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NEW YORK (TheStreet) -- After Friday's big unemployment number, it's clear things are improving, Jim Cramer said on "Mad Money". But that doesn't mean the stock market is celebrating because the markets operate on expectations and predictions.
How can good employment news be bad for the markets? Easy, said Cramer. Many bearish investors were expecting the worst, which means now that things are getting better, high-multiple stocks like Regeneron (REGN) are being hit hard as those investors rotate into other sectors that are finally growing again.
As for the industrials, they're getting hit because many bullish investors were bidding these names up ahead of today's news and are now taking profits. But in the end, more employment means more corporate profits and more dividends, buybacks and mergers -- all great news for investors.
As for next week's game plan, Cramer said he'll be watching the JPMorgan Chase (JPM) aviation conference and the Bank of America (BAC) consumer and retail conference for any news on the economy. He'll also be watching WIlliams-Sonoma (WSM) on Wednesday, along with Dollar General (DG) on Thursday and GT Advanced Technologies (GTAT) on Friday.
Executive Decision: Adam Miller
For his "Executive Decision" segment, Cramer sat down with Adam Miller, founder and CEO of Cornerstone On Demand (CSOD - Get Report), a cloud-based employee management system that's seen a 182% gain over the past two years.
Miller said Cornerstone is all about talent management, which includes finding, developing and retaining great talent throughout organizations large and small. He said with four generations in the work force, trends are changing, which makes finding and cultivating the right people more important than ever.
When asked about the competition, Miller said Cornerstone is a partner with Workday (WDAY), another employee-focused cloud provider. After years of dwindling competition, Miller said Cornerstone is now the leader in the space.
So why are companies moving to the cloud? Miller explained that Cornerstone's services are always available anywhere in the world and customers never have to worry about updates or maintenance. That's why his company has maintained a 95% retention rate for its existing clients.
Cramer said Cornerstone still has a compelling story to tell.