Friday, October 17, 2014

Hot Construction Stocks To Invest In Right Now


Source: Illinois Tool Works.

Some of the best-known stocks in the market are also great at paying dividends. But to find some of the strongest dividend investments, sometimes you have to look beyond the headlines. Illinois Tool Works (NYSE: ITW  ) is a great example, as the company has found diverse profit opportunities in several different divisions that have helped it produce a 40-year track record of raising its dividends every year. Indeed, that streak puts Illinois Tool Works among the elite list of Dividend Aristocrats, all of which need at least a quarter-century of annual dividend hikes to qualify.

Illinois Tool Works makes components and other products for everything from food equipment and automotive applications to welding, construction products, and testing and measurement equipment. Yet some of those segments have produced more growth lately than others. Below, we'll take a closer look at Illinois Tool Works.

Hot High Tech Companies To Buy Right Now: American Woodmark Corp (AMWD)

American Woodmark Corporation, incorporated on April 21, 1980, manufactures and distributes kitchen cabinets and vanities for the remodeling and new home construction markets. The Company offers framed stock cabinets in approximately 550 different cabinet lines, ranging in price from relatively inexpensive to medium-priced styles. Styles vary by design and color from natural wood finishes to low-pressure laminate surfaces. The product offering of stock cabinets includes 86 door designs in 18 colors. Stock cabinets consist of a common box with standard interior components and a maple, oak, cherry, or hickory front frame, door and/or drawer front. The Company�� product is primarily sold under the brand names of American Woodmark, Timberlake, Shenandoah Cabinetry, Potomac, and Waypoint Living Spaces.

The Company�� product is sold on a national basis across the United States to the remodeling and new home construction markets. The Company services these markets through three primary channels, which include home centers, builders, and independent dealers and distributors. The Company provides complete installation services to its direct builder customers through its network of nine service centers that are strategically located throughout the United States. The Company distributes its products to each market channel directly from four assembly plants through a third party logistics network. The primary raw materials used include hard maple, oak, cherry, soft maple, and hickory lumber and plywood.

Advisors' Opinion:
  • [By John Udovich]

    After the bedroom, the kitchen is probably the place where we spend the most time awake in our homes with small cap kitchen stocks Caesarstone Sdot-Yam Ltd (NASDAQ: CSTE) and American Woodmark Corporation (NASDAQ: AMWD) along with diversified midcap Fortune Brands Home & Security Inc (NYSE: FBHS) all putting in a good performance. After all, any sort of housing recovery with more new homes being sold will�help kitchen stocks and so will increased sales of older or foreclosed homes that need to have their kitchens remodeled. But which is the better kitchen stock for investors? Here is�closer look at all three:

Hot Construction Stocks To Invest In Right Now: Walter Bau AG (WTB)

Walter Bau AG is an international construction group based in Augsburg, southern Germany. The Company's core construction-related services are planning, financing, project development and facilities management. It is active in the fields of turnkey construction, civil engineering, international construction and transportation infrastructure. Its subsidiary, DYWIDAG-Systems International markets the Company's products and systems worldwide, particularly in the field of post-tensioning and geotechnics, as well as special civil engineering processes. Walter Bau also provides operation and financing solutions, as well as developing commercial and residential real estate projects. Facilities Management is offered by DYWIDAG Service GmbH. Its Logistics Competence Center in Augsburg bundles the Company's Germany-wide activities as a general contractor in the planning, construction and support of distribution centers. The Company commenced insolvency proceedings in April 2005. Advisors' Opinion:
  • [By Namitha Jagadeesh]

    BHP Billiton Ltd. (BHP) and Rio Tinto Group, the world�� biggest mining companies, fell at least 3 percent. Whitbread Plc (WTB) dropped 2.8 percent after UBS AG downgraded the owner of the Costa Coffee chain. British Land Co., the U.K.�� second-largest real estate investment trust, advanced 1.2 percent after saying it bought commercial property in London for 470 million pounds ($707 million).

  • [By Sofia Horta e Costa]

    Whitbread Plc (WTB) added 4.1 percent to 3,114 pence, its largest advance since September 2012. Oriel Securities Ltd. raised its rating on the shares to buy from hold, citing improvement in the U.K. hotel market.

Hot Construction Stocks To Invest In Right Now: Assa Abloy AB (ASAZY.PK)

Assa Abloy AB is a Sweden-based company engaged in the secure door opening solutions. It is organized into five divisions: Europe, Middle East and Africa (EMEA), North and South America (Americas), Asia, Australia and New Zealand (Asia Pacific), Global Technologies and Entrance Systems. The EMEA, Americas and Asia Pacific divisions manufacture mechanical and electromechanical locks, security doors and hardware in their respective geographical markets. The Global Technologies division operates in the product areas of access control systems, secure card issuance, identification technology and hotel locks. The Entrance Systems division is a supplier of entrance automation products and services. The Company�� subsidiaries include ASSA Sverige AB, Timelox AB and ABLOY Holdings Ltd., among others. In November 2013, it acquired Ameristar Fence Products Inc, a manufacturer of ornamental fences and gates. In January 2014, it acquired IdenTrust. In February 2014, it acquired Lumidigm. Advisors' Opinion:
  • [By Weighing Machine]

    Domiciled in Sweden, Assa Abloy (ASAZY.PK) is the largest lock maker in the world with a global market share of nearly 12%. While the construction market has been difficult since the financial crisis, Assa has continued to increase revenue and operating profit every year since 2010 and is on track to do so again in 2013. While commercial construction has been subdued, the aftermarket (which represents ~70% of the total lock market) is driven by changes in tenancy, renovation, and extensions have not been very cyclical and provides the company with a steady stream of profits. Assa has been cobbled together through 150+ acquisitions since the early 1990s and while management has done a good job of rationalizing facilities, there remain opportunities to increase manufacturing efficiencies. Similarly, the company's back office is still running dozens of IT systems (as a result of acquisitions) but management plans to consolidate these over the next few years. Further, Assa remains an active consolidator of the locks industry - it should be able to add 5% per year to sales via acquisitions (as an aside, those interested in micro-caps should have a look at Securidev in France which trades at less than half the private market value Assa has paid for lock makers on average over the past decade). Having the highest margins in the industry, Assa is able to achieve significant synergies on acquired businesses and earn good returns on capital for its shareholders through M&A. Thus even in a difficult economy, we expect Assa will continue to grow its operating profit given its steady after market revenue, opportunity to improve results through cost cutting, and through value accretive M&A. While its shares are not cheap, at 19x earnings, shares could offer investors with a five year holding period and an 8-10% annualized return.

Hot Construction Stocks To Invest In Right Now: Badger Daylighting Ltd (BAD)

Badger Daylighting Ltd. and its subsidiaries (Badger) provide non-destructive excavating services to the utility, transportation, industrial, engineering, construction and petroleum industries in Canada and the United States. Its key technology is the Badger Hydrovac excavator, which is used primarily for digging trenches in congested grounds. The Company�� excavation services include daylighting and potholing, slot trenching, debris removal and cleanups, maintenance and installation service pits, poles and piling holes and trench shoring/shoring. Badger slot trenching provides a non-destructive method of digging trenches for water lines, wiring and pipeline installations or excavations. Its applications include pipeline tie-ins, investigative slot trenching, installation slot trenching, drain tile trenching and line fault repairs. In November 2013, the Company acquired the business and operating assets of Fieldtek Holdings Ltd. Advisors' Opinion:
  • [By Kim Hjelmgaard]

    There have been some good (read: bad) predictions over the years.

    Before the 2013 forum, DealBook's Andrew Ross Sorkin recalled that in 2003 the serial Davos attendee, Microsoft co-founder Bill Gates, said of Google: "These Google guys (co-founders Larry Page and Sergey Brin), they want to be billionaires and rock stars and go to conferences and all that. Let us see if they still want to run the business in two to three years."

Hot Construction Stocks To Invest In Right Now: Chicago Bridge & Iron Company NV (CBI)

Chicago Bridge & Iron Company N.V. (CB&I) is one of the integrated engineering, procurement and construction (EPC) services providers and process technology licensors, delivering solutions to customers primarily in the energy, petrochemical and natural resource industries. CB&I consist of three business sectors: Steel Plate Structures, Project Engineering and Construction, and Lummus Technology. Through these business sectors, the Company offers services both independently and on an integrated basis.

As of December 31, 2012, the Company had more than 900 projects in process in more than 70 countries. On February 13, 2013, it acquired The Shaw Group Inc. (Shaw).

Steel Plate Structures

Steel Plate Structures provides engineering, procurement, fabrication and construction services, including mechanical erection services, for the hydrocarbon, water and nuclear industries. Projects include above ground storage tanks, elevated storage tanks, Liquefied Natural Gas (LNG) tanks, pressure vessels, and other specialty structures, such as nuclear containment vessels. Customers include international energy companies, such as Chevron, ConocoPhillips, ExxonMobil and Shell; national energy companies, such as ADNOC (Abu Dhabi), CNOOC (China) and Saudi Aramco (Saudi Arabia); and regional energy companies, such as Kinder Morgan (United States) and Suncor (Canada).

Project Engineering and Construction

Project Engineering and Construction provides engineering, procurement, fabrication and construction services for upstream and downstream energy infrastructure facilities. Projects include LNG liquefaction and regasification terminals, gas processing plants, refinery units, petrochemical complexes and a wide range of other energy-related projects. Customers include international energy companies, such as British Petroleum, Chevron, ConocoPhillips, ExxonMobil and Shell; national energy companies, such as Ecopetrol (Colombia) and ORPIC (Oman); and regio! nal energy companies, such as Dominion (United States), Gazprom (Russia), Nexen (United Kingdom), and Woodside (Australia).

Lummus Technology

Lummus Technology provides licenses, services, catalysts and equipment for the hydrocarbon refining, petrochemical, and gas processing industries. Customers include international energy companies, such as Chevron and Shell; national energy companies, such as Pemex (Mexico), Petrochina (China), Rosneft (Russia) and Sabic (Saudi Arabia); and regional refiners and chemical and gas processing companies, such as China Coal (China), IRPC (Thailand), Kazakhstan Petrochemical (Kazakhstan), and Williams Energy Services (United States).

Power provides a range of services, including design, EPC, technology and consulting services, primarily to the fossil and nuclear power generation industries. Plant Services provides electric power refueling outage maintenance, turnaround maintenance, routine maintenance, offshore maintenance, modifications, capital construction, off-site modularization, fabrication, reliability engineering, plant engineering, plant support and specialty services. Additionally, it provides services to restore, rebuild, repair, renovate and modify industrial and electric power generation facilities, and offers predictive and preventive maintenance services. Environmental & Infrastructure (E&I) provides full-scale environmental and infrastructure services for government and private-sector clients. These services include program and project management, design-build, engineering and construction, sustainability and energy efficiency, remediation and restoration, science and technology, facilities management and emergency response and disaster recovery. Fabrication and Manufacturing is a worldwide supplier of fabricated piping systems primarily to the electric power, petrochemical and refinery industries, supporting both external clients and other Shaw business sectors.

Advisors' Opinion:
  • [By Rich Duprey]

    Engineering and design firm for the energy industry�Chicago Bridge & Iron� (NYSE: CBI  ) �announced yesterday�its second-quarter dividend of $0.05 per share, the same rate it has paid since the first quarter of 2011 when it reinstated its dividend following a three-year hiatus.

  • [By Selena Maranjian]

    The biggest new holdings are Chicago Bridge & Iron (NYSE: CBI  ) and Family Dollar. Chicago Bridge and Iron offers construction and engineering services to the energy and natural resources sectors, working on projects related to the water, hydrocarbon, and nuclear industries. It has been boosting�its revenue growth rate lately, and its latest earnings report featured a $1.9 billion gain in awards, growing its hefty backlog to $25.5 billion. The company bought Shaw Group last year, which is known for constructing nuclear-related buildings. The stock is up 60% over the past year and has averaged�annual growth of about 18.5% over the past decade. Analysts at Lazard Capital, which rate the stock a "buy," recently upped�their price target for it from $65 to $75.

  • [By MONEYMORNING.COM]

    LNG Stocks to Buy: Chicago Bridge & Iron Co. (NYSE: CBI) designs, builds, repairs, and modifies petroleum terminals, refinery pressure vessels, cryogenic storage facilities, and elevated water storage tanks. In regard to LNG, CBI has already designed and constructed LNG facilities worldwide and has generated tens of billions of dollars doing so.

Hot Construction Stocks To Invest In Right Now: Holcim Ltd (HOLN)

Holcim Ltd (Holcim) is a Switzerland-based holding company that specializes in the manufacture, distribution and marketing of building materials. The Company operates four business segments, including Cement, Aggregates, Other construction materials and services, and Corporate. The Cement segment is engaged in the development of cement and comprises clinker and other cementitious materials, among others. The Aggregates business segment includes crushed stone, gravel and sand. The Other construction materials and services business segment comprises ready-mix concrete, concrete products, asphalt, construction and paving, and trading, among others. Additionally, other construction materials and services segment provides environmental services, including waste management, among others. The Corporate segment is engaged in holding activities and general management. It operates through subsidiaries in Asia Pacific, Latin America, Europe, North America, Africa and Middle East regions. Advisors' Opinion:
  • [By Sofia Horta e Costa]

    Holcim Ltd. (HOLN) lost 0.9 percent to 68.15 francs in Zurich. Bank of America Corp.�� Merrill Lynch unit cut its rating on the world�� largest cement maker to underperform, similar to a sell recommendation, from neutral. Merrill Lynch cited the company�� exposure to emerging markets.

Hot Construction Stocks To Invest In Right Now: Oci NV (OCI)

Oci NV is a Netherlands-based company, which divides its activities into two groups. The first group is engaged in the design, construction and maintenance of industrial and commercial infrastructures and buildings, such as roads, ports, railroads, hospitals, stadiums and water treatment units. The second group is engaged in the production of fertilizers, such as anhydrous ammonia, granulated urea, calcium ammonium nitrate and urea ammonium nitrate, among others. The Company is a subsidiary of Orascom Construction Industries SAE, an international fertilizer producer and construction contractor based in Cairo, Egypt. In September 2013, it announced spin-off of its subsidiary OCI Partners LP. Advisors' Opinion:
  • [By Ahmed A. Namatalla]

    OCI attracted $2 billion in commitments from a group of investors including Cascade Investment LLC, Gates�� personal investments vehicle, to help finance the move to Amsterdam, which it said would lower borrowing costs and boost its global profile. Yesterday�� settlement prompted Cairo-based investment bank Pharos Holding to raise Orascom to buy from hold, saying the construction and fertilizer company would proceed with an offer to investors to buy its Cairo-listed shares or swap them with OCI NV (OCI) stock.

No comments:

Post a Comment