3 Top Construction Machinery Stocks You Should Consider Buying Now

Construction machinery stocks are sizzling this year. Leading manufacturers are reporting robust machinery sales worldwide, indicating huge pent-up demand that needs to be met as commodity markets recover, China continues its construction spree, and America rebuilds its crumbling infrastructure. The world's largest construction-equipment manufacturer, Caterpillar Inc. (NYSE: CAT), recently stated that "increasing activity in the oil and gas industry, including an uptick in pipeline construction and improving residential and nonresidential construction," are driving end-user demand for machinery.

The recovery is faster than expected, and the strength is visible around the globe, indicating this could be the beginning of an expansion phase that investors in construction-machinery stocks have been waiting for.

And it's not just Caterpillar. From Japan's Komatsu (NASDAQOTH: KMTUY) and Hitachi Construction to America's own lifting-equipment expert Terex Corporation (NYSE: TEX) and cranes specialist Manitowoc Company (NYSE: MTW), order backlog is on the rise for all. Elsewhere, farm-equipment giants such as Deere & Company (NYSE: DE) and CNHI Industrial (NYSE: CNHI) are exploiting the strength in the construction markets to offset weakness in agriculture.

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Source: Fool.com