Why Eaton Corporation, PLC Ordinary Shares have been downgraded?

Eaton Corporation, PLC Ordinary Shares (NYSE:ETN) received a stock rating downgrade from Longbow on Apr-04-16. In a note to investors, the firm issued a Neutral rating. The analysts previously had a Buy rating on the stock.

The 52-week price range is $45.74-$71.74 and the company has a market capitalization of $28.92 billion. Analysts covering the shares maintain a consensus Buy rating, according to Zacks Investment Research. Zero analyst has rated the stock with a sell rating, 12 has assigned a hold rating, 1 says it’s a buy, and 3 have assigned a strong buy rating to the company.

On February 9, 2016 Eaton Corporation, PLC Ordinary Shares (ETN)  and The AES Corporation (AES), through its subsidiary, AES Energy Storage, announced the signing of an alliance agreement under which Eaton will offer AES’ Advancionenergy storage platform as the core of its grid-scale, integrated energy storage systems to help manage grid stability and peak demand infrastructure.

The agreement is part of an AES initiative with select leading companies to ensure the global availability of the award-winning Advancion energy storage platform. Eaton will supply the energy storage systems, provide support and ensure long-term operation directly to utilities, industrial and commercial customers, independent power producers and power system operators across Europe, the Middle East, and Africa (EMEA).

“With more than 50 years of experience helping customers manage energy and supporting utilities in Europe, the Middle East and Africa, Eaton has a long track record of working with its customers to automate, protect and optimize a secure, cost-effective electrical grid,” said Cyrille Brisson, Vice President of Marketing, for Eaton’s Electrical business in EMEA.

“Together, Eaton and AES will be able to greatly impact the energy landscape in EMEA. By providing market-leading, innovative energy storage systems to commercial, industrial and utility customers, we will be able to mitigate the investment needed for, and the charges and emissions resulting from peak demand infrastructure. The widespread deployment of systems enabling peak capacity, flexible generation and grid services, coupled with the easy consumption of renewables, will help a smarter grid meet environmental targets,” added Brisson.

“We see energy storage as key to a clean, unbreakable grid equipped to deliver power from the most efficient and cost-effective sources,” said John Zahurancik, President of AES Energy Storage. “Working with leading companies, like Eaton, provides a path for the rapid adoption of energy storage in important global markets.”

See also: A Peek Inside Donald Trump’s Financials Shows How He Takes Advantage Of A Little Known Income Stream That’s Available To Everyone!