3 Industrial Stocks to Buy for 2022 and Beyond
With the markets continuing in volatile mode, it's a good idea to start looking at some stocks to take a nibble at with a view to holding long term. In that vein of thought, I have a few for consideration. There's a value situation at General Electric (NYSE: GE), an ESG play in Johnson Controls (NYSE: JCI), and a "pick-and-shovel" play on electrification in the economy with nVent (NYSE: NVT).
The industrial conglomerate General Electric has some near-term issues. For example, its healthcare, renewable energy, and aviation businesses suffered from supply chain pressures in 2022. As a result, management has already walked back its full-year free cash flow guidance and told investors its earnings would be toward the low end of its guidance range.
However, there are three reasons to favor buying the stock. First, the main issue for GE right now, at least in aviation and healthcare (power is on track this year), is executing on its orders -- it's not an issue of end demand. So, when the supply chain issues eventually ease (transportation and raw material costs have already corrected) then GE has an opportunity to play catch-up on earnings and cash flow in 2023.
Source Fool.com
