Cramer's Outsourcing R&D Stock Plays
1908 views
Rate Now: 1 2 3 4

average rating: 0.00 / 0 ratings
Created by barrons2
DESCRIPTION:

Date updated:01-17-2008

Cramer recently focused on contract research organizations, or CROs. These companies allow big pharmaceuticals to outsource their clinical trial work to cut costs.

symbol name last price % change open
  • +
  • CVD
    Covance Inc.
  • $45.86
  • 0.00%
  • $44.52

Cramer's favorite in this space is Covance (CVD). Covance, Cramer said, handles early and late stage testing and has a solid customer base. The company also has an immaculate balance sheet, according to Cramer. Covance has $250 million in cash, no debt and $300 million in expected free cash flow over the next two years. Cramer sees the potential for Covance to trade at 37 times this year's earnings, which translates to a target price of $115, or a 33% upside. Despite being just $1 off its 52-week high, Cramer said Covance "must be bought on any weakness."

People owning CVD also tend to own: BDXBGCAAPLCOHCROXCSCOCTSH

TheStreet.com Rating: C What is this?

  • +
  • CRL
    Charles River Lab
  • $31.78
  • 0.00%
  • $31.39

Cramer also recommended Charles River Labs (CRL) as an early stage CRO play and Parexel (PRXL) as a pure-play late stage CRO.

People owning CRL also tend to own: ADMAEEAMGNBLUDBWCATCOP

TheStreet.com Rating: C- What is this?

  • +
  • PRXL
    Parexel Internati
  • $11.22
  • +3.51%
  • $10.83

Cramer also recommended Charles River Labs (CRL) as an early stage CRO play and Parexel (PRXL) as a pure-play late stage CRO.

People owning PRXL also tend to own: PPDIVZAAPLADSBIDUEPFAN

TheStreet.com Rating: C What is this?

  • +
  • NVS
    Novartis Ag Basel
  • $39.80
  • 0.00%
  • $39.26

He also still likes drugmaker Novartis (NVS) and retailer CVS Caremark (CVS). CVS is a stock that he also owns for his Action Alerts PLUS portfolio.

People owning NVS also tend to own: ANNAUYBACBHIERICFGE

TheStreet.com Rating: C+ What is this?

  • +
  • CVS
    Cvs Caremark Corp
  • $31.34
  • 0.00%
  • $30.69

He also still likes drugmaker Novartis (NVS) and retailer CVS Caremark (CVS). CVS is a stock that he also owns for his Action Alerts PLUS portfolio.

People owning CVS also tend to own: CCLXGOOGGSHDJNJLLY

TheStreet.com Rating: B- What is this?

Portfolio not tracked!

Comments not available

ADD YOUR COMMENTS:

latest articles | popular forums
Four Must-See Charts: Stem Cell ...

By Stockpickr Staff Posted on July 2, 2009 Developments in the stem cell world are starting to get very interesting. On Tuesday, General Electric (GE) signed an exc...

07.02.09 | 15:19 PM
Stockpickr's Picks of the Day: J...

By Rebecca Corvino Posted on July 2, 2009 Every day, Stockpickr members are creating and sharing stock ideas with each other through various platforms. If you're not al...

07.02.09 | 13:43 PM
Cramer's Take on Headline Stocks...

By Rebecca Corvino Posted at 12:30 p.m. EDT on July 2, 2009 Making Thursday's headlines and sending stocks lower were reports that June saw the loss of 467,000 more job...

07.02.09 | 12:31 PM
Dividend Stocks for the Week

By Stockpickr Staff Posted on July 2, 2009 Some investors assume that at this time of year, it's the summer doldrums for the stock market. After all, as the saying goe...

07.02.09 | 11:02 AM
more articles
General market Technical Analysi...
11.14.07 | 22:55 PM From author ZA
Will black social ills take a ba...
11.22.08 | 18:53 PM From author Valerie Vecchio
Wealth distribution by race and ...
11.23.08 | 18:44 PM From author Valerie Vecchio
The Presidential/Political Thread
01.02.08 | 08:05 AM From author Dave Cox
more forums
recent answers | popular answers
bubble(1)
Q. Right now futures for tomorrow(M...
07.05.09 | 21:41 PM Asked by blitz373

A. commodities also down across the board.
i think guidance will be the real market
mover, cause i think we only have q3
left for peoples patience to run out.
mike

show all recent stockpickr answers
today 's lists
52-Week Highs

Here are some of the biggest stocks that made the 52-week high list on July 1, 2009. more

Biggest % Gainers

Here are some of the largest % gainers from July 1, 2009. more

Analyst Downgrades

Analyst Downgrades for July 1, 2009. Read more here. more

show all today's lists