Jim Cramer

AAA

DEFINITION of 'Jim Cramer'

Former hedge fund manager, columnist and author as well as host of CNBC's "Mad Money" and CBS radio's "Real Money". Cramer's claim to fame is his bombastic and 'in your face' behavior in which he gives recommendations and analysis on featured and viewer-suggested stocks. Jim Cramer is also one of the founders of TheStreet.com, a popular financial website.

INVESTOPEDIA EXPLAINS 'Jim Cramer'

Although Cramer does give his opinion on the investment value of any given stock, he prefers that his viewers go out and conduct their own research on the underlying businesses before buying stocks. However, many of Cramer's viewers do go and purchase stocks just because he recommended them. This effect is so prominent that the price of a stock can actually go up significantly for a couple of days after his recommendation, due to the increased buying pressure.

Critics often point out that Cramer can be very fickle in his investment outlook, because he appears to frequently flip-flop from a bullish position to a bearish position to reflect the market's current sentiment.

RELATED TERMS
  1. Pundit

    A person that publicly expresses their opinions or comments on ...
  2. Cooler

    A slang term used to describe someone considered to have bad ...
  3. Cramer Bounce

    The sudden overnight appreciation of a stock's price after it ...
  4. Sell

    The process of liquidating an asset in exchange for cash. The ...
  5. Analyst

    A financial professional who has expertise in evaluating investments ...
  6. Buy

    1. A recommendation to purchase a specific security. A buy rating ...
Related Articles
  1. Insurance

    What You Need To Know About Financial Analysts

    Thinking about relying on analyst recommendations for your next trade? We'll show you what to watch out for.
  2. Investing Basics

    Analyst Recommendations: Do Sell Ratings Exist?

    Analyst reports can be an investor's best friend - but without knowing how to read them, you won't be able to fully utilize them.
  3. Professionals

    Making It Big On Wall Street

    Read about some of the most glamorous Wall Street jobs and what it takes to land one.
  4. Active Trading

    6 Steps To Thinking Like A Stock-Market High Roller

    We provide six tips for improving your mindset and becoming a more profitable investor.
  5. Professionals

    An Introduction To The CFA Designation

    The CFA designation is seen as the key certification for investment professionals. Find out what the CFA signifies for candidates and investors.
  6. Personal Finance

    Testing 3 Types Of Analysts

    Different clients require different research reports. Which type of analyst do you need?
  7. Active Trading Fundamentals

    Mad Money ... Mad Market?

    Jim Cramer's spirited recommendations are a case study in irrational market behavior.
  8. Active Trading Fundamentals

    20 Rules To Trade More Professionally

    Break free from the pack and join the professional minority with an approach that raises your odds for long term prosperity.
  9. Bonds & Fixed Income

    Figuring Out How To Cover Your Liability Bases

    Whenever we talk about the asset-liability approach to portfolio management (ALM), the concepts of immunization and cash flow matching come into play.
  10. Investing

    Hedged ETFs That Help You Cushion Currency Impact

    If you’re an investor holding non-U.S. assets, the returns on your investments will be affected when you translate your investment from its local currency

You May Also Like

Hot Definitions
  1. Efficiency Ratio

    Ratios that are typically used to analyze how well a company uses its assets and liabilities internally. Efficiency Ratios ...
  2. Fixed Cost

    A cost that does not change with an increase or decrease in the amount of goods or services produced. Fixed costs are expenses ...
  3. Subsidy

    A benefit given by the government to groups or individuals usually in the form of a cash payment or tax reduction. The subsidy ...
  4. Sunk Cost

    A cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business ...
  5. Technical Skills

    1. The knowledge and abilities needed to accomplish mathematical, engineering, scientific or computer-related duties, as ...
  6. Prepaid Expense

    A type of asset that arises on a balance sheet as a result of business making payments for goods and services to be received ...
Trading Center