Machinery Stocks for Upbeat Factory Orders
A handful of 4- and 5-star machinery stocks poised for a manufacturing recovery.
The U.S. Commerce Department released its monthly report on orders to U.S. factories for the month of May. Orders increased at the fastest pace in over a year. This report augments the July 1 report from the Institute for Supply Management, which showed that its index for manufacturing demand was at the highest since last August--though still below the threshold signaling manufacturing expansion.
Still, if the contraction in U.S. manufacturing is bottoming, some investors may want to begin considering stocks that could benefit. We ran a screen using Morningstar's Premium Stock Screener, searching for narrow-moat machinery stocks that are currently rated 4 stars or higher. The results are below.
Mike Taggart does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.