Multifaceted conglomerate and Motley Fool Inside Value recommendation Tyco (NYSE:TYC) has a little something for everybody. Optimists can say that the company has begun to address its operating problems and that there is substantial value here that the Street doesn't fully appreciate. Pessimists can point to sluggish growth and a pretty dicey history regarding earnings guidance.

I'll come down somewhere in the middle. I don't think Tyco is particularly well-run, but you can't deny that it produces a pretty fair bit of free cash flow. And if these units somehow actually get themselves into shape (whether through a spinout/breakup or whatever), there should be the potential to do even better.

Potential is a tricky word, though, and today's results are still what I'd consider mixed. Reported revenue was up about 2%, while the company pegged organic growth at about 5%. That's a curious little item, given the fact that most conglomerates like Danaher (NYSE:DHR), United Technologies (NYSE:UTX), and so on generally report the opposite (higher reported revenue than organic revenue). Using those company-produced organic numbers, the electronics and engineered products units did pretty well (7% organic growth each), while fire/security and health care were nothing special.

Turning to margins, it seems pretty clear to this Fool that there's a lot more work to be done. Looking at operating profits before stock compensation expense, only the engineered products unit was positive, while health care was down by a double-digit amount.

In taking down guidance again, management specifically mentioned that high metal prices were becoming a problem. While gold has gotten expensive, the price of copper has continued to charge upwards and the company apparently can't do much more in terms of near-term price recovery.

I'm still left with a rather lukewarm feeling toward Tyco. Sure, the price is below my fair value estimate, and I think there's money to be made from the stock (and I'm pretty optimistic on what the breakup might do for investors). Still, this is a company that doesn't exactly embody excellence of execution. I realize there isn't a surplus of bargains in the industrial conglomerate world, but I'd at least take a look at Illinois Tool Works (NYSE:ITW) or Dover (NYSE:DOV) alongside Tyco.

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Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).