SMC (TSE:6273, Financial) is a Japanese producer of pneumatic equipment used in industrial automation. The market seems to have started to look through some of the cyclical headwinds SMC is facing in several of its end markets, anticipating a recovery in demand. Moreover, SMC recently underwent a change in leadership, which could drive more shareholder-friendly capital allocation going forward.
From the First Eagle Global Value Fund's third-quarter 2019 shareholder letter.
