Jim Cramer Says “I Think Pfizer’s Very Smart to Buy Metsera”

Pfizer Inc. (NYSE:PFE) is one of the stocks Jim Cramer offered insights on. Cramer discussed the company’s acquisition of Metsera during the episode. He commented:

“There’s room for more than one winner in this race for GLP-1 weight loss supremacy, but some of these winners are going to be bigger than others. This morning, the gang on the Squawk on the Street grilled Pfizer CEO, Dr. Albert Bourla, about his company’s $10 billion acquisition of Metsera, a drug company that’s working on a monthly GLP-1 shot. Pfizer’s paying $65 and 60 cents per share upfront, plus contingent payments of $20 and 65 cents per share tied to specific milestones… Can Pfizer win… in the GLP-1 space? Look, the company it just bought, Metsera, has a shot that only needs to be taken once a month instead of once a week like Lilly. But it doesn’t have the efficacy of Lilly’s shot yet. Given that people historically hate to take shots and many eventually stop taking the injections, a once-a-month dosage seems like a terrific idea to me… Still, I think Pfizer’s very smart to buy Metsera in order to get a piece of the GLP-1 pie, even if it takes three years to be approved, and who knows how much time to scale the needed factories. But it could have another Lipitor on its hands. And even if this isn’t Lipitor part two, it’s definitely worth $10 billion to get into what may be the biggest class of drugs ever sold.”

Photo by Spencer Davis on Unsplash

Pfizer Inc. (NYSE:PFE) develops biopharmaceutical products and vaccines across many areas, including cardiovascular, infectious diseases, oncology, and immunology.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.