
Jim Cramer -- Regeneron's Rally Is Going to Boost Biotechs
NEW YORK (TheStreet) -- Eli Lilly (LLY) - Get Report shares are down an unhealthy 7% Monday after the company said it is shutting down trials on its cholesterol-lowering treatment.
This is going to give a big boost to other biotechs developing cholesterol treatments, specifically Regeneron (REGN) - Get Report and Amgen (AMGN) - Get Report , TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Mad Dash" segment.
Regeneron shares are up over 4% while Amgen's are up nearly 2% Monday.
Much of the biotech sector has been incredibly weak, with the iShares Biotech ETF (IBB) - Get Report that tracks the sector down 23% from its July high.
At the same time, many of these biotech stocks have become incredibly cheap on a valuation basis, Cramer said. Besides Regeneron and Amgen there's Cramer favoriteCelgene (CELG) - Get Report , which just released very positive data for its psoriasis treatment, he said.
Investors should wait to see if Regeneron can help push biotech stocks higher, which, he hopes, would mark a bottom in the recent biotech rout, he added.
Despite the drop in Eli Lilly shares, Cramer insisted he still likes the stock because of the company's impressive pipeline.
At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.









