Why Jim Cramer Likes GoodRx

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GoodRx, which is a digital prescription price comparison and coupon provider, soared in its first day of trading Wednesday on the Nasdaq.

It priced at $33. 

The IPO price was far above the $24 to $28 range set by the underwriters. With 34,615,384 shares sold, the company raised more than $1.1 billion.

GoodRx is backed by private-equity titan Silver Lake as well as Francisco Partners and Spectrum Equity. It has 338 employees.

In the six months ended June 30, GoodRx posted net income of $54.7 million, up from $31.2 million a year earlier. Revenue totaled $256.7 million in revenue, up from $173.2 million a year earlier. Many tech companies going public are nothing close to profitable.

GoodRx had debt $697 million as of June 30.

In its prospectus, the company said its mission was “to help Americans get the healthcare they need at a price they can afford.”

Co-founders and CEOs Doug Hirsch and Trevor Bezdek wrote in the prospectus that “so far, we’ve saved Americans an estimated $20 billion on prescriptions and medical services. We have helped a lot of people save money on their care.”

You can follow Jim Cramer and Katherine Ross on Twitter at @JimCramer and @byKatherineRoss. Read more from Katherine Ross here.

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