Jim Cramer -- Sage Therapeutics Posts 'Remarkable Results'
iStock
Shares of Sage Therapeutics (SAGE) - Get Report are up a whopping 38% on Tuesday after a mid-stage study revealed that the company's postpartum depression drug was superior to a placebo treatment.
The drug posted "remarkable results," TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Mad Dash" segment.
"This drug could be huge," Cramer continued, adding that TheStreet's Adam Feuerstein also concluded this drug's results were overwhelmingly positive.
Results showed that 70% of women with postpartum depression experienced no more depression after 60 hours, compared to just under 10% of women who received the placebo. The drug did not result in any serious adverse side effects during the study, and will move into a Phase 3 study following the conclusion of the expanding Phase 2 study.
While all of this is great, investors should stay on "froth alert," Cramer said. It's easy to let some stocks rally too far, too fast when the markets are hitting new all-time highs and all seems well. Just be on alert, he concluded.
At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.