

Bunch noted that the commodity chemical business, in which DuPont participates, is a volatile and a cyclical one, which is why PPG has chosen to jettison many of its commodity businesses in favor of specialty chemicals that offer more consistent sales and earnings. He said products like longer-lasting corrosion protection and other coatings are important to customers and help build stable relationships.

Bunch cited several areas of strength for PPG, one of which was autos. He said the auto market is still healthy and PPG is seeing growth of around 5% to 6%. Europe continues to be weak, Bunch noted, but here in America an auto renaissance has begun.

When asked about titanium dioxide, or TiO2, one of DuPont's major failings, Bunch explained that PPG is a buyer of TiO2 for many of its products. After rampant price inflation, that important component is now seeing sequential price declines, which have been great for his company.