Acquisitions will spur these spinoffs

Article Excerpt

These spinoffs have surged since becoming independent firms. Their recent acquisitions also position them for more gains as the economy continues to recover. CARRIER GLOBAL CORP. $44 is a buy. This company (New York symbol CARR; Manufacturing & Industry sector; Shares outstanding: 836.3 million; Market cap: $36.8 billion; Dividend yield 1.4%; Takeover Target Rating: Medium; www.carrier.com) is a leading maker of heating, ventilation and air conditioning (HVAC) equipment. In April 2020, Raytheon Technologies Corp. (New York symbol RTX) spun off Carrier and Otis (see right) as separate companies. For each share they held, investors received 0.5 of a share in Otis and 1 share in Carrier. In January 2022, Carrier sold its Chubb Fire & Security business for $2.9 billion. Based in the U.K., Chubb makes burglar alarms and fire extinguishers. The company also increased its stake in a joint venture with Japan’s Toshiba Corp., from 40% to 95%. This business makes air conditioners, heat pumps and other equipment for commercial clients. Carrier paid $891 million for…