Hedge funds are either piling into the stock and riding it while it is high, or they are blasting it out and shorting it. This causes insane volatility for the stock, as was evidenced with Netflix getting crushed after Icahn's call to sell on Wednesday.  Cramer thinks that Netflix is volatile partially because it is a tough stock to value. It doesn't trade on traditional methods of measuring value, such as earnings. Instead, it trades based on sign-ups, new content and emotions.  "Here's the thing: Netflix is a company with a product that is enjoyed by the masses and this seven-for-one split allows users to buy more shares, which can entice them into the stock," Cramer explained.  Thus, the split in Netflix will make it possible for an ordinary person to buy more shares, which leads to a satisfied shareholder.  However, Cramer does think that the long-term prospects for Netflix are positive. He has seen positive reactions to stocks such as Salesforce and Visa when they both more retail oriented. He also saw that once a stock gets to the $200 range, the volatility escalates, again.  "At the end of the day, if you want to own Netflix, you should buy it because the opportunity is so great, not because you can buy more shares with fewer dollars," Cramer said.  ---------------------------------------------------------- Read more from Mad Money with Jim Cramer Cramer Remix: The most artificial move I've seen Cramer: Explosive rally ahead for Facebook Cramer: Spotting undervalued oil stocks ----------------------------------------------------------  Likewise, he also recommended that if you want to sell Netflix, it should be because you think it's too risky at the current price. Not because some fancy hedge fund manager sells it.  Ultimately, with more retail investors owning the stock, Cramer sees a future of Netflix trading more like a normal stock instead of a toy for super-rich money managers to play with.
Jim Cramer warns investors that a split is not a good reason to own a stock; it's just cosmetic.