This acquisition looks promising

Article Excerpt

GENUINE PARTS CO. $134 is a buy. The company (New York symbol GPC; Income-Growth Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 143.2 million; Market cap: $19.2 billion; Dividend yield: 2.4%; Dividend Sustainability Rating: Above Average; www.genpt.com) last raised its quarterly dividend by 3.2% with the April 2021 payment. The new annual rate of $3.26 a share yields 2.4%. Genuine is now buying Kaman Distribution Group, which distributes a range of automation and industrial components to over 50,000 customers in the U.S. The company will pay $1.3 billion for Kaman when it completes the purchase in the first quarter of 2022. Kaman should add $1.1 billion to Genuine’s annual revenue of $18.3 billion. Moreover, the company expects eliminating overlapping operations and other benefits will cut its annual costs by $50 million by the end of the third year. Genuine Parts is a buy. buy…