Up 22% in a day, what should you do with Medidata?

(Click for video linked to a searchable transcript of this Mad Money segment)

Shares of Medidata surged over 20% on Thursday; " it was an absolutely massive move," noted Cramer and one that's captured the attention of much of Wall Street.

Largely gains were triggered by a much better than expected earnings report.

"Medidata reported a phenomenal quarter, shooting the lights out with a 7-cent earnings beat off of a 29-cent basis, and better than expected revenues that rose 27.2% year over year," Cramer said.

After scrutinizing results, investors have given the company a vote of confidence in the way that matters most on the Street - with their money.

Mstay | iStock Vectors | Getty Images

That's likely because "Medidata sits at the confluence of cloud computing and new drug development," Cramer explained. The company is a leading global provider of cloud-based solutions for clinical research in life sciences.

Therefore, investors believe the company, and by proxy the stock, could well benefit from not one but two trends underway in the market. Here's how:

1) As a tech company that makes products which siginficantly improve efficiency.

2) As a company that benefits from a shift to the cloud that's underway across the entire health care industry

If the company can in fact leverage both trends it would seem that the stock has room to run.

Read More from Mad Money with Jim Cramer
Silent killer stalking stocks, says Cramer
Cramer's spec plays: Buy sell or hold?
Ear to Street, Cramer hearing about Apple

However, with shares up 22% in a single session, Cramer hesitates to chase. Nonetheless, he believes the stock is worth watching. "I know it's richly valued but I stand behind the company," said Cramer. "Put it on your radar."

What's the stock doing now? Click here for the latest quote.

Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com