You don't have to be rich to run with Jim Cramer. You can generate big profits even if you have a small wallet.
Although the "Mad Money" host doesn't think that 'buy' decisions should ever be based on a stock's price, per share, he does recognize that not everyone has the capital to buy high dollar stocks.
Therefore, he's been scouring the market looking for a good stock that doesn't cost a lot. And his research has led him to Rite Aid which closed Friday slightly under $7.
In fact, of all the stocks trading below $10, Cramer likes Rite Aid best. He believes the company and therefore shares are facing a slew of tailwinds. For example:
1. Regardless of how you feel about the Affordable Care Act, there's no doubt at this point that it's going to allow millions of uninsured people to get healthcare coverage, and the more people who have insurance, the more prescriptions Rite-Aid can fill.
2. The population is aging, every year our country's demographics skew older and older, and older people need more prescriptions.
3. This year alone drugs going off patent will total $35 billion. That's bullish for the bottom line because generic drugs carry much higher margins for pharmacies than patent protected ones.