Thursday, February 27, 2014

What Companies are Saying About Commercial Construction in 2014

With many companies in the commercial construction sector having already given their results and outlook this year, it's time to start looking at what they are saying about the industry. The investment thesis behind buying into the sector is that a recovery in housing usually precedes a pick-up in commercial construction. So what are the smaller companies focused on the sector like Lennox (NYSE: LII  ) and Watts Water (NYSE: WTS  ) are forecasting?  Also, what are large conglomerate saying about the industry?

Larger companies outlook
Blue chip industrials like United Technologies (NYSE: UTX  ) and Emerson Electric (NYSE: EMR  ) are interesting to look at in this regard, because their businesses cover a broad range of sectors in the economy. Therefore, their reporting of the commercial construction sector will be tempered by an overall view of the economy. 

Tuesday, February 18, 2014

Why the Latest ISM Data isn't Anything to Worry About

The latest manufacturing data from the Institute for Supply Management, or ISM, certainly spooked the market into a sell-off, but was it justified? In other words, Is the weak ISM Purchasing Managers Index, or PMI, data the first indicator of a slowdown in the manufacturing sector, or is it merely a weather related phenomenon? 

Read the full article linked here

Trends in the Industrial Economy

One way to check the pulse of the industrial sector is to analyze the outlook statements from the industrial gas suppliers like Praxair  $PX  and its rival Air Products  $APD . They always give great color on short term trends in global industrial markets, and there a very few companies with more overall exposure to the manufacturing sector.

Read the full article linked here