Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

Sun Hydraulics May Be Special, But The Valuation Isn't

With Sauer-Danfoss (NYSE:SHS) having accepted a buyout offer from Danfoss A/S, I will soon need to replace a stock in my portfolio, and Sun Hydraulics (NASDAQ:SNHY) is a name that I've had my eye on for some time. While many companies talk about valuing their employees and seeking innovative solutions for their customers, Sun seems to actually do it. Unfortunately, the qualities of this company have not gone unnoticed, and Sun is not exactly a bargain bin option.

Mostly Cloudy For Now

While Sun Hydraulics management talked of 2012 as a record year, it didn't end on a particularly strong note. That said, relative to Sauer-Danfoss, Eaton (NYSE:ETN), and Parker-Hannifin (NYSE:PH), the...

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