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Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Monday June 4.

CEO Interview: Daniel Junius, ImmunoGen (NASDAQ:IMGN). Other stock mentioned: Sanofi-Aventis (NYSE:SNY)

Even in a tough economy, investors still need at least one speculative stock for their portfolios, and biotech, which is resistant to the volatility of macro data, is a good place to start looking. The current meeting of the American Society of Clinical Oncology is not getting the attention it deserves, but is being upstaged by grim European economic news. However, ImmunoGen (IMGN) is scoring some victories at the conference with a few drugs for which it provided technology. Traditional cancer treatments, like chemotherapy, tend to destroy good cells along with malignant cells. IMGN's technology is like a missile that targets the cancer cells and does not harm the rest of the body. IMGN closed up 2.9% on Monday, and has risen 79% since 2009.

ImmunoGen's partnership with Roche has created what may be the most revolutionary drug for metastatic breast cancer. The study showed a survival rate of 17 additional patients out of 100 and one third fewer adverse side effects. IMGN is also working with Sanofi-Aventis (SNY) on a non-Hodgkins lymphoma treatment that looks promising; CEO Daniel Junius said the current news about both treatments "raises the visibility of our technology." Cramer commented that, while "the royalty stream is smaller than we would like" most biotechs don't get as far as IMGN, and is bullish on its story.

2 Worst Case Scenarios For The Market

Cramer outlined two worst case scenarios for the economy.

1. The Dow could fall 10%, repeating the performance of 2011.

2. The Dow could drop 50%, as it did in 2009.

Cramer thinks it is possible that, if constructive action isn't taken soon in Europe, a repeat of the 2011 scenario is possible, but he doesn't see 2009 happening again. Europe is in worse shape than last year, China has cooled off and Brazil is decelerating. It is possible that U.S. debt could receive another downgrade and employment, while higher than last year, is not improving. Factors to mitigate this harsh 2011-like picture are that housing is stabilizing, 3 million more cars are being sold in the U.S. than last year, companies have clean balance sheets and great profits, commodities are coming down and the consumer is spending. Still, Cramer thinks the 2011 scenario has a 50/50 chance of repeating itself.

The 2009 scenario is very unlikely to happen again, in spite of the possibility of entire countries failing, because domestic banks are stronger than they were prior to the recession. There are more domestic jobs, mortgage rates are low and companies are raising dividends.

The most likely scenario, according to Cramer, is that things might look, by the end of the year, a bit worse than they were in 2011.

CEO Interview: Dr. Harvey Berger, Ariad Pharmaceuticals (NASDAQ:ARIA)

Ariad Pharmaceuticals (ARIA) is a small cap speculative biotech company that is seeing success with clinical trials of its leukemia drug, which is expected to get FDA approval in the 3rd quarter and generate up to $2.5 billion in revenue for the company. CEO Dr. Harvey Berger said the results for the drug were "striking"; the drug, administered to patients that have treatment-resistant leukemia, was successful in 54% of cases. Cramer asked Dr. Berger why Ariad is going it alone in researching, developing and marketing its leukemia drug. Dr. Berger responded that flying solo with the drug will increase value to shareholders and will enable the company to grow. Currently, Ariad has 4 cancer drugs in its pipeline, and has risen 140% year over year and 28% so far this year. Cramer likes Ariad's story, but urged investors to do research on the company before buying the stock.

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Source: Cramer's Mad Money - Most Biotechs Don't Get As Far As ImmunoGen (6/4/12)