Cramer: Apple can't get out of its own way

Cramer on Apple Pay expansion

Despite Apple's reported plans to expand Apple Pay, the stock seems to be stuck, CNBC's Jim Cramer said Thursday.

"Apple is doing a lot of things that people don't seem to care about right now," he said on "Squawk on the Street."

"This is something that's a good idea for Apple, but it can't get out of its own way right now [regarding stock]."

Shares of Internet payment company PayPal slid Thursday morning, a day after a report that Apple will roll out a mobile person-to-person payment system.

Apple is in talks with U.S. banks to develop a service, similar to Paypal's Venmo, that would allow consumers to "zap" payments from their checking accounts to recipients through their Apple devices, The Wall Street Journal reported.

Cramer said that some analyst notes that iPhone sales may have peaked have kept a lid on Apple's stock in recent days.

"But that's the chatter, hedge funds have decided once again, that this is a bad space and it doesn't seem to matter all the innovation that, I think, Apple is bringing to the party."

DISCLOSURE: Cramer's trust owned shares of both Apple and PayPal when this article was published.