Jim Cramer recently shared that he felt the need for a bodyguard after his critical comments about GameStop during the 2021 meme stock explosion—something that significantly influenced Wall Street and empowered retail investors.
In a conversation on Bloomberg’s “Oddlot” podcast, Cramer, who was recuperating from back surgery at the time, recounted how he could hardly believe his eyes when GameStop’s stock skyrocketed. He mentioned it jumping fourfold in just a few days.
He was so taken aback that he removed his catheter and immediately called CNBC colleagues Carl Quintanilla and David Faber. He recalled saying, “This is ridiculous. Everyone has to sell.” He emphasized that it was time for a 24/7 bodyguard after that revelation.
Cramer even placed a call to CNBC’s “Street Score” from his hospital bed, advising retail investors to cash out while they could. His advice was clear: “Let’s run a home run. Don’t aim for a grand slam. You’ve already won. You’re done.”
At one point, GameStop’s stock reached over $400 in January 2021 but subsequently plummeted to around $10 by mid-February due to a shift in short-selling dynamics.
As a former hedge fund manager, Cramer felt the backlash from retail investors almost instantly, prompting him to hire private security for his safety.
This came during the peak of the pandemic-era meme stock rally, where Reddit traders drove up the prices of GameStop, AMC, and other struggling companies through discussions on forums like Wallstreetbets.
Since then, GameStop’s stock has seen ongoing volatility. While it has drawn interest from retail investors eager to capitalize on potential gains, it remains well below its previous highs.
Last year, shares of GameStop experienced a notable surge led by Keith Gill, known online as “Roaring Kitty.” Gill’s renewed social media presence and significant stock investment reignited excitement about the company.
Trading volumes and options activity spiked again during these increases, mimicking the initial frenzy of 2021. However, these surges were often short-lived, especially following disappointing earnings reports and announcements of new stock offerings.
As of September this year, GameStop’s performance has been mostly stagnant, yet there have been occasional rapid spikes influenced by social media. On Monday, the stock closed around $27, reflecting a decline of about 15% over the year.
