Cramer's 'Mad Money' Recap: Spec Medicine

Another great speculative medical name is Micrus Endovascular (MEND Quote), Cramer told viewers.

On Thursday Micrus' stock got knocked down a "hefty" $2, and those who owned it are in the house of pain, he said. But now Micrus is lower, offering a great entry point for people to get into the stock, Cramer said. The stock peaked at $25 and then moved back because it didn't get approval to use microcoils as a way to treat cerebral aneurysms in China.

The market is only looking at the stock short term, Cramer said. This approval hasn't been canceled, just postponed.

Micrus is a small company, but it maintains the second position in its market. Boston Scientific (BSX Quote) and Johnson & Johnson (JNJ Quote) are competitors, but Cramer said he wouldn't worry about them.

Everybody's fretting about the China nonapproval, but it could still happen, he said. To be speculative, you need to take risks. Cramer advised buying Micrus, waiting for the China approval and then selling into the strength the approval creates.

Micrus could even be taken over, he added, as Big Pharma companies are always looking to get their hands on a good small company like this. "So you could win two ways," Cramer said. "It either makes you money or it will get bought out."

However, Cramer stressed that a stock like this should be bought incrementally and with limit orders.