Cramer's 'Mad Money' Recap: What to Know About IPOs

As people have the desire to have wrinkle-free skin, Cramer said he has liked Medicis (MRX Quote) for its Restylane product and Allergan (AGN Quote) for its Juviderm and Botox products.

And although Artes Medical, which is scheduled to go public later this week under the ticker ARTE, looks like it was designed to get his approval, Cramer said he's dumping it.

He said he would call it "a triple sell to the third power," but it's not even public yet, so nobody's in it. Cramer explained he doesn't like this IPO because Artes is a start-up company with no revenue and one product.

Its one product, ArteFill, sounds "terrific" and the company says it's a permanent solution for wrinkle-free skin, he said. But even though "ArteFill sounds like a real game-breaker," Cramer said the Food and Dug Administration will not let Arte advertise it as a permanent solution.

Also, he pointed out the possibility that doctors will be unreceptive to ArteFill, like doctors in Europe and Canada have been. There is also the chance people who use ArteFill will develop skin inflammations, just like people who have used it allegedly have, and sue the company, Cramer said.

Arte has been losing money and is a "risky" IPO, he went on to say. Plus, Cramer believes if Allergan decided it wants to figure out how to make a competitive product, it could.

"As IPOs go, Artes has everything you don't want," he said. "It has no earnings, it has no sales and it can be easily abused by Allergan."

No matter how good its product might be, it is entering a market that already has a lot of players, Cramer said. "There's no room for Artes Medical."