Did a greAt job trying to get Trius attributes explained to a fairly ignorant Cramer Very positive about EU partnership possibilities. I would not want to be out when that partnership is announced. I expect capital from partnership rather than dilution!
Executive Decision: Jeff Stein
In the "Executive Decision" segment, Cramer spoke with Jeff Stein, president and CEO of Trius Therapeutics (TSRX_), a biotech on the front lines in fighting drug-resistant bacteria. Shares of Trius have already doubled this year.
Stein said there has been a significant change of mindset regarding drug-resistant bacteria. He said one year ago Congress passed the GAIN Act, which stands for Generate Antibiotic Incentives Now. That act has turned the Food and Drug Administration into a terrific partner in helping to get much needed new drugs to market as quickly as possible.
Stein explained that every year over 100,000 patients die in hospitals from infections that simply cannot be treated by current antibiotics. He said the problem is huge, which is why Trius' drugs are aiming to not only combat the problem head on, but also get patients out of the hospital faster so they can avoid exposure in the first place.
When asked about the company's expansion plans, Stein said Trius is partnering with some terrific companies to bring its drugs to market around the globe. He said the focus will be on both development and commercialization going forward.
Cramer said Trius remains a great story, but with a red-hot, low-dollar stock, investors must use limit orders when purchasing shares.
Sentiment: Strong Buy
I hope you're right about that. Stein made no firm commitment either way on the secondary. That said, he seemed very sincere and wanting to get the drug on the market for people who need it. Although I normally deal primarily in the dollars and cents, it is a feel-good moment when you realize that this drug really will save a lot of lives.
Look for analyst upgrades in the next few weeks. European partnership sounds pretty definitive. Takes dilution out of the equation IMHO. Don't forget this was a lead article in JAMA a few months ago and 92% of infectious disease doctors express high interest in Tedozolid. The ID docs will drive use of this drug. Any analyst assuming FDA approval in 12 months ( 90% chance IMHO) has to see this at least a billion dollar market cap