Skip to main content TV Recap: Countering Nastech Naysayers

Cramer sees the pharma stock as a speculative play with potentially huge upside.




is not the most well-liked stock, Jim Cramer believes it is a speculative play that could go up big, he said on Wall St. Confidential

Web video Tuesday.

Sure, an obesity-treament deal with


(MRK) - Get Free Report

was derailed, a deal with

Novo Nordisk

(NVO) - Get Free Report

hasn't been announced yet, and its big deal with

Procter & Gamble

(PG) - Get Free Report

on a nasal spray didn't produce anything. And sure, Nastech has only $60 million left in the bank, Cramer said.

But Cramer expects every one of Nastech's deals should have news between now and Christmas. And given that this company has disappointed time and again, "if any one of them comes through, I think you have a home run," he said.

Nastech is not only doing fabulous work in bone growth, it has insulin, obesity, RNA interference and autism plays, Cramer said.

What's more is the pharmaceutical has got all the best doctors in each one of its plays, patents, and great partners in Merck, Procter & Gamble and Novo Nordisk, Cramer said.

"I have faith in it even though no one else does because if you look at the doctors who work there, if you look at the people who've gone there, and you look at their reputations, there's clearly something going on that's positive," Cramer said.

Further, he believes Nastech's tie-in with Procter & Gamble on bone growth could be "gigantic." There are some milestones people should look out for here, Cramer said, and one is a $5 million payment from P&G. "If we get that within the next few weeks, I think it would be very big," he said.

Nastech could also sell off its RNAi play, Cramer said. "I can't tell you how hot RNAi has been because everybody thinks it's a new genetic weapon against illness," he said. "They would use theirs for the bird flu.

"This is a company where there are a lot of ways to win," Cramer continued. "I would not be using this company as my speculative play if it had been doing well. It's the disappointment factor and the write-off of NSTK that makes it so exciting for me."

Jim Cramer is a director and co-founder of He contributes daily market commentary for's sites and serves as an adviser to the company's CEO. Outside contributing columnists for and, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for

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