Even the company dubbed "the Netflix of China" can't change CNBC's Jim Cramer's opinion on Chinese IPOs.
"In the midst of the trade tensions with the People’s Republic, China-based companies keep coming public here and their stocks have been roaring," the "Mad Money" host said Thursday. "Many of these names, though, [are of] dubious quality."
Those names include iQiyi, a video streaming service provider majority-owned by China's Baidu that came public on the Nasdaq exchange in March. CNBC previously reported that iQiyi helped the U.S. IPO market have its best quarter in three years.
Since its offering, shares of iQiyi have been notably volatile, sinking lower than its $18 offering price on its first trading day, climbing to $46 a share by mid-June, then getting clobbered into the low $30s in late June and early July.
Shares of iQiyi ended Thursday's trading session in the red, down 5.43 percent at $31.19 a share.
While Cramer understood the hype brought about by another Netflix-like investing opportunity, he asked investors to be cautious.
"Hey, who wouldn’t be intrigued by the Chinese Netflix?" he acknowledged. "But this kind of stock is very difficult to value and I think it needs to cool off more before it’s worth even considering."