12 Best Industrial Distribution Stocks to Buy According to Hedge Funds

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9. Applied Industrial Technologies, Inc. (NYSE:AIT)

Number of Hedge Fund Holders: 27

Applied Industrial Technologies, Inc. (NYSE:AIT) is a value-added distributor and technical solutions provider of industrial motion, fluid power, flow control, automation technologies, and related maintenance supplies.

AIT serves as one of the largest distributors and service providers of industrial motion and control technologies globally. The company occupies a leading position within critical areas of the industrial supply chain, with its scale and technical expertise in motion, power, and control technologies driving a strong competitive moat. Simultaneously, the firm is uniquely positioned to advantage of emerging growth related to next-generation automation and smart technologies.

In a large and fragmented market, Applied Industrial Technologies, Inc. (NYSE:AIT) has been a proven acquirer as evidenced by 36 acquisitions since 2012 representing more than $1 billion in annual sales. In January, the firm successfully completed the acquisition of Hydradyne which marked a major milestone and set the stage for a solid growth and operational momentum. While Hydradyne is a premier provider of fluid power solutions, the acquisition is to potentially improve AIT’s leading fluid power distribution position in the United States.

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