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The SPDR Fund ETF Select Industrials (XLI) rose +1.82% For the week ending August 23, the SPDR S&P 500 Trust ETF (SPY) rose $1.2 billion. +1.41%.
Powell Industries (Nasdaq: Powell) was the biggest industrial gainer (in the sector) this week, which saw construction stocks rise. Infrastructure stocks rose after Federal Reserve Chairman Jerome Powell’s speech on Friday that greatly increased the odds of a September interest rate cut. Meanwhile, shares of Decom Industries Inc. (NYSE: DThe company’s stock was the biggest loser during the week, which included shares of air defense companies and airport operators.
The industrials sector was among 10 of 11 sectors in the S&P 500 that ended the week in the green. The S&P 500 has gained year-to-date +13.41%While SPY rose +18.27%.
The top five gainers in the industrial sector (stocks with a market capitalization of more than $2 billion) achieved gains of more than +10% All five of these stocks are in the green this week. So far this year, all five of these stocks are in the green.
Powell Industries (POWL) +14.39%Shares of the Houston-based company, which makes power control stations, were among several stocks that rose Friday (+8.29%), after Federal Reserve Chairman Jerome Powell indicated that the central bank is ready to begin cutting interest rates from their highest level in two decades. +118.08%.
POWL has an SA Quant rating — which takes into account factors such as momentum, profitability, valuation, and more — of Strong Buy. The stock has a Profitability Factor Score of A- and an A+ for Growth. The average Wall Street analyst rating (one analyst in total in this case) varies and has a Hold rating.
Builders FirstSource (BLDR) +13.08%Building Materials Manufacturing Company shares jumped +8.75% Friday. So far this year, +9.15%. SA Quant’s rating for BLDR stock is Hold, with a B- for both valuation and momentum. The average Wall Street analyst rating is more positive, with a Buy rating, with 8 out of 15 analysts seeing the stock as a Strong Buy.
The chart below shows the price and return performance to date for the top five gainers and SPY:
IES Holding (IESC) +12.60%Shares of IES, which provides network infrastructure installation services, also rose on Friday (+10.23%). +142.91%.
Top Build (BLD) +10.36%The stock rose more than ever on Friday (+6.79%). YTD, +9.73%SA Quant’s rating for BLD is Hold, while the average rating from Wall Street analysts is Buy.
Advanced Drainage Systems (WMS) +10.17%Shares of the Hillard, Ohio-based company, which makes pipes and water management products, saw their biggest gain on Wednesday (+4.32%), in addition to seeing a sharp rise on Friday (-3.98%). YTD, +16.06%SA Quant’s rating for WMS is Hold, which contrasts with Wall Street analysts’ average rating of Strong Buy.
The five largest industrial companies (market caps over $2 billion) lost more than $1 billion this week. -4% So far this year, 2 of these 5 stocks are in the red.
Dicom Industries (DY) -6.76%Shares of the company, which provides contracting services to the telecommunications and utilities sectors, fell. -7.55% Wednesday after it provided guidance for the current quarter along with its quarterly results. However, so far, the stock has risen +56.50%.
SA Quant’s rating for DY is Buy, with a B+ for Growth and C for Profitability. The average Wall Street analyst rating agrees with this and holds a Strong Buy rating, with 8 out of 8 analysts viewing the stock as such.
Mercury Systems, Inc. (MRCY) -6.51%The defense and aerospace company’s stock was among the top five gainers last week. This week, the stock fell the most on Thursday (-3.76%). YTD, +2.52%SA Quant’s rating for MRCY stock is Hold, with a B+ for momentum and C+ for valuation. The average analyst rating on Wall Street agrees with this rating and also carries a Buy rating, with 4 out of 9 analysts rating the stock as such.
The chart below shows the price and return performance year-to-date for five of the worst losers of the week and XLI:
Loar -6.36%Shares of the company, which makes aircraft components, aerospace and defense systems, saw their biggest drop on Wednesday (-3.40%). Loire was also among the top five gainers last week. +43.81%The average Wall Street analyst rating for LOAR is Buy.
North Central Airport Group (OMAB) -5.98%Shares of Mexican airport operator fell -3.29% Wednesday. So far -26.47%. SA Quant’s rating for OMAB is Sell, which contrasts with the average Wall Street analyst rating of Hold.
American Airports Corporation (CAAP) -4.60%The Luxembourg-based airport operator saw its shares fall. -4.25% Thursday after the release of second-quarter results (after-market Wednesday). So far, -4.42%CAAP’s SA Quant rating and Wall Street’s average analyst rating are both Buy.