Cramer: Wayfair Is One Of Wall Street's Most Contested Stocks

Investors and analysts appear to be split on Wayfair Inc W as both the bulls and bears present a unique angle to the e-commerce company's outlook. This makes Wayfair a "battleground stock," or the "financial equivalent of a warzone," CNBC's Jim Cramer said during his daily "Mad Money" show on Thursday.

This is especially true when considering that more than 25 percent of Wayfair's outstanding shares are held by short sellers, Cramer said. It appears that each time a Wall Street analyst presents the bullish side of the story, another analyst will follow up with the bearish side.

So which camp is Cramer in? Neither, although the short thesis appears to be winning the battle. There was one "fly in the ointment" moment that likely supports the bear case over the bull case, Cramer said. The company's management team acknowledged during a conference call that it will be ramping up investments in advertising and adding more employees. This is essentially the "Amazon.com, Inc. AMZN template."

Wayfair is betting its future prospects on "spending a fortune in order to grow in the hopes of taking over the furniture world." While it is possible that the "shorts are getting a little shrill" at this point, the bear side of the story does "make some sense," Cramer said. 

Investors may want to consider Cramer's warning: "I wouldn't go short or long this thing. I just think the whole thing is just too dangerous to play in."

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