ABB Maintains New-Order Momentum as CEO's Revamp Bears Fruit
- Power Grid Unit Will Still Reach Margin Target After 2Q Miss
- Shares Gain Most in Five Years on ‘Encouraging’ Performance
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ABB Ltd. reported quarterly order intake that beat estimates, advancing Chief Executive Officer Ulrich Spiesshofer’s effort to revamp the Swiss industrial giant without succumbing to the demands of activist investors.
“These results will be seen as encouraging, the positive momentum around order backlog is the key,” Morgan Stanley analysts Ben Uglow and Katie Self write in note. “The weight from Power Grids remains a problem, although this can be turned with large orders.”