7 Trillion Cost Of Upgrading The US Power GridThere are huge needs to upgrade the electrical power infrastructure as described in this article: https://oilprice.com/Energy/Energy-General/The-7-Trillion-Cost-Of-Upgrading-The-US-Power-Grid.html
That will mean YEARS of nice tail wind for HPS:)
What about transformers? It is an old market which has consolidated and HPS took over one of the main dry tranformer competitors in North America some years ago making HPS to the clear no1 (if I understand the history right).
One may think that the good prospects would spark large investments in transformation market but my guess is that it won't. Most players (like GE, Siemens and ABB) will treat it as growing cash cow businesses and wont over-invest and end up in price wars and dog-margins. At least this seems to be a plausible assumption.
Yesterday I listened to Munger's live online presentation. Early in his career Munger took over a transformer company in Pasadena, turned it around and sold it with a profit.
Are Q4-numbers coming today after market's close?