Michael Huber 
We’re buying 30 shares of Dover at roughly $182 each. Following Wednesday’s trade, Jim Cramer’s Charitable Trust will own 600 shares of DOV, increasing its weighting to 3.22% from 3.06%. When we added to our Dover position last week , we mentioned that CEO Richard Tobin presented at a Barclays conference on Feb. 20 and said the company’s strong fourth-quarter order trend had so far continued into the first quarter. We’re back nibbling on shares because Tobin made another encouraging update at JPMorgan’s industrial conference Tuesday that increased our confidence in the company’s business despite the uncertain economic environment. Tobin said the order rate is on the same trajectory as three weeks ago, suggesting that with two-thirds of Dover’s quarter in the books, it’s exactly where management thought it would be. One of Dover’s faster-growing businesses is thermal connectors used for liquid cooling applications in data centers. Tobin said that business is up 80% to 90% right now. Tech companies are building and retrofitting data centers to handle artificial intelligence computing workloads. The energy-intensive facilities need the kinds of infrastructure components that Dover provides. Fellow Club name Eaton , which has even more exposure to data centers through its electrical equipment, got an upgrade to a buy-equivalent rating at KeyBanc. At the JPMorgan event, Dover’s Tobin also called out biopharma as a source of upside that’s outpacing the company’s projection of low-teen growth. DOV YTD mountain Dover YTD On capital deployment, recall Dover ended 2024 with $1.5 billion of excess cash and a total of $2.8 billion of dry powder it can use for organic investments, mergers and acquisitions (M & A), and capital returns. The company has a history of doing accelerated share repurchases (ASR), so when asked about his mindset on buybacks Tobin said the company will be opportunistic as they have been in the past. While it sounds like the company is itching to make some value-creating deals, we liked that Tobin didn’t rule out the potential for an ASR. We expect the company will at least step up the buyback with the stock down about 11% from its February high. (Jim Cramer’s Charitable Trust is long DOV. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
