2 More Purchases Into Today's Market Selloff

Shortly before the closing bell, we will be buying 25 shares of Burlington Stores (BURL) at roughly $171.53. In addition, we will be buying 100 shares of PepsiCo (PEP) at roughly $124.76. Following the trades, BURL (425 shares) and PEP (400 shares) will represent 2.76% and 1.89% of the portfolio, respectively.

We are scaling a bit further into our two most recent positions. As a global food and beverage company, PepsiCo is a consumer staple that doesn't need a strong economy to hit its numbers. We think this quality should make the stock a more consistent performer in what has now become a murkier economic climate due to tariffs and currency. And PepsiCo isn't struggling for growth either. The company features a thriving snacks business and an improving beverage business which are contributing to low single digit organic sales trends.

For more on PepsiCo, please see our initiation Alert here and Jim's commentary from today's Daily Rundown here.

We'll also be adding to Burlington, a purchase also consistent with our Alert from earlier here. As we mentioned last Thursday in our trade Alert here, off-price retailers stand to benefit from the supply chain disruptions caused by potential tariffs, making this company a winner amongst a tough retail cohort. We'll continue to scoop up shares if it gets dragged down on retail related selloffs.

As CEO Thomas Kingsbury said on the company's first quarter earnings call in May: "We believe over time, tariffs may cause disruption in the supply chain, which is typically a positive for off-price retailers.

"In addition, prices do go up across retail," he later added, "this could possibly make value an even more important driver of consumers into the off-price channel."

For more buy ideas in today's market selloff, we reiterate our Alert from earlier this morning here.

Again, our plan on big down days like this is to make small, incremental buys at each day-stage of the market - meaning that we buy a little at the open, then again sometime in the early afternoon, so on and so forth. We sent trade Alerts at the open, early afternoon, and mid-afternoon, and now for before the close.

We remind you that we never recommend a member invest all of their money in one fell swoop - we like to play in increments so you can best spread out your cost basis and give yourself some time for positions to settle as we cannot predict the day-to-day movements of the market.

Action Alerts PLUS, which Cramer co-manages as a charitable trust, is long BURL, PEP.