Savient Pharmaceuticals

Taking the "risk factor up a dozen notches," Cramer named Savient Pharmaceuticals (SVNT - news - Cramer's Take) as his No. 3 speculative pick.

 Although the stock's been on a "tear," Cramer believes it still has "room to run." In particular, he said, Savient has three great attributes.

The company has "skilled management" and recently launched a testosterone drug, Oxandrin, that helps promote weight gain after surgery. While those first two traits are good, Cramer said the main reason he considers Savient "exciting" is its phase III drug for gout, Puricase.

Three million to five million Americans suffer from gout, and "they're going to take Puricase if they want anything to work for them," he said.

Cramer said Savient shares could easily double if positive phase III data are released in the third quarter.

Rite Aid

No. 2 on Cramer's "sizzling" speculative stocks list is Rite Aid (RAD - news - Cramer's Take - Rating).

Only 10 analysts cover this stock, and it's not getting support from the Street, he said, adding that he loves it "when a hot stock is unloved."

Cramer believes Rite Aid should be valued higher and urged viewers to get in on the action before the Street figures this one out. He advised people to buy it Monday afternoon.

Not only is the company's deal with Brooks-Eckerd supposed to save Rite Aid $150 million, Cramer said it is the one drugstore that seems to have immunity from the "Wal-Mart (WMT - news - Cramer's Take - Rating) disease."

He believes it can't go too much lower without "catching a takeover bid." Moreover, Cramer said this "seemingly innocuous stock" is also a "great inner-city" play.

That said, Cramer welcomed the "architect" of the store's turnaround, CEO Mary Sammons, to the show and asked her how it felt to be the chief executive of his second speculative pick of the year.

Sammons said it felt "great" and that Rite Aid would prove Cramer right.  

When asked whether Rite Aid's expected savings of $150 million from its merger with Brooks-Eckerd was a low estimate of what could be saved, Sammons said it was.

The estimate doesn't take into account increased revenue and increased productivity from the stores Rite Aid is acquiring, she said. If a store is too small or in a bad location, Rite Aid's priority is to relocate it, Sammons continued. With each new store, the company tends to generate "strong double-digit gains for five years," she said.

Responding to a question about integration risk, Sammons said there is always risk but that Rite Aid is "well covered on it."

Level 3 Communications

Cramer's top speculative stock of the year is Level 3 Communications (LVLT - news - Cramer's Take - Rating), a company that owns a broadband network and sells bandwidth.

Although LVLT has spiked more than 35% since Cramer first recommended it in September, that's OK, he said. In fact, he believes the stock has gotten even more attractive since then, scoring a YouTube contract and inking a deal with NBC, allowing the network to get highlights from all other Sunday football games. 

Plus, on Thursday, Level 3 completed its acquisition of Broadwing, Cramer said. He called it a "big risk, big reward" speculative stock and said there is "more than an insignificant" chance that it might lose people money.

But he believes that "if you're gonna stay interested in stocks, you gotta take a few risks, and one of those risks is taking LVLT, even at its $6 level."