Green Shoots At Fanuc, But Beware Of Lawn Mowers

It’s been a long time since I’ve felt any warm fuzzy feelings about Fanuc (OTCPK:FANUY), not so much because I had issues with the company but because investors traded it more on its reputation than the financial reality. The valuation has become more reasonable since my last update, though, and it looks as though Fanuc may actually be priced at a point where investors can look forward to a respectable return.

I still have my concerns about Fanuc, mind you. I believe there has been more erosion in the CNC business opportunity than bulls think, I think Fanuc faces more serious robotics competition than before, and I think the next smartphone cycle won’t be particularly good for the company. But, I like management’s newfound discipline on costs and with the idea that there’s a fair price for all going concerns, this is one of the better opportunities I’ve seen in these shares in a while.

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Green Shoots At Fanuc, But Beware Of Lawn Mowers