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The Industrial Select Sector (XLI) ended its multi-week winning streak to close the week ending Aug. 4 down -1.74%. The SPDR S&P 500 Trust ETF (SPY) fell -2.21% for the week. However, YTD, both XLI (+10.21%) and SPY (+16.83%) are in the green.
The top five gainers in the industrial sector (stocks with a market cap of over $2B) all gained more than +15% each this week. YTD, all these 5 stocks are in the green.
Vertiv (NYSE:VRT) +37.61%. The Ohio-based company, which provides infrastructure and services for data centers, saw its stock soar +29.25% on Wednesday after Q2 results surpassed estimates.
VRT has a SA Quant Rating — which takes into account factors such as Momentum, Profitability, and Valuation among others — of Hold. The stock has a factor grade of C+ for Profitability and A for Growth. The average Wall Street Analysts’ Rating differs with a Strong Buy rating, wherein 8 out of 11 analysts tag the stock as such. YTD, the stock has surged +161.42%.
Symbotic (SYM) +27.10%. The stock rocketed +50.64% on Monday after the robotics warehouse automation company reported Q3 revenue which was beyond expectations. The shares dipped the following day after William Blair downgraded stock on the belief that an improving outlook was “fully priced in.” Symbotic had topped the gainers list (in this segment) two weeks in a row in June, and YTD has soared +348.99%, the most among this week’s top five gainers.
The SA Quant Rating on SYM is Hold with score of A+ for Momentum and D- for Valuation. The rating is in contrast to the average Wall Street Analysts’ Rating of Buy, wherein 7 out of 13 analysts tag the stock as Strong Buy.
The chart below shows YTD price-return performance of the top five gainers and SPY:
Fluor (FLR) +17.30%. The stock rose +15.56% on Friday after Q2 results comfortably beat estimates and the Irving, Texas-based engineering and construction company raised 2023 adjusted EPS outlook.
FLR has a SA Quant Rating of Buy with factor grade of A+ for Growth and B for Valuation. The average Wall Street Analysts’ rating concurs with Buy rating of its own, wherein 3 out of the 10 analysts see the stock as Strong Buy and the other 7 tag it as Hold. YTD, +3.69%.
Gibraltar Industries (ROCK) +15.65%. The building product maker’s stock shot up +9.85% on Wednesday following second quarter results. The SA Quant Rating and the average Wall Street Analysts’ Rating, both, for ROCK is Strong Buy. +59.94%.
Oshkosh (OSK) +15.33%. The company’s stock rose throughout the week with most on Tuesday (+10.14%) after Q2 Non-GAAP EPS and revenue exceeded analysts’ expectations. The maker of military vehicles and specialty trucks also saw an upgrade at Baird a day after. The SA Quant Rating and the average Wall Street Analysts’ Rating on OSK is Buy. YTD, +18.44%.
This week’s top five decliners among industrial stocks (market cap of over $2B) all lost more than -14% each. YTD, 3 out of these 5 stocks are in the red.
Spirit AeroSystems (NYSE:SPR) -28.62%. The stock fell -27.29% on Wednesday — the biggest one-day decline since October 2012 — after revealing $105M in losses from making aircraft parts for Boeing and Airbus and forecast reduced cash flow for the remainder of the year. The company’s Q2 revenue did beat estimates but Non-GAAP EPS missed out. Spirit also saw a downgrade at Goldman Sachs after the results.
The SA Quant Rating on SPR is Sell with a factor grade of D+ for Valuation and D for Profitability. The rating is in contrast to average Wall Street Analysts’ Rating of Hold, wherein 3 out of 8 analysts see the stock as Strong Buy. YTD, the stock has declined -24.49%, the most among this week’s worst five performers.
Generac (GNRC) -23.98%. The generator maker’s stock tumbled -24.40% on Wednesday after Q2 non-GAAP EPS fell short of estimates. However, the stock did get upgrades at Janney and Truist after the selloff. YTD, +13.20%.
The SA Quant Rating on GNRC is Hold with score of C- for Growth but D for Momentum. The average Wall Street Analysts’ Rating has a more positive view with a Buy rating, wherein 9 out of 26 analysts tag the stock as Strong Buy.
The chart below shows YTD price-return performance of the worst five decliners and XLI:
Insperity (NSP) -20.88%. The human resources servcies provider reported mixed Q2 results which sent the stock diving -16.89% on Tuesday. The stock has been in the red since the past seven trading days (July 27- Aug. 4).
The SA Quant Rating on NSP is Hold with factor grade of A- for Profitability and B for Growth. The average Wall Street Analysts’ Rating is Buy, wherein 1 out of 4 analysts see the stock as Strong Buy. YTD, -17.12%.
Resideo Technologies (REZI) -17.50%. The Scottsdale, Ariz.-based company’s Q2 results missed analysts expectations which drove the stock down -14.93% on Friday. The SA Quant Rating on REZI is Hold, while the average Wall Street Analysts’ Rating is Buy. YTD, -7.17%.
MasTec (MTZ) -14.92%. The stock fell -17.69% on Friday after the company reported Q2 results (post market Thursday) wherein it cut guidance for the full year, attributed in part to project delays at its recently acquired IEA. operations. The SA Quant Rating on MTZ is Hold, while the average Wall Street Analysts’ rating differs with a Strong Buy. YTD, the stock has gained +16.68%, the most among this week’s top five decliners.