Monday, May 12, 2014

Dover Corporation Equty Research

Dover Corporation  recently released its first set of quarterly results since the spin-off of its former communication technologies segment, Knowles Corporation . The report was impressive for three key reasons, and Fools should start to think about upgrading their expectations for the company. Here's why.

Bye, bye, Knowles Corporation
The first two factors relate to the spin-off of Knowles Corporation, how it changes the investment proposition with Dover Corporation and, ultimately, the ability of Dover's management to initiate expansion opportunities.

First, the spin-off will remove the vagaries of the handset market from potential Dover Corporation investors. Usually, when thinking about an industrial conglomerate, one needs to compare a host of investing options, all with their individual specific end markets. However, they all tend to be tied to general trends in industrial spending.
 
 

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