Pick Up This Metal Fabricator Now That It's Bottomed

Daniel Cross - INO.com Contributor - Equities

Certain stock sectors tend to underperform others as part of the business cycle. Investors have known about this phenomenon for decades and cyclical industries like industrial goods have a well-established track record of ups and downs. Occasionally, these stocks find themselves at the bottom of their cyclical curve and suddenly have nothing but bad news priced into the stock. That can leave them deeply undervalued with a lot more upside potential than downside.

Industrial manufacturing production has fallen this year with projected growth of just 2.5%, partially due to the slow start in the first quarter thanks to adverse winter weather conditions. However, with the economy posting improving data, those figures could be revised upwards as the year progresses. With the lower expectations already priced into the manufacturing industry, stocks look to be at tremendously discounted prices. Continue reading "Pick Up This Metal Fabricator Now That It's Bottomed"