Power management company Eaton (ETN) is faring well in 2012. Already year-to-date, shares of the firm have rallied more than 13%, offsetting some of the downward pressure that shareholders had to deal with in 2011. Last week's dividend hike brings Eaton's dividend yield up to 3% per annum.
Eaton develops and manufactures power management and control systems used by commercial and military users, ranging from powertrain systems for cars to aerospace fuel systems. While that exposure to transports and industrials hasn't spared the firm from downside in the last few years, that customer base has been beneficial to Eaton more recently as industrial spending turns the corner. That's especially true in emerging markets, where Eaton is putting increasing focus right now.From a technical standpoint, this stock looks especially attractive. I talked about Eaton in " 5 Big Stocks to Trade for February Gains," where we looked at the throwback this stock was staging off of $47 support. Now could be a good limited-risk buying opportunity.
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