“One of the funny things about the stock market is that every time one person buys, another sells, and both think they are astute.”
Stock market has fulfilled millions of dreams and demolished plenty in the process. Everyone is there to make money and get best returns for the investments. However, stock market is not an easy nut to crack and you need to monitor different trends, trading interest, and the economy, all at the same time. In 2013, stock market certainly offered some of the best returns as compared to the past several years. The year ended with some extraordinary performances by the industrial sector. Market experts are hoping for a similar performance in 2014. If you are planning to invest in industrial stocks, here are some excellent options for you.
- S&P 500 SPDR (SPY): If there is an ETF that offers incredible returns, then it has to be S&P 500 SPDR (SPY). Industrial stocks ended as the top sector in the last few week of 2013 and SPY pushed above $182.00 market indicating an amazing returns on investment. This ETF has net assets over $174.85 Billion and is has produced year-to-date returns of 32.31% that is an amazing returns figure in itself. If you don’t have the time to monitor the stock market, SPY is the best product to invest in.
- Danaher Corp. (DHR): The consolidation towards the end of 2013 was an excellent news for the stock prices of Danaher Corp. The stock pushed above $75.00 in the last two months of 2013 and had continued that streak until now. With a market cap of $53.73 Billion, the company is now ahead of Hewlett-Packard Co (HPQ) and holds #78 spot in S&P 500 list. In the last one year, the company has offered returns of nearly 29% with a P/E ratio of 21.48, making it an excellent choice for an average investor.
- Eaton Corporation (ETN): It is one of the most diversified power management companies and it has performed really well at the stock market. ETN has witnessed a constant upwards stock price since September 2013 indicating a healthy growth. ETN is among one of the industrial stocks that have helped the industrial sector gain momentum. The company has a market cap of $36.03 Billion and offers dividend Yield of 2.20%. This company is growing at an amazingly well rate and is going to continue it in the upcoming months.
- Industrial Select Sector SPDR (XLI): With the overall industrial sector performing extraordinarily in the past few weeks, Industrial Select Sector SPDR (XLI) is another excellent fund to put in your money. This fund has performed well for over a decade and half (except the economic recession). In the last one year, the stock prices of XLI have increased by 28.98% making it an excellent choice and market is certainly going its way.
- Emerson Electric (EMR): EMR is a diversified technology company with the current stock price of ~$68.00. With the purchase of EGS Electrical earlier this month, 2014 can be an excellent year for Emerson Electric. The company moved out of consolidation towards the end of 2013 and looked good ever since. With a market cap of $47.41 Billion, its stocks have increased by nearly 17.5% over the last one year. The stock even touched $70.00 mark towards the end of 2013 and one might expect similar results in 2014.
Will it be a shining year for industrial stocks?
The Euro consumer market has recovered very well and it is back on its track. Similarly, the Japanese Economy has shown some signs of improvements in the last couple of months. These factors together will establish the demand for industrial products and services to provide the expected boost to the industrial sector. In addition to these factors, the energy independence of the U.S. is another excellent signs for the American industries in upcoming years. Industries can expect cheaper power supplies and capitalize over it. If you are planning to invest in industrial stocks, this might be the best time to put your money in.