MS Drug Could Have Other Uses
A drug used to treat MS may work on additional diseases. Cramer talked with the CEO.
The company is Acorda Therapeutics, (TICKER: ACOR), a small, billion dollar biopharma firm that's focused on neurology.
Back in 2010, Acorda received FDA approval for a drug called Ampyra that helps people with multiple sclerosis regain some of their ability to walk.
Cramer talked about other companies behind treatments for MS earlier in the week. Click here to go to "Don't Overlook This Biotech"
According to Cramer, the really impressive thing about this story is that Ampyra could have multiple indications, meaning it could work on additional diseases.
Right now Acorda's conducting phase 2 studies to see if their drug could also work on people with cerebral palsy—a market that's twice the size of MS—as well as people who suffer from chronic strokes, which is a gigantic market, 7 million people in the United States alone.
"These additional indications are still in the early stages of being studied, so it's a high risk proposition, but if they work out then the rewards could be enormous," said Cramer.
Acorda also has a fairly robust pipeline.
The company's working on a nasal spray version of diazepam—the generic name for valium—to help people with epilepsy, and the company expects to file its new drug application on this one sometime in 2013.
"They've also got a intriguing projects that are still in very early phase one development, but could ultimately pay off many years down the road," Cramer explained. "This company is making people's lives better," he added. "The stock makes sense to me. But wait for a pullback."
You can see Cramer's interview with Ron Cohen, the founder and CEO of Acorda Therapeutics in the video above.
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