Notes

ABB, Ltd. (ABB) provides power and automation technologies to utility and industry customers worldwide. Its Power Products division offers products and services for power transmission and distribution, which include high- and medium-voltage switchgear and apparatus, circuit breakers, power and distribution transformers, and sensors and other products. The company's Power Systems division provides various systems and services for power generation, transmission, and distribution comprising substations, high-voltage power converters, and advanced cables for underground and sub-sea power transmission; and systems to automate and control power plants, electrical, and other utility networks. ABB, Ltd.'s Automation Products division offers low-voltage switchgear, breakers, switches, control products, DIN-rail components, enclosures, wiring accessories, instrumentation, drives, motors, generators, and power electronics systems that are used as components in machinery, switchboards, distribution panels, and building and automation systems. The company's Process Automation division provides process automation, plant electrification and quality control systems, analytical measurement devices, turbochargers, and marine propulsion and control systems for the automation and optimization of industrial processes. Its Robotics division offers robot products, systems, and service, such as manufacturing cells for machine tending, welding, cutting, painting, and finishing; and packaged systems to automobile manufacturers for press automation, paint process automation, and power train assembly, as well as robotics services for product maintenance and system design for the automotive and manufacturing industries. The company was founded in 1883 and is headquartered in Zurich, Switzerland.

3AUG08 - $26

Market Cap (intraday): 58.96B
Enterprise Value (2-Aug-08): 52.95B
Trailing P/E (ttm, intraday): 13.29
Forward P/E (fye 31-Dec-09) : 12.83
PEG Ratio (5 yr expected): 0.68
Price/Sales (ttm): 1.82
Price/Book (mrq): 4.72
Enterprise Value/Revenue (ttm): 1.61
Enterprise Value/EBITDA (ttm): 9.486

Profit Margin (ttm): 13.59%
Operating Margin (ttm): 15.05%
Return on Assets (ttm): 10.13%
Return on Equity (ttm): 38.51%

From the S&P report (they give 4 stars out 5)
$3.5 billion backlog.
So-so balance sheet:
+ Current ratio: 1.6
+ Tangible book value per share: 3.7

Thoughts: I like the economic trends that feed this company. The power infrastructure is a basic building block for developing countries. In addition, upgrading the electric grid is part of increasing the use of alternative energy. Wind, solar, nuclear are all used by using electricity. ABB looks like a reasonable investment now. Its 52-week range is $20-$33.

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