economy
We're upgrading our rating on an industrial stock and plan to buy more
Every weekday, the Investing Club releases the Homestretch; an actionable afternoon update just in time for the last hour of trading.
TL;DR
- Stocks rallied on Thursday after President Trump announced the cancellation of strikes against Iran.
- Honeywell's stock rose after an investor day for its Technologies business, with analysts upgrading its rating.
- The company has undergone significant portfolio changes, divesting some businesses and acquiring others to accelerate growth.
- Honeywell management has outlined three-year financial targets including 4%-6% organic sales growth and 10%+ annual adjusted EPS growth.
- Honeywell's current valuation is considered attractive, with expectations that its businesses will command higher multiples post-spin-off.
- Trucking and freight stocks rebounded after a previous day's dip related to Amazon's LTL service expansion.
- Analysts believe risks for national carriers from Amazon's LTL services are limited due to Amazon's asset-light approach and competitors' reluctance to use its services.
- The upcoming SpaceX IPO is dominating market attention, with major earnings reports also due from Adobe and Lennar.