Out of the 81 miscellaneous capital goods stocks that are generally tracked, prices of 52 stocks increased, and 27 decreased while 2 remained unchanged yesterday. So, the breadth was not so encouraging. Out of those 81 stocks, we will pick seven stocks that can be fairly termed ‘bullish' in the next three to twelve months.
Percentage change in share prices ranged from a gain of 3.74 percent (China Ming Yang Wind Power Group Ltd (NYSE:MY)) to a loss of 6.99 percent (Broadwind Energy Inc. (Nasdaq:BWEN)). Absolute change in price ranged from a loss of $0.50 (Tennant Company (NYSE:TNC)) to a gain of $1.89 (Gardner Denver, Inc. (NYSE:GDI))
Illinois Tool Works Inc. (NYSE:ITW) is an automatic choice (kindly look at ‘Should you invest in Illinois Tool Works Inc. (NYSE:ITW)' article). We will examine the outliers (MY, BWEN, TNC, and GDI) to see if they present any investment or trading opportunities. BWEN doesn't pass the cut as it is a micro cap company.
China Ming Yang Wind Power Group Ltd (NYSE:MY)
China Ming Yang Wind Power Group (Mingyang) is a wind turbine manufacturer in China, focusing on designing, manufacturing, selling and servicing megawatt-class wind turbines. The company is non-state owned, or controlled, wind turbine manufacturer in China. Its products consist of two models of wind turbines, each with a rated power capacity of 1.5 megawatt (MW) designed and developed to cater to the wind and other weather conditions and power grids in China.
The 52-week range for MY share is between $5.82 and $14.7. In the last one year, the share price has declined by $7.43, or 56.08 percent. Analysts' consensus one year target price is at $17.05, indicating significant upside potential. Moreover, analysts' lower bound for one year target price is at $16.1, indicating zero downside risk. Though EPS for MY were negative within the last 5 years, the stock is still a good buy if you follow Benjamin Graham's value investing principles.
Tennant Company (NYSE:TNC)
Tennant designs, manufactures and sells products used in the maintenance of non-residential surfaces. The company provides equipment, parts and consumables and specialty surface coatings to contract cleaners, corporations, healthcare facilities, schools and local, state and federal governments.
The 52-week range for TNC share is between $28.11 and $43.84. In the last one year, the share price has increased by $4.54, or 13.14 percent. Analysts' consensus one year target price is at $46, indicating some upside potential. Moreover, analysts' lower boundary for the one-year target price is at $39, indicating nearly zero downside risk.