There's some Monday merger madness.
Pfizer (PFL) - Get PIMCO Income Strategy Fund Report announced it is spinning off its off-patent drug business and combining it with Real Money Stock of the Day Mylan (MYL) - Get Mylan N.V. (MYL) Report to create a new company.
Cramer says that he's keeping an eye on Pfizer.
"I'm more inclined to buy Pfizer, Pfizer offloads these low multiples, these low a low margin drugs and Pfizer's down. That's wrong," said Cramer.
But, it's not the only drug stock that he's watching.
Cramer added that he's keeping an eye on Merck (MRK) - Get Merck & Co., Inc. (MRK) Report amidst the drug pricing headlines that are circulating. Drug pricing has been a hot topic for the Trump administration, and it's only going to heat up as we head into the next election.
The reason Cramer's got Merck on the mind? Well, it's simple, really.
The drug pricing debate is circulating around cancer drugs, which is something that Merck has a focus on.
Here's what Cramer had to say.
"So let's watch Merck, cause Merck has a very, very good cancer drug in Keytruda. But if you look at the markup at hospitals, the big markup is in cancer drugs," said Cramer.