Among the remaining challenges for Eaton, Cutler noted utility spending on transmission will be flat in 2014 as many utilities continue to put their money into phasing out coal-fired generating facilities. Data centers are also expected to be flat for the year.
All is not lost for Eaton, however, with Cutler noting non-residential construction should be up 7% to 8% and a modest recovery continues in Europe. Even the U.S. truck market is improving, making Cutler bullish on trucks.
Cramer said it's clear Eaton took a pause, but Cutler explained why and he's confident about the company's future prospects.
Microsoft Needs More 'Wow'
Cramer had some harsh words for Microsoft's (MSFT) newly named CEO, saying that if the company wants to stay relevant, it needs to go on a spending spree today.
Microsoft just doesn't dazzle anymore, Cramer admitted, and hile old-school investors like himself still see a ton of value in the company, the truth remains that Microsoft, and its products are being left behind by the next generations.
Microsoft needs to "wow" in the social, mobile and cloud space, Cramer continued, and it needs to do so before Windows loses its dominant position.
Cramer said Microsoft has the cash where it could buy Netflix (NFLX) and pair it with the Xbox to become dominant in home entertainment. Or it could buy Yelp (YELP) and a handful of other cloud services and be a major player in that area. Or it could buy business services like Dropbox and keep its focus on the enterprise.
Cramer said it's too late for Microsoft to build these services alone. It needs to gain that social and mobile foothold now, and that means taking the short-term hit to earnings and making bold moves.
Executive Decision: Martin Richenhagen
For his second "Executive Decision" segment, Cramer welcomed Martin Richenhagen, chairman and CEO of farm equipment supplier Agco (AGCO), which just delivered a six-cents-a-share earnings beat but whose shares are off 18% from their October highs.