For a doom-and-gloom quarter, ABB (NYSE:ABB)
did a pretty decent job. A lot of analysts and investors are down on
ABB due to its outsized exposure to emerging markets and industries like
oil/gas, power, and mining, but ABB did about as well as the most-loved
industrials this quarter.
ABB's work is far from done, as the declines in the
order book and relative margins would suggest.
The company is doing
better with its power businesses, though, and taking a serious swing at
structural operating costs. While a willingness to do M&A is a mixed
blessing, the company's increasing chatter about increasing its service
and software contributions is welcome. All told, I still think these
shares are worth around $23 and that this is one of the better
combinations of valuation and quality available today.
To read more, click here:
ABB Underrated, But Has Work To Do
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