Bad News Coming for These Manufacturers?
Today, Brendan discusses some potentially bad news for manufacturing companies. Investors dumped Cummins after it cut its full-year revenue forecast from a 10% gain over the previous year, back to even. Although the company did increase its dividend and still feels optimistic about future potential, the near-term manufacturing state looks less promising. Headwinds in the manufacturing sector, especially in BRIC nations, could push Caterpillar, Deere, and other cyclical stocks down after earnings reports. Check out the video below for more on why, despite this, Brendan thinks these stocks are looking cheap, and might be even more attractive after earnings.
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The article Bad News Coming for These Manufacturers? originally appeared on Fool.com.Brendan Byrnes owns shares of Caterpillar. The Motley Fool owns shares of Cummins and Westport Innovations. Motley Fool newsletter services recommend Cummins and Westport Innovations. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.