"When you have an ultra-hot, turbocharged momentum stock, it's rarely enough just to meet expectations," Cramer said Tuesday. "You have to blow them out of the water."
Take Cramer fave ARM Holdings , for example. When the chipmaker reported earnings Tuesday, it beat slightly on revenue and gave in-line guidance for the rest of the year. Given the stock is currently selling for 46 times earnings with a 14 percent long-term growth rate, Cramer said momentum investors were hoping for more. Meanwhile, analysts are concerned its average royalty per device is down 2 percent for the quarter. Cramer doesn't care about past deals, though. He's only concerned about the future, including new licensing deals that he thinks are strong.
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To learn more about the company's future prospects, the "Mad Money" host welcomed CEO Warren East onto the program. Check out the video to see video of the full interview.
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