Where to Find Attractive Stocks in Industrials Sector
The aerospace, defense, and industrial distribution industries look undervalued.
The Morningstar US Industrials Index has significantly underperformed the broader U.S. equity market over the trailing 12 months, due in part to steep equity value declines across the airlines and aerospace and defense industries, which have been hit particularly hard by the coronavirus pandemic. However, the industrials index rallied during the quarter, led by farm and heavy construction machinery, trucking, and freight and logistics, as investors became more optimistic about the prospects for a sustained economic recovery.
Brian Bernard does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.