Just recently added KoB. He makes a lot of good points on their strengths. The Hood is probably the worst BC in the game.
If I face them I find RB3 and RB1 to be the best bands to engage them. Especially if you have something to help with the torpedoes. The best match I would like to see is LoIS vs. KoB. The Italians are good against submarines and long range attacks. Hit and run can complicate counter punching especially against fixed channel torps.
I agree on the Stalwarts- Their limit of 3 models to a squadron (any other destroyer have that? ah the Yale, which really needs something.) is a hint to their power. They have 4, "cough," Aggressive AP each and 4/5 DR/CR with 3 HP. A Lt.Cruiser with Pack Tactics- 20 AD at RB2.
Not sure which version he is using. 2.1?