Home Factor company Encore Wire Elevates to Top Industry Winners, Rocket Lab Replaces Winner Tag with #1 Loser

Encore Wire Elevates to Top Industry Winners, Rocket Lab Replaces Winner Tag with #1 Loser

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The week saw no outlandish gains among industrial stocks with Encore Wire leading the way as winners, while Rocket Lab and two others in last week’s top five list landed among this week’s losers.

The S&P 500 collapsed off a four-week winning streak and saw six of 11 S&P 500 sectors in the red. For the week ending August 19, the SPDR S&P 500 Trust ETF (TO SPY) has been -1.16%. Since the beginning of the year, SPY has -11.12%. The Select Industrial Sector SPDR (XLI) also decreased (-1.00%) ending four consecutive weeks of gains. Since the start of the year, XLI has been -6.59%.

The top five gainers in the industrials sector (stocks with a market capitalization of over $2 billion) all gained more than +3% everyone this week. However, since the beginning of the year, only three of these five titles are in the green.

Again Yarn (NASDAQ: WIRE) +7.35%. The Texas-based company was back in the top 5 gainers after three weeks, having also slipped into the bottom five two weeks ago. The title gained the most on August 18 (+6.84%) this week. SA’s quantitative rating on stocks is Strong Buy, which takes into account factors such as valuation and profitability, among other things. Wall Street’s average analyst rating is consistent with its own strong buy rating, in which 2 out of 2 analysts rate it as strong buy. Since the beginning of the year, WIRE is –1.70%one of two stocks in this week’s top five that are in the red for the period.

NV5 Global (NVEE) +5.86%. The Hollywood, Fla.-based company, which provides engineering and consulting solutions, saw its stock gain for six consecutive trading days (August 10 – August 17). Since the beginning of the year, the NVEE has increased +2.86%. The SA quantitative rating on the stock is Strong Buy, with profitability having a factor rating of B and growth with a rating of C-. The average Wall Street analyst rating is Buy, in which 2 each mark its strong Buy and Buy while 3 see the stock as Hold.

The chart below shows the year-to-date price-yield performance of the top five winners and the SP500:

AeroVironment (AVAV) +4.79%. The Arlington, Virginia-based drone maker has won a contract with the U.S. military for a JUMP 20 unmanned aircraft and also acquired air navigation solutions provider Planck Aerosystems this week. AeroVironment was among the top five performing industrial stocks (in this segment) in H1 (+32.90%). Since the beginning of the year, AVAV has won +65.44%, the most among the top 5 winners this week. The average Wall Street analyst rating for AVAV is Buy, with an average price target of $96.25. The rating contrasts with the SA Quant Rating of Hold, with Valuation having a factor rating of D- and Growth having a rating of D.

FTI Council (FCN) +4.28%. The Washington, DC-based company was back among the top gainers after being among the five worst-performing stocks about three weeks ago following its second-quarter results. Since the beginning of the year, the title has increased +11.56%. the SA Quant rating on FTI is Hold, which differs from Strong Buy’s average Wall Street analyst rating.

Aerojet Rocketdyne (AJRD) +3.81%. The California-based company gained following a report that Elliott Investment Management took a new stake by acquiring 3M shares in the defense systems maker. The SA Quant rating on the stock is Hold, which contrasts with the average buy rating from Wall Street analysts. Since the beginning of the year, the AJRD has paid -5.69%the only other title apart from WIRE which is in the red over this period.

This week’s top five declines among industrial stocks (market cap over $2 billion) all lost more than -14% each. Since the start of the year, three of these five stocks have been in the red.

Rocket Lab USA (NASDAQ: RKLB) -19.15%. The California-based launch services provider could not stem its stock decline despite being called outstanding among its launch peers by Morgan Stanley, which remained bullish on the stock. RKLB was among three stocks of last week’s top 5 gainers that landed among this week’s losers. The SA quantitative rating on the stock is Strong Sell, with profitability having a D- factor and valuation with a D-factor. The average Wall Street analyst rating differs from a Buy rating, in which 4 analysts on 8 qualify it as a purchase. Since the beginning of the year, RKLB has fallen -53.26%the most among the five worst this week.

Enovix (ENVX) -16.22%. The Fremont, Calif.-based lithium-ion battery maker pared some gains made during the six-day trading rally (August 9 – August 16). For the week ending August 12, the stock had soared +57.88%but since the beginning of the year, ENVX has lost -30.13%. The SA quantitative rating on stocks is Hold, with profitability having a D factor rating and growth with a B rating. view the stock as a strong buy.

The chart below shows the year-to-date price-yield performance of the five worst declines and XLI:

Bloom Energy (BE) -16.15%. The San Jose, Calif.-based company – which provides a power generation platform – ended its winning streak by breaking into the top five for three weeks in a row. The stock fell the most this week on August 16 -14.30% after the company launched a common stock offering to raise approximately $338 million. The title won +26.39% last week, and YTD increased +16.46%. Wall Street analysts’ rating on BE is Buy, where 6 out of 18 analysts consider it a strong buy. The SA Quant rating differs with a Hold rating, profitability having a D factor rating and valuation with a D- score.

Ballard Power Systems (BLDP) -16.05%. The Canadian fuel cell system developer’s stock fell throughout the week, the most on August 19 (-8.17%). The average Wall Street analyst rating for BLDP is Hold, where 14 out of 23 analysts backed the stock as Hold. The rating contrasts with the Quantitative Rating SA of Selling, with Valuation getting a factor rating of C and Profitability with a factor rating of D-. Since the beginning of the year, BLDP has paid -40.05%.

Elbit Systems (ILEC) -14.13%. The Israeli aerodefense company’s stock fell to its lowest level in 5 weeks after its second quarter results. ILEC fell throughout the week despite winning two contracts worth $240 million to upgrade main battle tanks for an international client. ILEC was among the top five winners in June and for the first six months of 2022 (in this segment). Since the beginning of the year, the title has won +20.46%, the only stock outside of BE on this week’s list of decliners that is in the green for this time frame. The SA quantitative rating and the average Wall Street analyst rating, on ILEC, are Hold.