A series of polyacrylamide nanocomposite hydrogels were synthesized by in situ free radical polymerization of acrylamide (AAm) with ethylene glycol dimethacrylate (EGDMA) as a crosslinker in the presence of sodium montmorillonite (NaMMT) and organically modified montmorillonite (OrgMMT) clays. Modification of MMT was carried out with a quaternary salt of coco amine as intercalant having a styryl group whose contribution to both polymerization and crosslinking reactions via its reactive double bond was confirmed by solid state NMR. Exfoliation success was checked with X-ray diffraction (XRD) and atomic force microscopy (AFM) techniques whereas mechanical performance was followed with uniaxial compression experiment. It has been found that exfoliated PAAm nanocomposites having 0.5% OrgMMT had both the maximum equilibrium swelling in water and compression strength as well as improved thermal stability due to the special and beneficial morphology observed via scanning electron microscopy (SEM).