Textron: Literally Firing on All Cylinders [View article]
You could be right about the Cessna division. However, in the helicopter division, there is probably more growth at UTX because of U.S. Navy contracts.
As for diversification, UTX has a better mix. Aside from the Otis elevator division, whereby they are slowly gaining ground on competitors with better energy conservation, UTX will be coming out with its second generation fuel cells. They are the most advanced in this area. With oil prices going sky high, all major buildings around the world will eventually be looking into fuel cells for back up power and heating.
In general, TXT is not a major player in alternative energy. The hottest sector is basically anything that can be defined as alternative energy. Solar and wind get most of the attention these days and for some reason fuel cells hardly get mentioned.
The only reason UTX has been sluggish since March 2008 is because it made an offer for Diebold (DBD). See: www.crossprofit.com/vi...
For now this acquisition may to go through and many feel that UTX is overpaying for DBD. However, voting and lotto machines are another fast growing sector though DBD has competition (NCR, Wincor-Nixdorf) and last quarter's margins weren't great.
From Thomson Financial: Tuesday May 20, 06:04 PM United Technologies CEO: Diebold 'not a must-have' acquisition: report
SAN FRANCISCO (Thomson Financial) - United Technologies Corp. Chief Executive Louis Chenevert, speaking at a conference in Florida, said Tuesday he still hopes to buy Diebold Inc (NYSE: DBD - news) ., but said the company isn't 'a must-have,' according to a media report.
Some analyst feel that UTX should be concentrating more on the fuel cell technology and not further diversify the business. From Reuters: The Company conducts its business through six principal segments: Otis, Carrier, UTC Fire & Security (UTC F&S), Pratt & Whitney, Hamilton Sundstrand and Sikorsky.
The DBD acquisition is signaling to the market that UTX doesn't see alternative energy in general and fuel cells in particular as evolving into an independent seventh segment. Whether this is true or not remains to be seen.
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You could be right about the Cessna division. However, in the helicopter division, there is probably more growth at UTX because of U.S. Navy contracts.
Jun 09 17:07 pm
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All Comments by CrossProfit_ »Textron: Literally Firing on All Cylinders [View article]
As for diversification, UTX has a better mix. Aside from the Otis elevator division, whereby they are slowly gaining ground on competitors with better energy conservation, UTX will be coming out with its second generation fuel cells. They are the most advanced in this area. With oil prices going sky high, all major buildings around the world will eventually be looking into fuel cells for back up power and heating.
See:
www.utcpower.com/fs/co...
In general, TXT is not a major player in alternative energy. The hottest sector is basically anything that can be defined as alternative energy. Solar and wind get most of the attention these days and for some reason fuel cells hardly get mentioned.
The only reason UTX has been sluggish since March 2008 is because it made an offer for Diebold (DBD).
See:
www.crossprofit.com/vi...
For now this acquisition may to go through and many feel that UTX is overpaying for DBD. However, voting and lotto machines are another fast growing sector though DBD has competition (NCR, Wincor-Nixdorf) and last quarter's margins weren't great.
From Thomson Financial:
Tuesday May 20, 06:04 PM
United Technologies CEO: Diebold 'not a must-have' acquisition: report
SAN FRANCISCO (Thomson Financial) - United Technologies Corp. Chief Executive Louis Chenevert, speaking at a conference in Florida, said Tuesday he still hopes to buy Diebold Inc (NYSE: DBD - news) ., but said the company isn't 'a must-have,' according to a media report.
Some analyst feel that UTX should be concentrating more on the fuel cell technology and not further diversify the business.
From Reuters:
The Company conducts its business through six principal segments: Otis, Carrier, UTC Fire & Security (UTC F&S), Pratt & Whitney, Hamilton Sundstrand and Sikorsky.
The DBD acquisition is signaling to the market that UTX doesn't see alternative energy in general and fuel cells in particular as evolving into an independent seventh segment. Whether this is true or not remains to be seen.
CrossProfit
Disclosure: No conflicts.