CNBC's Jim Cramer on Thursday recommended that investors start hunting for cyclical stocks that are at bargain rates and attracting interest from big fund investors.

As a series of large IPOs consumed Wall Street's attention this week, money managers trimmed holdings in their biggest tech gainers to raise cash to buy into the newly public companies, which put pressure on the broader market.

The money is also moving to value cyclical plays like Dow Inc., Caterpillar and 3M, Cramer said. Each stock rose about 2% during the session.

"I think it's time to start putting cash to work. Instead of tech, though, I recommend picking up some of [the] historically cheap stocks that are being brought down by the entire averages," the "Mad Money" host said.

The comments come after a down day for the major averages that saw Amwell join fellow newcomers JFrog and Snowflake on public markets.

Telemedicine provider Amwell raised $742 million after selling more than 42 million shares at an initial offering of $18. The stock closed up 28% in its debut Thursday.

JFrog, a software development and operation platform, raised about $510 million when it sold more than 11 million shares for $44 apiece in its Wednesday IPO. It closed up 47% the first day and was down slightly Thursday.

Snowflake, a data-warehousing company, was the biggest tech IPO of the year selling shares for $120 a stock in its IPO raising more than $3 billion. The stock, which received much more demand than first anticipated, declined 10% in Thursday's market after more than doubling in Wednesday's debut.

The Dow Jones Industrial Average declined 130 points, or 0.47%, on the day to 27,901.98. The S&P 500 dipped 0.84% to 3,357.01 and the Nasdaq Composite tumbled 1.27% to 10,910.28.

The tech-heavy benchmark briefly dipped back into correction territory, down 10% from its all-time high on Sept. 2.

"I expected a correction, and that's exactly what we're getting here," Cramer said. "That's why we've been raising cash for my charitable trust [and] I've spent weeks telling you to do that."

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