Topic: Growth Stocks

Wall Street Stock Forecaster Hotline – Friday, February 3, 2012

Article Excerpt

ABB LTD. ADRs, $21.91, New York symbol ABB, has agreed to buy Thomas & Betts Corp. (New York symbol TNB), which makes a range of industrial products, including heating and air conditioning equipment, electrical connectors and transmission towers for power companies. ABB will pay $3.9 billion for Thomas & Betts when the deal closes later this year. To put that in perspective, ABB earned $2.3 billion, or $1.02 per ADR (each American Depositary Receipt represents one ABB common share) in the nine months ended September 30, 2011. This purchase nicely complements ABB’s current lineup of electrical products. As well, Switzerland-based ABB can use Thomas & Betts’ distributors to sell more of its products in the U.S. Moreover, ABB feels that combining purchasing and other overlapping functions could cut its yearly costs by $200 million by 2016. ABB is a buy. ABB was recently covered in the October 2011 issue of Wall Street Stock Forecaster. Click here to access it. ABB was recently covered in the…

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