1 Industrials Stock on Our Buy List and 2 We Find Risky

Industrials businesses quietly power the physical things we depend on, from cars and homes to e-commerce infrastructure. Still, their generally high capital requirements expose them to the ups and downs of economic cycles, and the market seems to be baking in a prolonged downturn as the industry has shed 1.5% over the past six months. This drop is a stark contrast from the S&P 500’s 11.6% gain.