Each Friday we take a look back on a Stock Pick from a previous Van Buren Report Newsletter. Today we look back at the Large Cap Pick of the Month for December 2009, [DOV] Dover Corporation.
We recommended the stock at $40.58 and the its most recent closing placed the stock price at $46.07, a gain of just about 5.5%.
The company has trimmed some fat recently and the stock price should be able to hit the $50 mark by the next couple of quarters as Dover cleans up its balance sheet. Dover Corporation is a good long term play. The company is well managed and offers a safe dividend of $1.04 per share.
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From December 2009, here is our pick for the Large Cap Pick of the Month.
Dover Corp. [DOV]
The Good
The Dover Corporation is an overall solid company with great fundamentals and a shareholder friendly history to boot. The company has raised its dividend each year over the past 50 years. A highly diversified business, Dover made it through the tough recent economic struggles with flying colors. This industrial giant has very little debt and continues to slowly grow. Its business model excels at keeping operating expenses to a minimum thus ensuring maximum profitability. Ranked number 38 on The Van Buren Report’s Top 50 Stocks of 2010, Dover should have a terrific 2010 as the recession comes to an end and commodity prices ease up. Take a look at The Dover Corporation for your next potential purchase.
The Bad
The Dover Corporation does have a significant amount of international exposure as almost 50% of its current projects are based outside of the U.S. Betting a big chunk of your business on projects abroad is always a risky proposition.
The Lowdown
Well run company that should have a big 2010 as commodity prices go down. Excellent cash flow and expansion make this company a winner.
What the Company Does
Dover Corporation (Dover) owns and operates a global portfolio of manufacturing companies providing components and equipment, specialty systems and support services for a variety of applications in the industrial products, engineered systems, fluid management and electronic technologies markets. The Company operates in four business segments: Industrial Products, Engineered Systems, Fluid Management and Electronic Technologies. The products designed, manufactured, assembled and/or serviced by the Company includes material handling equipment, mobile equipment related products, engineered products, product identification related products, energy market production and distribution products, fluid solution products, and electronic technology equipment and devices/components.
History
The company was founded in 1947 and is based in New York, New York.
Company Info
Dover Corp.
280 Park A-enue
New York, NY 10017
Phone: 212-922-1640
Fax: 212-922-1656
Web Site: http://www.dovercorporation.com
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