Don’t get me wrong, I love Jim Cramer, his mad passion for stocks is contagious. And his book, ‘Confessions of a Street Addict,’ is superb and inspiring. However, you’ve got to be very careful when listening to his mad stock calls.
In a way he’s forced to make calls, as he’s on TV so much and that’s what he’s paid to do. Yes, he’s bound to be wrong since he’s making picks every single day, but sometimes his caffeinated exuberance gets the better of him. Here’s his call to buy shares of Netflix at $135, which is proving to be a disasters call seeing how Netflix is imploding below $100 a share after earnings today. The best hope for Netflix is a take over, but at how low of a price…And I bet Whitney Tilson is still crying for taking off his short in Netflix.
Update: Right now, after hours, shares of Netflix are down over 25%, as the stock is heading close to $88 a share.
Hat tip to ZeroHedge for the video.