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Spin-Off stocks are beating the market as corporations try to boost earnings and stock market performance by turning divisions into separate companies, says Joseph W. Cornell, CFA. The 100-stock Bloomberg Spin-Off Index was up 9.5% this year through August 15, compared with 2.9% for the Standard & Poor's 500 stock index. Attractive Now: Babcock & Wilcox Enterprises (BW), which builds coal, gas and waste-to-energy plants, was spun off from nuclear-powerplant builder BWX Technologies...The Chemours Co. (CC), maker of refrigeration fluoroproducts, was spun off from chemical giant E.l. du Pont de Nemours.
Joseph W. Cornell, CFA, is publisher of Spin-Off Research, Chicago. SpinoffResearch.com