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Alkermes (ALKS) - Get Alkermes Plc Report  is a big disappointment Thursday, a day when investors hope a rally in oil could give a boost to U.S. stocks, TheStreet's Jim Cramer said on CNBC's "Stop Trading" segment. 

Alkermes shares are down nearly 40% after the company's major depressive disorder drug failed to meet its endpoints in two Phase III studies. Cramer, the co-manager of the Action Alerts PLUS portfolio, said a lot of investors and patients had high hopes for this drug.

Alkermes ALKS data by YCharts

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Unfortunately, despite the drug's unique formation, it could not pass the trials, he added. This was Alkermes' lead drug treatment, so it's clear investors are showing little mercy to the stock. 

Shares came into 2016 on a high note, hitting a 52-week high just north of $80. The stock has since declined a whopping 54% this year, Cramer said.

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.