You Can Buy Pharma on the Pfizer Catalyst

Did Pfizer (PFE - commentary - Cramer's Take) say it is looking to short other drug companies' stocks? Did Pfizer say the group is overvalued? Too expensive to merge with? If you didn't read our Action Alerts PLUS note from this morning, you would hesitate to think beyond, "Did someone downgrade the drug stocks?"

To me this smacks of opportunity. Think about it like this: Oil's up, not because of demand (except for China perhaps) but because of Gaza. Because oil is up, the oils are up. Because the oils are up, people believe that the economy is strong. Because the economy is strong, it's right to buy the infrastructure stocks, the retailers and the oil service stocks!

And here's Pfizer saying that it is looking to buy. To me, you have an opportunity to pick up some of these stocks, including the ones mentioned in a piece over on TheStreet.com, at prices you should not be able to get. The stocks are cheap, the economy's not strong -- here or worldwide -- and now you have a Pfizer catalyst. I would be willing to buy a basket of them, especially Bristol-Myers (BMY - commentary - Cramer's Take) but also Celgene (CELG - commentary - Cramer's Take), which is getting killed today!

I think that these drug stocks should be bought on weakness, betting not that there is going to be a global economic recovery, just no global economic collapse. The idea, for example, that GM's (GM - commentary - Cramer's Take) sales weren't horrible, down 30%, does not make me want to go buy some Schlumberger (SLB - commentary - Cramer's Take) or some Ultra Pete (UPL - commentary - Cramer's Take).

Read the piece. Buy one of the drug stocks. Gotta like one of these.

Random musings: Doug's got more on Madoff that I like. ... How about this rally in the high-yielding retailers like Nordstrom (JWN - commentary - Cramer's Take) and JC Penney (JCP - commentary - Cramer's Take). For real? These stocks were priced for a depression...

At the time of publication, Cramer was long BMY and CELG.

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