Eaton's $3.3B hydraulics sale to Danfoss wins conditional EU OK

  • Eaton 's (ETN +0.9%) planned $3.3B sale of its hydraulics business to Danfoss is cleared by European Union antitrust enforcers, after the Danish industrial company agreed to sell some units to address competition concerns.
  • Danfoss will sell some businesses in Germany, Poland, and the U.S., while some Eaton production lines of certain components will be transferred to the U.S. facility due to be sold off, moves the European Commission says will allay concerns that the deal may push up prices and reduce competition.
  • Eaton and Danfoss, major players in the global hydraulic components market, announced the deal in January 2020.
  • Eaton 's 2020 earnings were hurt by the pandemic, but several recent acquisitions should reduce cyclicality.

    For this year Eaton 's revenue will be around 17.81 billion USD. This is according to the average of the analysts' estimates. This is slightly lower than 2020's revenue of 17.86 billion USD.

    Historical revenues and results Eaton plus estimates 2020

    fundamenteel onderzoek

    The analysts expect for 2021 a net profit of 2.18 billion USD. For this year the consensus of Eaton 's result per share is a profit of 5.64 USD. So the price/earnings-ratio equals 23.84.

    For this year the analysts expect a dividend of 3.03 USD per share. Eaton 's dividend yield thus equals 2.25 percent. The average dividend yield of the construction companies is a moderate 0.84 percent.

    Based on the current number of shares Eaton 's market capitalization equals 55.57 billion USD. The Eaton stock was the past 12 months quite volatile. Since last March the stock is even 86 percent higher. This year the stock price moved between 69 and 141 dollar.

    Historical stock prices Eaton from 2007 till 2021

    stock prices eaton

    Click here for dividend Eaton. At 14.46 the stock trades 0.91 percent lower at 134.45 USD.

    Analist.nl Nieuwsdienst: +31 084-0032-842
    nieuws@analist.nl

    Copyright analist.nl B.V.
    All rights reserved. Any redistribution, duplication or archiving prohibited. Analist.nl doesn't warrant the accuracy of any News Content provided and shall not be liable for any errors, inaccuracies or for any actions taken in reliance thereon.