Smart acquisitions helped this manufacturer of heating and air-conditioning products book a record $2.2 billion in revenue for 2008, despite dramatically higher raw material costs and a big slowdown in the economy.
Baird analyst Michael Schneider says that a series of government actions should lift the company's earnings in 2010. These include the $1,500 rebate in the stimulus package for high-efficiency residential air conditioners, furnaces, and heat pumps and a $4.2 billion allocation to make federal buildings green. Finally, the 2007 Energy Act raises minimum efficiency ratings on industrial motors by 30%, effective by the end of 2010.
--K.B.
