Advanced Diabetes Treatments
Rounding out Cramer's "Speculation Friday," features, Cramer dove into treating diabetes which affects 8% of all Americans at a cost of $116 billion a year. The diabetes epidemic is expected to grow to 25% of the U.S. population by 2024, thanks to the uncontrolled growth of obesity in our country.
DexCom is leading the way in constant insulin monitoring devices. Unlike traditional finger pricks, which only monitor four times a day, DexCom's devices provides a constant stream of insulin levels. The company is expected to have $122 million in sales by 2012 and is growing at a 30% rate.Insulet is leading the charge in insulin pumps, that deliver insulin to the body automatically, instead of relying on the patient to inject themselves. Insulet is waiting on FDA approval for it's latest unit, which is one-third smaller and costs a third less to manufacture. However the most exciting prospects are when DexCom and Insulet's products are combined. DexCom's monitor alongside Insulet's pump provides essentially an artificial pancreas, which regulates its own insulin levels without patient intervention. Cramer said the prospects for this new combined therapy could revolutionize the way diabetes is treated going forward, which is why these tow companies are the perfect speculation.
Lightning RoundCramer was bullish on Starbucks (SBUX), Schlumberger (SLB), Limelight Networks (LLNW) and Pitney Bowes (PBI). He was bearish on Honda Motor (HMC), Agilent Technologies (A), Molycorp (MCP) and Skechers USA (SKX).
Closing CommentsIn his "No Huddle Offense" segment, Cramer sounded off against his critics, who called him reckless for focusing on the hope of a Japanese rebuilding rather than the fear of a potential nuclear catastrophe. Cramer said making money in the markets is all about buying the right stocks, at the right time. He said the bears have proven that there's no money to be made by panicking, but staying the course actually makes money. He said sometimes the situation can actually get better, which is why investors can't always listen to the naysayers. --Written by Scott Rutt in Washington, D.C. To contact the writer of this article, click here: Scott Rutt. To follow the writer on Twitter, go to http://twitter.com/scottrutt. To submit a news tip, send an email to: firstname.lastname@example.org. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here. For more of Cramer's insights during the Lightning Round, click here.
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