10 Best Machinery Stocks To Buy Right Now

The emerging markets that we've come to know so well, the BRIC countries, are finally coming to an end -- at least, as emerging markets. 

China and Brazil are moving away from having industrial economies and are becoming ever more consumption-driven. India continues to suffer from a depreciating rupee and a poor economy, and Russia remains an unpredictable political quagmire.  

A paradigm shift in global industrial manufacturing is beginning to take place, and areas like Indonesia, West Africa and Latin America could emerge as the next bull markets for investors. As the U.S. economy rebounds, it will undoubtedly remain consumer-driven, which is good news for one country in particular. 

The U.S. accounts for 78% of this country's exports, with the five largest U.S. import categories last year being electrical machinery ($56.8 billion), automobiles and parts ($53.5 billion), machinery ($42.3 billion), mineral fuel and crude oil ($39.9 billion), and optical and medical instruments ($10.4 billion). 

Top 10 Communications Equipment Companies For 2015: Komatsu Ltd (KMTUY)

Komatsu Ltd. (Komatsu), incorporated in May 13, 1921, is a global company engaged in the manufacturing, development, marketing and sale of a range of industrial-use products and services. The manufacturing operations of Komatsu are conducted primarily at plants located in Japan, the United States, Brazil, the United Kingdom, Germany, Sweden, Italy, Indonesia, China, Thailand and India. Komatsu�� products are primarily sold under the Komatsu brand name and almost all of its sales and service activities are conducted through its sales subsidiaries and independent distributors who primarily sell products to retail dealers in their respective geographic area. Komatsu operates and competes in the six principal markets, such as Japan, the United States, Europe and Commonwealth of Independent States (CIS), China, Asia (excluding Japan and China) and Oceania and the Middle East and Africa. In May, 2009, Komatsu acquired the additional interest in Komatsu Australia Corporate Finance Pty. Ltd.

Construction, Mining and Utility Equipment

The Company offers various types of construction, mining and utility equipment, ranging from super-large machines capable of mining applications to general construction equipment and mini construction equipment for urban use. Komatsu�� range of products in this operating segment also includes a variety of attachments to be used with its products. Komatsu�� principal products include excavating equipment, loading equipment, grading and roadbed preparation equipment, hauling equipment, forestry equipment, tunneling machines, recycling equipment, industrial vehicles, other equipment, engines and components, casting products and logistics.

Industrial Machinery and Others

The Company�� Industrial Machinery and Others segment products are used by a range of businesses and include industrial machinery, such as forging and sheet metal machinery and other services. Komatsu�� principal products include metal forging and stampi! ng presses, sheet metal machines, machine tools, defense systems, temperature-control equipment and others.

The Company competes with Caterpillar Inc., Hitachi Construction Machinery Co., Ltd., Volvo Construction Equipment NV, CNH Global N.V., Hyundai Heavy Industries Co., Ltd., Doosan Infracore Co., Ltd. and Toyota Motor Corporation.

Advisors' Opinion:

• [By Dan Carroll]

  Chinese manufacturing and materials stocks may not be the only picks in trouble, however. Leading international manufacturers could see demand in the world's second-largest economy, cutting into lofty growth expectations that relied upon China's surge to make up for weakness elsewhere around the globe. Japanese industrial power Komatsu (NASDAQOTH: KMTUY  ) , the second-largest industrial machinery manufacturer in the world, is betting on�growing Chinese demand this fiscal year, in combination with the weak yen, to fuel growth.

10 Best Machinery Stocks To Buy Right Now: Rockwell Automation Inc.(ROK)

Rockwell Automation, Inc. provides industrial automation power, control, and information solutions. It operates in two segments, Architecture and Software, and Control Products and Solutions. The Architecture and Software segment offers control platforms that perform multiple control disciplines and monitoring of applications, including discrete, batch and continuous process, drives control, motion control, and machine safety control; and products comprising controllers, electronic operator interface devices, electronic input/output devices, communication and networking products, and industrial computers. This segment also offers software products, such as configuration and visualization software used to operate and supervise control platforms, advanced process control software, and manufacturing execution software to enhance manufacturing productivity and meet regulatory requirements; and rotary and linear motion control products, and sensors and machine safety components . The Control Products and Solutions segment provides low and medium voltage electro-mechanical and electronic motor starters, motor and circuit protection devices, AC/DC variable frequency drives, push buttons, signaling devices, termination and protection devices, relays and timers, and condition sensors; and packaged solutions, such as configured drives and motor control centers to automation and information solutions, as well as life-cycle support services. The company sells its products, solutions, and services primarily under the Rockwell Automation, Allen-Bradley, A-B, and Rockwell Software brand names to the food and beverage, transportation, oil and gas, metals, mining, home and personal care, pulp and paper, and life sciences markets through independent distributors and direct sales force in the United States, Canada, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. Rockwell Automation, Inc. was founded in 1928 and is headquartered in Milwaukee , Wisconsin.

Advisors' Opinion:

• [By Rich Duprey]

  Industrial automation specialist�Rockwell Automation� (NYSE: ROK  ) �announced yesterday�its third-quarter dividend of $0.52 per share, the same rate it paid last quarter after raising the payout almost 11% from $0.47 per share.

• [By Dan Caplinger]

  The drive toward clean energy has opened up a number of opportunities for Emerson and its peers. Through membership in the Smart Manufacturing Leadership Coalition, Emerson Process Management, as well as divisions of Honeywell (NYSE: HON  ) and Rockwell Automation (NYSE: ROK  ) , won a Department of Energy contract in March to investigate more energy-efficient manufacturing processes. Although the contract is small, the advances the coalition will produce should bolster Emerson's business prospects. Moreover, it should help Emerson hold off industry giant General Electric (NYSE: GE  ) , which has returned to its roots to make a bigger splash in the electrical industry. Specifically, GE initiatives like its smart-grid technology encroach on potential growth areas for Emerson.

• [By John Kell]

  Rockwell Automation Inc.(ROK) said its fiscal first-quarter earnings jumped 23% as operating margins widened and sales in both segments increased. Results topped estimates, pushing shares up 2.6% to $118 premarket.

10 Best Machinery Stocks To Buy Right Now: Cummins Inc.(CMI)

Cummins Inc. designs, manufactures, distributes, and services diesel and natural gas engines, electric power generation systems, and engine-related component products worldwide. It operates in four segments: Engine, Power Generation, Components, and Distribution. The Engine segment offers a range of diesel and natural gas powered engines under the Cummins and other customer brand names for the heavy-and medium-duty truck, bus, recreational vehicle, light-duty automotive, agricultural, construction, mining, marine, oil and gas, rail, and governmental equipment markets. This segment also provides new parts and service, as well as remanufactured parts and engines. The Power Generation segment offers power generation systems, components, and services, including diesel, natural gas, gasoline, and alternative-fuel electrical generator sets for use in recreational vehicles, commercial vehicles, recreational marine applications, and home stand-by or residential applications. This segment also provides components that make up power generation systems, such as engines, controls, alternators, transfer switches, and switchgears. The Components segment supplies filtration products, turbochargers, aftertreatment systems, intake and exhaust systems, and fuel systems for commercial diesel applications. This segment offers filtration and exhaust systems for on-and off-highway heavy-duty and mid-range equipment, as well as supplies filtration products for industrial and passenger car applications. This segment also develops after treatment and exhaust systems to help customers meet emissions standards and fuel systems. The Distribution segment provides parts and services, as well as service solutions, including maintenance contracts, engineering services, and integrated products. The company sells its products to original equipment manufacturers, distributors, and other customers. Cummins Inc. was founded in 1919 and is headquartered in Columbus, Indiana.

Advisors' Opinion:

• [By Anna Prior]

  Cummins Inc.(CMI) appointed the president of its engines business, Rich Freeland, as its chief operating officer, and the company also unveiled a 25% dividend increase and the buyback of as much as an additional $1 billion of its stock.

10 Best Machinery Stocks To Buy Right Now: Graco Inc (GGG)

Graco Inc. (Graco), incorporated in 1926, design, manufacture and sell equipment that pumps, meters, mixes, dispenses and sprays a variety of fluids and semi-solids. The Company operates in three segments: Industrial, Contractor and Lubrication. Primary users of its equipment include contractors and original equipment manufacturers, who uses its equipment in a variety of applications in the construction, manufacturing, processing and maintenance industries. Its equipment is used to paint, finish, fill, glue and seal a wide range of goods and materials. Graco sells its equipment through third-party distributors worldwide. The Company sells its products in geographic markets, such as the Americas (North and South America), Europe (including the Middle East and Africa) and Asia Pacific. In January 2014, the Company announced that it has completed the acquisition of QED Environmental Systems and EcoQuip.

Industrial Segment

The segment includes the Industrial Products and the Applied Fluid Technologies divisions. End users of its industrial equipment require solutions to their manufacturing and maintenance challenges and are driven to purchase its industrial equipment by the return on investment that its products provide. The Industrial Products division markets its equipment and services to customers who manufacture, assemble, maintain, repair and refinish products, such as appliances, vehicles, airplanes, electronics, cabinets and furniture, and other articles. In addition to marketing its equipment to customers in similar industries, the Applied Fluid Technology division also sells to contractors who use its plural component equipment to apply foam insulation and protective coatings to buildings and other structures. Most Industrial segment equipment is sold worldwide through general and specialized third-party distributors, integrators, design centers, original equipment manufacturers and material suppliers.

The Industrial Products division focuses its product de! velopment and sales on two main applications: equipment that applies paint and other coatings to products, such as motor vehicles, appliances, furniture and other industrial and consumer products (finishing), and process pump equipment that moves and dispenses chemicals and liquid and semi-solid foods (process pumps). It�� finishing equipment pumps, meters and applies liquids on all types of wood, metal and plastic. Manufacturers in the automotive, automotive feeder, truck/bus/recreational vehicle, military and utility vehicle, aerospace, farm and construction, wood and general metals industries use its liquid finishing products. Its liquid finishing equipment includes paint circulating and paint supply pumps, paint circulating advanced control systems, plural component coating proportioners, various accessories to filter, transport, agitate and regulate fluid, and spare parts, such as spray tips, seals and filter screens.

The Company�� process pumps move chemicals, petroleum, food and other fluids. Manufacturers and processors in the food and beverage, dairy, pharmaceutical, cosmetic, oil and gas, electronics, wastewater, mining and ceramics industries use its process pumps. It offers pumps for sanitary applications, including Food and Drug Administration (FDA )-compliant 3-A sanitary pumps, diaphragm pumps, transfer pumps and drum and bin unloaders. Its process pumps provide a mechanized solution to a manual process in a factory of moving fluids from large barrels into equipment that dispenses the fluid into jars or other containers. During the year ended December 31, 2011, the Company purchased certain peristaltic pumps assets of Eccentric Pumps, LLC, provided the Company with an entry into the industrial peristaltic pump industry.

The Applied Fluid Technologies division directs its engineering, sales and marketing efforts toward two types of applications: equipment to pump, meter, mix and dispense high performance protective coatings and polyurethane foam (protective c! oatings a! nd foam); and equipment to pump, meter, mix and dispense sealants, adhesives, molded polyurethane parts and composites (advanced fluid dispense). It offers sprayer systems and plural component proportioning equipment to apply protective coatings and foam to a wide variety of surfaces. Reactor plural component pumps are used to apply foam to insulate things, such as walls, water heaters, refrigeration, and hot tubs, create commercial roofing membranes and for packaging, architectural design and cavity filling. This equipment is also used to apply two-component polyurea coatings to tanks, pipes, roofs, truck beds and foundations.

Graco�� XM Plural-Component Sprayer series is and XP70 plural component sprayers are used for corrosion-control applications, such as tank and pipeline coatings, shipbuilding, marine and railcar maintenance, wind tower coating, bridge and infrastructure projects and coating structural steel. The XM sprayers provide precise and variable ratio control in a highly configurable system. The XP70 sprayers are fixed ratio units and intended for applications where variable ratio capability is not required. It offers pumps, meters, applicators and valves for the metering, mixing and dispensing of precision beads of sealant and adhesive to bond, mold, seal, vacuum encapsulate, pot, laminate and gasket parts and devices in a variety of industrial applications. The HFR Metering System is an in-plant, hydraulic, fixed-ratio metering system that applies a range of materials used for noise dampening, insulation and structural integrity. It also offers advanced composites equipment, which includes gel coat equipment, chop and wet-out systems, resin transfer molding systems and applicators , which are used for example in the manufacture of vehicles, aircraft, boats, wind turbines and bridge materials.

Contractor Segment

The Contractor segment directs its product development, sales and marketing of three applications: paint, texture, and pavement mainten! ance. The! Contractor segment markets airless paint and texture sprayers (air, gas, hydraulically- and electrically-powered), accessories, such as spray guns, hoses and filters and spare parts, such as tips and seals to professional painters in the construction and maintenance industries, tradesmen and do-it-yourselfers. The products are distributed primarily through distributor outlets whose main products are paint and other coatings. Contractor products are also sold through general equipment distributors. Certain sprayers and accessories are distributed globally through the home center channel.

Contractor equipment encompasses a variety of sprayers, including sprayers that apply markings on roads, parking lots, fields, bike paths, crosswalks and floors; texture to walls and ceilings; highly viscous coatings to roofs; and paint to walls and structures. Many of these sprayers and their accessories contain one or more technological features, such as micro-processor-based controls for consistent spray and protective shut-down, a pump that may be removed and re-installed without tools, an easy-clean feature, gas/electric convertibility, and a durable pump finish. The Company offers a line of professional grade handheld paint sprayers, and in 2011, it introduced a fine finish handheld paint sprayer that sprays lacquers, varnishes, urethanes, sealers, stains and enamels. Contractor equipment also includes pressure washers, and scarifiers that remove markings on roads and other surfaces.

Lubrication Segment

The Lubrication segment focuses its engineering, marketing and sales of two lubrication applications: vehicle services and industrial. The Lubrication segment markets and sells its lubrication equipment worldwide, although the bulk of its sales come from North America. Its lubrication products are sold through independent third party distributors and oil jobbers, and directly to original equipment manufacturers. The Company supplies pumps, hose reels, meters, valves and accessorie! s to the ! motor vehicle lubrication industry. Its customers include fast oil change facilities, service garages, fleet service centers, automobile dealerships and auto parts stores.

In industrial lubrication, the Company offers systems, components, and accessories for the automatic lubrication of industrial and commercial equipment, compressors, turbines, and on- and off-road vehicles. Industries served include gas transmission and petrochemical, pulp and paper, mining and construction, agricultural equipment, food and beverage, material handling, metal manufacturing and wind energy. It offers products that automatically lubricate bearings, gears and generators, and products that evacuate and dispense oil, grease, anti-freeze and hydraulic fluids, from wind power components.

Advisors' Opinion:

• [By Seth Jayson]

  Graco (NYSE: GGG  ) is expected to report Q1 earnings on April 24. Here's what Wall Street wants to see:

  The 10-second takeaway
  Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Graco's revenues will increase 16.1% and EPS will expand 25.9%.

• [By Brian Pacampara]

  Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, fluid handling solutions specialist Graco (NYSE: GGG  ) has earned a respected four-star ranking.

10 Best Machinery Stocks To Buy Right Now: Austin Engineering Ltd (ANG)

Austin Engineering Limited is engaged in the manufacture, repair, overhaul and supply of mining attachment products, general steelwork structures and other associated products and services for the industrial and resources-related business sectors. The Company operates in four segments: Australia, which includes mining equipment, other products and repair and maintenance services; Americas, which includes mining equipment and other products, consisting of North America and South America; Asia, which includes Indonesia for mining equipment and other products, and the Middle East, which includes aluminum smelter equipment and products. In October 2013, Austin Engineering Limited completed the acquisition of the business of Servigrut. Advisors' Opinion:

• [By Julia Leite]

  South African miners rallied after a recovery in gold prices. The FTSE/JSE Africa All-Share Index climbed 1.5 percent in Johannesburg, with Harmony Gold Mining Co. (HAR) and AngloGold Ashanti Ltd. (ANG) adding at least 5.2 percent.

10 Best Machinery Stocks To Buy Right Now: Dover Corp (DOV)

Dover Corporation (Dover), incorporated in 1947, manufactures a range of specialized products and components and also offers related services and consumables. The Company operates in four segments: Communication Technologies, Energy, Engineered Systems, and Printing & Identification. In July 2011, it acquired Sound Solutions from NXP Semiconductors N.V. In September 2011, the Company sold Crenlo, LLC and Paladin Brands of Cedar Rapids. In October 2011, the Company acquired Oil Lift Technology. In November 2011, it acquired Advansor A/S. In November 2011, the Company realigned into four business segments, which includes Communication Technologies, Energy, Engineered Systems and Printing & Identification. In December 2011, the Company sold Heil Trailer International. In March 2012, the Company acquired Maag Group (Maag).

Communication Technologies

Dover Communication Technologies is engaged in the design and manufacture of products and components in the communications, life sciences, aerospace/industrial, defense, and telecommunication/other markets. The Company�� Communication Technologies focuses on markets, such as life sciences, aerospace/industrial, defense and telecommunication/other. Communication Technologies��products are manufactured primarily in North America, Europe and Asia. Its businesses serves the communications market design, manufacture and assemble micro-acoustic audio input and output components for use principally in personal mobile handsets. Life sciences businesses serves the life sciences market manufacture advanced miniaturized receivers and electromechanical components for use in hearing aids, connectors for use in a variety of medical devices and bio processing applications, and specialized components for use in implantable devices and medical equipment. Its aerospace/industrial businesses serves the aerospace/industrial markets manufacture precision engineered components and aftermarket parts across a range of market applications. In the commerci! al aerospace market, its businesses design and manufacture specialty hydraulics, fasteners, bearings, switches and filters sold to both original equipment manufacturers (OEMs) and as aftermarket products. It also design and manufacture frequency control components, electromechanical switches, multi-layered capacitors, filters and quick disconnect couplings serving the general industrial markets. Its defense businesses serves the defense market manufacture specialty hydraulics, mechanical and frequency control communication components, serving shipboard applications, strategic mission critical parts on key Airborne programs and Command and Control communications. Its telecommunication/other businesses serves the telecommunication/other markets manufacture frequency control components for wired and wireless network base station communications that ensure precise signal timing and filters for non-interrupted access across high speed networks.

Energy

The Company�� Energy segment serves the oil, gas and power generation industries. It consists of lines of business, which include drilling, production and downstream. The drilling businesses serves the drilling market design and manufacture products, including long-lasting polycrystalline diamond cutters (PDCs) for applications in down-hole drilling tools and quartz pressure transducers and hybrid electronics used in down-hole tools and monitoring devices. Its production businesses serves the production market design and manufacture products and components that facilitate the extraction and movement of fuel from the ground, including steel sucker rods, down-hole rod pumps, progressive cavity pumps and drive systems, plunger lifts, and accessories used in artificial lift applications in oil and gas production; pressure, temperature and flow monitoring equipment used in oil and gas exploration and production applications, and control valves and instrumentation for oil and gas production. In addition, these businesses manufacture vario! us compre! ssor parts that are being used in the natural gas production, distribution and oil refining markets; and winches, hoists, gear drives, swing drives, auger drives, slewing ring bearings, hydraulic pump and electronic monitoring solutions for energy, infrastructure and recovery markets worldwide. Its downstream businesses serve the downstream market produce systems and products that support transportation and handling of fuel, hazardous liquids and dry-bulk commodities. Vehicle fuel dispensing products include conventional, vapor recovery, and clean energy (liquid petroleum gas (LPG), compressed natural gas, and Hydrogen) nozzles, swivels and breakaways, as well as tank pressure management systems. Products manufactured for the transportation, storage and processing of hazardous liquid and dry-bulk commodities include relief valves, loading/unloading angle valves, rupture disc devices, actuator systems, level measurement gauges, swivel joints, butterfly valves, lined ball valves, aeration systems, industrial access ports, manholes, hatches, collars, weld rings and fill covers. In addition, it offer bearings, bearing isolators, seals and remote condition monitoring systems that are used for rotating machinery applications, such as turbo machinery, motors, generators and compressors used in energy, utility, marine and other industries.

Engineered Systems

Dover Engineered Systems is engaged in the fluids systems, refrigeration and food equipment, waste and recycling, and industrial markets. Dover Engineered Systems combines its engineering technology, product advantages, and applications to address market needs and requirements.

The Fluid Solutions platform designs and manufactures pumps, compressors, and chemical proportioning and dispensing products. The pumps and compressors are used to transfer liquid and bulk products and are sold to a wide variety of markets, including the refined fuels, LPG, pulp and paper, wastewater, food/sanitary, military, transportation and ! chemical ! process industries. The pumps include centrifugal, reciprocating (double diaphragm) and rotary pumps that are used in demanding and specialized fluid transfer process applications. The chemical portioning and dispensing systems are used to dilute and dispense concentrated cleaning chemicals and are sold to the food service, health care, supermarket, institutional, school, building service contractor and industrial markets. In addition, the platform manufactures copper-brazed compact heat exchangers, and designs software for heating and cooling substations. Fluid Solutions products are manufactured in the United States, South America, Asia and Europe. Its refrigeration and food equipment businesses manufacture refrigeration systems, refrigeration display cases, walk-in coolers and freezers, electrical distribution products and engineering services, commercial foodservice equipment, cook-chill production systems, custom food storage and preparation products, kitchen ventilation systems, conveyer systems, beverage can-making machinery, and packaging machines used for meat, poultry and other food products. The waste and recycling business in the solid waste management market provides products and services for the refuse collection industry and for on-site processing and compaction of trash and recyclable materials. Products are sold to municipal customers, national accounts and independent waste haulers through a network of distributors and directly in certain geographic areas. The Company also serves the vehicle service and industrial automation markets, providing a range of products and services that are utilized in vehicle services, maintenance, washing, repair and modification. The businesses in the industrial automation market provide a range of modular automation components including manual clamps, power clamps, rotary and linear mechanical indexers, conveyors, pick and place units, glove ports and manipulators as well as end-of-arm robotic grippers, slides and end effectors. These products serve a ra! nge of ma! rket, including food processing, packaging, paper processing, medical, electronic, automotive, nuclear, and general industrial products. These products are produced in the North America, Europe and Asia.

Printing & Identification

Dover Printing & Identification is a supplier of precision marking and coding, dispensing, printing, soldering, coating, inspection and testing equipment and related consumables and services. It provides its services in fast moving consumer goods (FMCG), industrial, and electronics.

FMCG businesses serves this market primarily design and manufacture marking and coding products used for printing variable information, such as date codes and serial numbers on food, beverage, consumer goods, and pharmaceutical products. Its industrial products used by the industrial market are primarily marking and coding, bar code and portable printers, and fluid dispensing related products serving a number of industrial end markets, including aerospace, cable, military, material packaging, industrial assembly, and medical devices. Additional products include a range of marking solutions leveraged for secondary packaging, such as cartons and pallets for use in warehouse logistics operations, and bar code printers and portable printers.

Advisors' Opinion:

• [By Bob Ciura]

  In the investing world, boring businesses don't get much attention. The financial media obsesses over the next hot stock, preferring to ignore the seemingly sleepy companies that generate reliable profits year after year. Some of the high-quality companies that fly under the radar are pure industrials, such as Emerson Electric (NYSE: EMR  ) , Dover� (NYSE: DOV  ) , and Illinois Tool Works (NYSE: ITW  ) .

10 Best Machinery Stocks To Buy Right Now: AB SKF (SKFRY.PK)

AB SKF, formerly SKF AB, is a global supplier of products, solutions and services within rolling bearings, seals, mechatronics, services and lubrication systems. The services provided by the Company include technical support, maintenance services, condition monitoring and training. The Company operates in three divisions: Industrial Division and Service Division, servicing industrial original equipment manufacturers (OEMs) and aftermarket customers respectively, and Automotive Division, servicing automotive OEMs and aftermarket customers. SKF operates in around 40 customer segments, including cars and light trucks, wind energy, railway, machine tool, medical, food and beverage and paper industries. In April 2009, the Company acquired the remaining 49% interest in SKF Polyseal.

In February 2008, the Company acquired QPMAerospaces�� metallic rods business. In October 2008, the Company acquired Cirval S.A Argentina. In November 2008, the Company acquired GLO s.r.l. Italy. In December 2008, the Company acquired the remaining 30% of the operations of SKF Automotive Bearings Company. In September 2008, the Company acquired PEER Bearing Company and its manufacturing units in the People�� Republic of China and Thailand.

Industrial Division

The Industrial Division serves industrial OEMs customers in some 30 global industry customer segments with a range of energy-efficient offerings. The solutions and know-how are based on the manufacturing of a wide range of bearings, such as spherical and cylindrical roller bearings, angular contact ball bearings, medium deep groove ball bearings and superprecision bearings, as well as lubrication systems, linear motion products, magnetic bearings, by-wire systems and couplings.

Service Division

The Service Division serves the global industrial aftermarket providing products and knowledge-based services for customers��plant asset efficiency. The solutions are based on SKF�� knowledge of bearings, sea! ls, lubrication systems, mechatronics and services, and customers are served by SKF and its network of over 7,000 authorized distributors. The division runs a network of Condition Monitoring Centres, which designs and produces global hardware and software. Service Division is also responsible for all SKF�� sales in certain markets.

Automotive Division

The Automotive Division serves manufacturers of cars, light trucks, heavy trucks, buses, two-wheelers and the vehicle service market, supporting them in bringing solutions to global markets. In addition, the division provides energy-saving solutions for home appliances, power tools and electric motors. Within the Automotive Division, SKF develops and manufactures bearings, seals and related products and services. Products include wheel hub bearing units, tapered roller bearings, small deep groove ball bearings, seals, and automotive specialty products for engine, steering and driveline applications. For the vehicle service market, the division provides complete repair kits, including a range of drive shafts and constant velocity joints.

Logistics Services

SKF�� business is supported by its logistics processes and systems, which involve all parts of the logistics needs in the supply chain. SKF Logistics Services provides warehousing, transportation, packaging and inventory management based on seamless information and communication technology for the SKF Group globally.

Advisors' Opinion:

• [By Stephen Simpson, CFA]

  I wrote on bearings and velocity control products company Kaydon (KDN) in early March of this year, and I didn't see a lot of value at the time. As the year went on, that call looked worse and worse, as the stock climbed about 18% - well above the S&P 500, and well above industry peers/competitors like Timken (TKR) and SKF (SKFRY.PK). To top it all off, Kaydon announced this morning (September 5) that it had received and accepted a buyout offer from SKF valuing the company at $35.50 - some 45% higher than the price when I thought it looked only about 10% undervalued. So what did I get wrong here, and what can investors do to avoid a similar mistake?