Sometimes in order to gain insight into innovative trends happening in the market, Jim Cramer likes to go off the tape to speak with privately held companies that could be a game changer for its industry.
That is why Cramer decided to take a closer look a Theranos. This is a privately held revolutionary diagnostics company with the goal of allowing individuals to take better control of their bodies, while changing the inefficient ways of an older medical system.
Elizabeth Holmes founded the Theranos technology, which allows individuals to provide blood samples in a way that is faster, cheaper and better. As a college dropout from Stanford University when she was a sophomore, Holmes decided to take her money and focus on changing the world instead.
In 2014 Theranos raised $400 million, and the company was valued at $9 billion. As a 50 percent owner of the company, Holmes became the youngest self-made female billionaire in the world in 2014.
"This is a revolutionary company that threatens to change healthcare the same way that Amazon changed retail or Intel and Microsoft changed computing, or Apple changed the cellphone," the "Mad Money" host said.
To find out more about the company, Cramer sat down with the founder and CEO Elizabeth Holmes back in April.
"The goal is to empower the individual. We believe strongly that the future of healthcare is in enabling the individual to have the information that they need to take ownership of their health," Holmes said.
The CEO showed Cramer a small tube the size of a pill, which can now be used to replace the big vials currently used to draw blood, simply with the prick of a finger. Currently 80 percent of clinical decisions are made based on lab results from blood testing.
Ultimately Theranos will allow this information to be as painless as possible, cost less and provide further transparency by providing information around pricing so that patients know before they buy a service how much it is going to cost them.
Recently Walgreen's Boots Alliance enlisted Theranos Labs to be available in select wellness centers across the state of Arizona. This was a game changer, as now patients have the ability to have blood drawn during more flexible hours on the weekend. Previously, the only option would be to go to the emergency room to have such a procedure done.
Theranos also will encourage patients to have more testing done, as previously the thought of a needle drawing blood from the arm could be daunting to some, especially children and Holmes herself.
"Absolutely, myself included, I am absolutely terrified of it. I've always said that if you were to think of torture experiments, it would be a phenomenal one because you sit there and watch as your blood is sucked out of you," Holmes said.
She also explained that this could be incredible useful for cancer patients who frequently have to give blood for testing. They also saw incredible results for mothers of autistic children, as Holmes stated that these children would have to be strapped to chair in order to draw blood.
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"We have a belief system, which that this is not about us or our technology. It's about giving people a basic right that they have lost. This is the ability to get access to their health information. Our belief is that the cost of testing should be lower across the board," Holmes added. (Tweet this)
Cramer thought it even reasonable to compare Holmes to what Steve Jobs of Apple did for computing, as he regards her as a visionary for the next generation. He asked her if that is an immense amount of pressure for the CEO to have.
"I don't think there is another Steve Jobs. He was a phenomenal entrepreneur. We've got an incredible opportunity to try to uphold a legacy in Silicon Valley of change in the world, and we are working 24-7 to do it," Holmes replied.
Correction: This article has been updated to reflect Cramer's comparison of Elizabeth Holmes to Steve Jobs and what he did for computing, along with her response that she does not think there is another Steve Jobs.