NEW YORK ( TheStreet) -- "It's my turn to set the record straight," Jim Cramer told the viewers of his "Mad Money" TV show Wednesday. He said in a topsy turvy market like today, its prudent to take some time out to prove why all of the bears are wrong. For weeks now, Cramer has been attacking the bears, the ones that are negative no matter what, the ones that think the sky is falling, and coincidentally, the ones that have been keeping investors out of the markets and costing them a fortune. According to the bears, the Republican win in New Jersey yesterday occurred because of local issues. But Cramer said the election results are clearly a slap in the face for the Democrats, and make the healthcare stocks, like Wellpoint ( WLP), an even bigger buy.
Post MortemIn the "Executive Decision" segment, Cramer spoke with Hank Nothhaft, president and CEO of Tessera Technology ( TSRA), a stock which dropped from $26 to $20 after reporting a weaker-than-expected fourth-quarter outlook. Nothhaft characterized the shortfall as a massive disconnect on expectations. He said there was nothing in his last interview on "Mad Money" a month ago that he would change. However he noted that the company needs to be more transparent with its volume pricing discounts so that analysts can better gauge Tessera's earnings. Nothhaft said that things are still "on track" at Tessera, and the company delivered on both its revenue and earnings forcasts for its third quarter. He said that his entire management team was disappointed by the analysts' reaction to the current guidance. Cramer commended Nothhaft for coming back on the show and defending himself, but also faulted the CEO for over promising and under delivering on the earnings forecast, a recipe for disaster on Wall Street. He said that Tessera still has $8 in cash on the books and a strong future ahead of it. "This one will live to play again," he said.
A Speculative PlayCramer spoke with Dan Junius, president and CEO of ImmunoGen ( IMGN), another company working to fight cancer. Cramer called ImmunoGen a speculative play in the war on cancer, but noted that the company's breast cancer drug, T-DM1, is seeing strong results in clinical trials and could receive approval in late 2010. Junius agreed with Cramer's characterization of ImmunoGen as speculative, saying that biotechs in general are speculative, but the company's business model, which relies on multiple compounds and strong business partners, helps take some of that risk out of the equation. Junius also explained that when ImmunoGen partners with other drug companies they often receive up front money, as well as milestone payments at varies stages, to help with development costs. Thus the company is not solely dependent on generating revenues, nor receiving outside funding to continue operations. When asked why ImmunoGen is not a takeover target for a larger drug company, Junius said that a takeover is unlikely given the many partnerships it has with all of the larger players. He said ImmunoGen's strategy is to continue to develop their platform of drugs in house.