Cramer: Microsoft is 'on fire' thanks to CEO Satya Nadella

CNBC's Jim Cramer praised Microsoft CEO Satya Nadella Friday after the company hit an all-time high following an earnings beat on Thursday afternoon.

"This is one where they are on fire," Cramer said on " Squawk on the Street " of the company.

"It's really incredible how quickly [Nadella] turned this company around. I would not want to compete against this guy," he said.

Nadella took over as the CEO of Microsoft in early 2014.

Microsoft's CFO Amy Hood said in a statement on Thursday that the demand for the company's cloud-based services was reflected in the quarterly earnings report. Revenue for Microsoft's major cloud offering, Azure, grew 116 percent in the quarter.

The computer software giant announced a partnership with Adobe (ADBE) in September. The Photoshop and Illustrator creator named Microsoft Azure its "preferred cloud platform."

Several firms including Stifel reiterated their "buy" rating of the software maker following the report.