Earlier this afternoon, Eaton announced that it has purchased Babco Electric Group. ETN purchased the Canadian-based manufacturer of specialty switchgear and electrical housings for undisclosed financial terms. Last year, Babco reported sales of $11 million in the fiscal year that wrapped up on April 30.
Technically, ETN has performed well, but has struggled a bit of late. Nonetheless, it seems that the stock has found a level of support on the 92 level. Coincidentally (or not), ETN's 10-month moving average is moving to the 90 level. The last time the stock finished a month below this trendline was September 2006. Despite this strength, analysts are evenly split on the stock, with 5 rating it a buy or better and 5 rating it a hold or worse. Let's see what the brokerages think of today's news.