Cramer Exudes Vindication For Meta 'Hold' Tip After Montana's 'Bonanza' TikTok Ban: 'That Day Has Come'

CNBC Mad Money host Jim Cramer weighed in on how Meta Platform, Inc. META will be impacted by Montana's decision to ban the Chinese short-video app TikTok.

What Happened: "One of the reasons why we have been so adamant about holding META for the trust/club is how much we used Reels at my old bar and how successful it was," Cramer tweeted.

TikTok's huge popularity among teens has impacted engagement for other social media platforms. The Chinese app's name invariably comes up during recent earnings calls for companies such as Meta and Alphabet, Inc. GOOGL GOOG.

Meta and Alphabet now have copycat versions for TikTok with Reels and YouTube Shorts, respectively.

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TikTik Ban A Boon: Cramer said, "I have always thought it would be a bonanza if some states start the ball rolling against tik-tok."

"That day has come," he added.

Montana has become the first U.S. state to ban TikTok on personal devices. The federal government has been mulling the possibility of a TikTok ban for some time.

Former President Donald Trump signed an executive order banning TikTok on government-issued devices in August 2020 and strived to ban its U.S. operations, citing user privacy issues and the argument that it is controlled by the government. A federal court subsequently overturned the Trump administration's attempt to ban it.

In premarket trading on Thursday, Meta rose 0.19% to $242.95, according to Benzinga Pro data.

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