3 Dow Stocks That Bucked the Trend

Updated

The following video is part of our "Talking Stocks" series, in which Motley Fool analyst Austin Smith discusses trends across the investing universe.

In today's edition, Austin looks at three Dow stocks that bucked the trend today: Merck, Verizon, and Wal-Mart. While the Dow closed down 0.28%, these three stocks were up. Frankly, there isn't a whole lot of news to justify their jumps, though. Instead, the biggest news item on the index is the official beginning to earnings season. Alcoa reported this afternoon with a $0.01 beat, reporting $0.06 EPS. This is a breath of fresh air for the second worst-performing Dow stock over the past 12 months, and hopefully it bodes well for the rest of earnings season.

Though Alcoa reaffirmed its global demand projections, with aluminum sitting near two-year lows, the company will continue to operate with headwinds for some time. What can be tough for Alcoa can be good news for the aerospace and automobile sectors, though. Demand from these companies boosted Alcoa's earnings this quarter and may do so for some time, as manufacturers such as Boeing and Ford aim to build lighter, stronger, and more fuel-efficient vehicles.


Cheap aluminum prices are just one of the compelling reasons to consider an investment in Ford today. To understand the broader investment picture on the stock some are calling "the stock of the decade," click here to read our analysts' exclusive report outlining the best reasons to buy and sell this company today.

At the time thisarticle was published Austin Smith andThe Motley Fool own shares of Ford.Motley Fool newsletter serviceshave recommended buying shares of Ford, creating a bull call spread position in Wal-Mart, and creating a synthetic long position in Ford. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days. The Motley Fool has adisclosure policy.

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