2 High-Yield Industrial Stocks I'd Buy Right Now
The global effort to slow the spread of COVID-19 has resulted in widespread economic shutdowns. That's not good news for industrial stocks, which tend to track along with economic growth. For long-term investors, however, economic weakness could actually be a good time to pick up industry-leading names at relatively cheap prices. Today, U.S. steel giant Nucor Corporation (NYSE: NUE) and diversified global powerhouse 3M (NYSE: MMM) both appear attractive -- especially their historically high yields.
The core of Nucor's business is making steel using electric arc mini-mills. These are generally more flexible than the older blast furnace method of steelmaking, allowing Nucor to easily ramp up and down with demand. Nucor is also vertically integrated, with scrap steel operations, bulk steel mills, and specialty steel and steel products businesses. It is one of the largest mills in North America, and has a long history of operating with industry-leading margins.
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Source Fool.com
