Why Goldman Sachs Upgraded This High-Yield Stock

With a 3.4% dividend yield, global industrial giant Eaton Corp. (NYSE: ETN)offers an attractive yield relative to the broader market's 2% or so. It's an interesting stock if you are looking for an industrial dividend payer, especially considering that the power management company was recently upgraded by Goldman Sachs.

Here's why a key piece of Goldman's call is likely on the mark, along with a key issue to worry about just the same as you read Tuesday's earnings release.