The album peaked at twelve on the U.S. Billboard 200 and reached the top spot on the R&B Albums chart. By February 1997 the album was certified gold.
Steve Huey of AllMusic, though critical of the album's numerous interludes, stated that "lyrically, Redman is as strong as ever," and of the overall work, remarked that "Muddy Waters solidifies Redman's growing reputation as one of the most consistent rappers of the '90s."
Redman had stated that he had planned on releasing a sequel to the album entitled Muddy Waters 2, considering it is his most classic work.