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

Eaton Offering Middling Performance And Middling Value

Over the past year, a lot of the industrial conglomerates have moved together in a fairly tight group, Eaton (NYSE:ETN) included. Given the company's middle-of-the-road financial performance and fairly average valuation, Eaton looks like an okay pick, but not necessarily anything special. The company still has the potential to drive additional savings and leverage from the Cooper deal and harness improving conditions in vehicle and aerospace markets, but the company's industrial business isn't offering the same prospects.

Good Enough Not Quite Good Enough

Eaton's results were pretty much in sync with the industrial conglomerate pack this quarter. Management's broad guidance still suggests a fair bit of uncertainty about end market growth, though, and I believe it's that uncertainty...

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