Cramer Remix

Cramer Remix: If Trump wants lower drug prices, he's doing it wrong

Cramer Remix: If Trump wants lower drug prices, he's doing it wrong

Just as pharmaceutical stocks started to get red hot, President Donald Trump wrecked everything with a tweet about the drug industry on Tuesday.

Jim Cramer wasn't fazed. While many investors reacted to the tweet by selling pharma stocks, Cramer thinks it is a buying opportunity. Every time the president has singled out an industry or company, the stock gets hammered, and then rebounds.

"If I were president, I would be going after other countries for routinely ripping off our drug companies by jamming them with lower prices, which then causes them to charge more here," the "Mad Money" host said.

Cramer would go after every country that squeezes the profits out of pharmaceutical companies knowing there isn't a cost to it because they make so much money in the U.S. He views it as a classic example of trading partners taking advantage of the U.S. And no president stands up against it.

Donald Trump
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Sometimes when investors are used to a company shooting the lights out every time it reports, it can create great expectations and set them up for disappointment down the road.

Thor Industries is the No. 1 maker of recreational vehicles and motor homes with a stock that plummeted more than 9 percent on Tuesday after reporting an earnings beat with higher-than-expected revenue up nearly 63 percent year over year.

Cramer attributed the stock sell-off to one sentence in the earnings report that said "Given our increased production to meet demand in the seasonally slower first half of the fiscal year we may see lower sequential and year over year growth rates in the second half of the year."

He spoke with Thor's CEO Bob Martin, who explained that while there are backlogs for production, the company is limited on production.

"As we get into the meat of our year, they are pretty tough comps because we really gear up production. This year it should be up, but it's hard to really outpace production where we were last year at this point," Martin said.

One stock that has had stunning success lately is Logitech International, nearly doubling in the past year. In recent years Logitech has diversified itself away from just being a keyboard and mouse maker, venturing into headphones, mobile speakers, video conferencing products, high-end gaming gear and more.

The company beat expectations the last time it reported in January, and on Tuesday it reaffirmed its forecast for 2017 and provided bullish guidance for 2018. Cramer spoke with Logitech's CEO Bracken Darrell to find out the secret behind the company's success.

"At the end of the day we are just a humble device company trying to make great things that people love. And we have really got a good run now of continually putting out products that people really love the experience," Darrell said.

Shares of Tesla have been hammered in the past few weeks, prompting Cramer to turn to the charts to investigate if it could impact the rest of the automobile industry.

To gain further insight on what the charts predict, Cramer spoke with technician Bob Moreno who runs and is a colleague of Cramer's at

Moreno's research found that the era of Tesla outperformance is likely coming to an end, while Ford and General Motors could be ready to break out above key levels.

"The stock has been red hot lately and I hate to chase, which is why I think the pullback Moreno is predicting could be your best buying opportunity in ages," Cramer said.

Shares of Snap also fell another 9 percent on Tuesday, and Cramer shared two ways that it could turn itself into a buy.

The first is that it could reinvent itself as a place to watch short videos that can be advertised against. The second could be if Snap were the beneficiary of a gigantic amount of advertising money that moved online, much like Domino's did for the pizza industry.

Cramer was sick to his stomach when he read stories of millennials buying Snap when it came public last week. He is a believer of owning stocks that you know, but only if the homework is done.

"I just feel terrible about what the younger, new to the market buyers must think right now: that the process is a rip-off, that they were gaffed," Cramer said.

In the lightning round, Cramer quickly gave his take on a few stocks from callers:

TreeHouse Foods: "I was going to tell people from the actionalertsplus club tomorrow, that one is a buy. It was going to be put into my bullpen. That stock's attractive. Sam Reed [CEO] was on, it was a really good story."

TG Therapeutics: "Mike Weiss I welcome you back please, the CEO. Mike, here's what you've got to do. You've got to sell about 20 million shares now that your stock has doubled, raise that money and then bring that drug to market."