In the "Executive Decision" segment, Cramer sat down with Jacques Esculier, chairman and CEO of Wabco Holdings (WAB), a truck parts maker that's up 37% since Cramer last recommended it last October.
Esculier said that Wabco develops many different safety and fuel economy systems for trucks worldwide. He said most of these systems, like anti-lock brakes for example, were invented by Wabco. Innovation and invention is at the heart of Wabco, he said.
One of the company's biggest opportunities is emerging markets. Esculier said that in these areas there is little, if any, competition and there is a huge gap in the technology being delivered. Wabco is years ahead, he said.In China, Esculier noted that a 2005 law that required anti-lock brakes on trucks had not been enforced. But now, that's beginning to change, causing huge demand for Wabco technology. In Europe, Esculier said that his company lost 60% of its business in 2009, when truck sales plummeted to 1997 levels. But that is also now beginning to change, and the continent has a lot of catching up to do. Finally, when asked about cost inflation, Esculier said that productivity is a must to drive better profitability and fight inflation. He said that productivity at Wabco has never been higher. Cramer said he continues his support for Wabco, a stock that's 11% off its earlier highs.