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More Upside to Come for Eaton?
CNBC.com | January 28, 2011 | 06:22 PM EST

Eaton on Thursday morning reported what Cramer called a “beautiful quarter,” beating the Street’s earnings-per-share estimate of $1.69 by 2 cents on stronger-than-expected revenues. The company was so upbeat about its business that it even pushed through a 17-percent dividend boost.

Now Cramer has liked Eaton , maker of everything from electrical control products and aerospace hydraulic systems to fuel-efficient transmissions and hybrid truck engines, because of its exposure to three different bull markets—aerospace, autos and heavy-duty trucks. There’s also a less cyclical power-management division that serves commercial buildings, hospital buildings, factories and the like, as well as revenues coming from the emerging markets.

But leave it to the bears to pooh-pooh this quarter nonetheless. They say the quarter relied too heavily on a lower tax rate to boost earnings. And they say there are uncovered commodity expenses that higher sales won’t offset, especially in copper and silver, two metals that Eaton consumes in large quantities.

That’s not what Cramer’s saying, though. But to get answers to these concerns for viewers at home, he invited CEO Sandy Cutler to “Mad Money.” Watch the video for the full interview.

Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

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