Thursday, January 30, 2014

Seeking Alpha: Hexagon Looks To Find New Applications For Market-Leading Technologies

Positioning and measurement technologies don't often get all that much attention, even though they're essential to a wide range of industries. With that, Sweden's Hexagon AB (OTCPK:HXGBY) may be one of the more obscure $10 billion-plus companies out there. Even so, this company is leader across its markets and is in the early stages of a transition from a hardware-centric capital good company to a software-driven technology company that can offer integrated positioning, measurement, design, and planning products to a wide range of industries.

It's hard to call Hexagon AB cheap right now, but then none of its peers really are either. Hexagon's core markets often long-term growth rates in the mid to high single digits, with significant margin leverage potential with the shift towards more software and services in the mix. Given growth potential well above the norm, I don't think Hexagon is overpriced today and I believe these shares offer attractive leverage to markets like smart agriculture, energy, construction, emerging market manufacturing, and 3D printing.

Read more here:
Hexagon Looks To Find New Applications For Market-Leading Technologies

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