John Leonard, CFA
Special situations, micro-cap, contrarian, CFA

Resolution Of Environmental Liability Is Catalyst For SL Industries

SL Industries (NYSEMKT:SLI) is attractive from a risk/reward standpoint given the recent resolution of a significant environmental liability, a shareholder friendly management and high free cash flow. The valuation discount is exacerbated due to the small market cap and lack of analyst coverage.

Company overview

SL Industries designs, manufactures and markets power electronics, motion control, power protection, power quality electromagnetic and specialized communication equipment used in medical, commercial and military aerospace, computer, datacom, industrial, telecom, transportation, utility, rail and highway equipment applications. Its products are generally incorporated into larger systems used by OEMs and utilities to increase operating performance, safety, reliability and efficiency. A majority of its products are manufactured in the U.S., Mexico and China. No single...

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