Tesaro is an oncology-focused company that aims to help improve the lives of cancer patients. It's first drug, Rolapitant, was licensed from Opko Health (OPK) for a terrific price and is now in Phase III testing. That drug helps prevent nausea in patients undergoing chemotherapy.
Tesaro also has two other drugs in early stage testing, one to directly attack tumors and the other to treat specific lung cancers. With over $138 million in cash on its books and no debt, Cramer said that Tesaro is really a $10 stock with a very promising future.
A Veteran of Many Battles
Benmoche said that one of the things his military service taught him was leadership and taking responsibility for the people who serve under him. This training came in handy at AIG, he said, as he has to instill confidence in its employees, its customers and its shareholders.Looking back at the financial crisis, Benmoche said AIG's problem was not necessarily with bad loans but liquidity. He said the company simply didn't have enough cash. Had AIG had access to the same resources banks did, he feels the company would not have needed bailout money. The value of AIG's assets, he said, was actually OK, which is why the U.S. government has been able to sell some of its stake for a profit. Benmoche said the government still owns 15.9% of AIG, but has been making smart divestitures and will not disrupt other shareholders as it continues to exit. AIG remains committed to its $13 billion stock buyback program to help protect current shareholders, and the company is also working to improve its credit rating. Turning to Hurricane Sandy, Benmoche called it a significant event that AIG can handle. He said the focus at the moment is paying claims to those in need as quickly as possible. Cramer thanked Benmoche for his military service and continued to recommend AIG's stock.