Illinois Tool Works
The vastness of Illinois Tool Works’ (ITW) product catalog has helped it weather the recession better than most firms. The company makes everything from those plastic six-pack rings and welding equipment to decorative counter tops and fasteners for cars. Recent plans at ITW are only making its manufacturing might even stronger.
Last year, ITW’s management unveiled a new strategic plan, in which the firm will simplify its business structure in order to gain operational synergies and drive organic revenue growth. This past year was the first year of the five year plan, and it seems to be working so far. ITW say its third quarter operating margins leapt 19% as these operating initiates have taken hold.
That vastness of products coupled with its newfound focus on operational efficiencies could make ITW the best industrial players out there for the rising global economy.
Shares of Illinois Tool Works currently trade for a P/E of 16 and pay a 2% dividend.
As of this writing, Aaron Levitt did not hold a position in any of the aforementioned securities.