Three Niche Industrials With Gains Ahead

Article Excerpt

Fears of a slowing economy have hurt most industrial stocks in the past few months. Rising prices for raw materials, labor and fuel have also slowed their profit growth. We aim to limit your risk in this sector by zeroing in on companies with strong brands, reputations and market share. These advantages will let them overcome the recent downturn, and maintain earnings and dividends until the economy improves. Here are three top examples. All are doing a good job controlling costs and diversifying their businesses. As well, their products help customers cut costs and improve product quality. All three are also attractive in relation to their earnings and sales. GENUINE PARTS CO. $42 (New York symbol GPC; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 165.3 million: Market cap: $6.9 billion; WSSF Rating: Average) distributes automotive replacement parts to over 4,800 independent outlets in North America. It also operates 1,100 retail stores under the NAPA banner. Automotive parts supply nearly half of…

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