Top stock picks benefiting from giant US infrastructure planGlobe today
INSIDE THE MARKET
Top stock picks benefiting from the giant U.S. infrastructure spending plan
Daily roundup of research and analysis from The Globe and Mail’s market strategist Scott Barlow
Citi analyst Anthony Pettinari digs deeper into U.S. infrastructure plans and finds a number of prospective winners,
“An infrastructure package could provide a substantial tailwind across E&Cs (engineering and construction) and drive further share price appreciation. Companies should benefit from ongoing self-help combined with potential tailwinds driven by federal stimulus ($1.9trn passed + proposed $2.3trn under discussion) focused on infrastructure investment in areas such as surface transportation (AECOM, Jacobs Engineering Inc.), broadband access (MasTec Inc. and Quanta Services Inc.), sustainability/clean energy (KBR Inc., Fluor Inc. and MasTec and power infrastructure (Quanta Services) … [Machinery stocks] would benefit from a wide-range of spending initiatives, which spans well beyond roads and bridges. While the major infrastructure-exposed stocks like Caterpillar Inc., United Rentals Inc., and MasTec stand to benefit, we see Buy-rated Timken Co. (renewables) and Eaton Group PLC (electrification) as two stand-outs within our coverage”
“@SBarlow_ROB Biggest winners from U.S. infrastructure spending plans (Citi)” – (research excerpt)***