Enovix Rises to Top Industrial Winner of the Week, UniFirst Sees a Loser Tag
The select industrial sector (XLI) gained for the second consecutive week and for the week ending March 31 increased (+4.41%). YTD XLI increased +3.02%. Enovix led the winners, but this week’s list also included manufacturers of aerospace products. Meanwhile, earnings have impacted some declines (in our segment).
The SPDR S&P 500 Trust ETF (TO SPY) also won (+3.45%) helped, among other things, by the absence of news regarding the banking crisis and personal spending in February data which could strengthen the case for the Federal Reserve to halt its rate hike. Since the beginning of the year, SPY has +7.05%.
The top five gainers in the industrials sector (stocks with a market capitalization of over $2 billion) all gained more than +12% everyone this week. Since the beginning of the year, 3 of these 5 stocks are in the green.
Enovix (NASDAQ:ENVX) +32.65%. Shares of the Fremont, Calif.-based company rose on Wednesday (+21.44%) after saying that Malaysian company YBS International Berhad is likely to make a financial decision stake in its manufacturing line at Fab-2.
ENVX has a quantitative SA rating – which takes into account factors such as momentum, profitability and valuation, among others – of Plug. The stock has a D factor rating for profitability and C+ for growth. The rating contrasts with the average Wall Street analyst rating of strong purchase, where 10 out of 12 analysts consider the stock as such. Year-to-date +19.86%.
FTAI Aviation (FTAA) +14.83%. The New York-based company, which manufactures and leases aeronautical products, saw its stock climb the most this week on Wednesday (+8.76%). YTD, FTAI increased +63.32%the most among this week’s top five winners for this period.
The quantitative SA rating on FTAI is Buy with a score of A+ for Momentum and C+ for Valuation. The average Wall Street analyst rating has a strong purchase rating, in which 7 out of 10 analysts label the stock as such.
The chart below shows YTD price-yield performance of the top five winners and SP500:
Frontier Group (ULCC) +13.63%. Frontier shares rose throughout the week even as one of the first indications of a possible weakening of airline demand arrived on Monday.
The SA quantitative rating on ULCC is Plug with a score of A for Growth and C- for Momentum. The average rating of Wall Street analysts differs from one strong purchase, where 7 out of 12 analysts consider the stock a strong buy. YTD, -4.19%.
American (CDMA) +13.15%. The Framingham, Mass.-based energy efficiency solutions provider also saw its stock gain all week. However, since the start of the year, stocks have fallen -13.86%, the most among the top five winners this week for this period. The SA quantitative rating on CDMA is Sellwhich contrasts sharply with the average Wall Street analyst rating of strong purchase.
Spirit AeroSystems (PSR) +12.59%. The Wichita, Kan.-based company. also saw green throughout the week, with the most on Tuesday (+6.42%). Since the start of the year, the maker of aero-defense products has soared +16.66%. The SA quantitative rating on SPR is Plugwhich differs from the average Wall Street analyst rating of Buy.
This week’s top five declines among industrial stocks (market cap over $2 billion) all lost more than -1% each. Since the start of the year, 2 of these 5 stocks have been in the red.
UniFirst (New York stock market :A F) -7.45%. Shares of the company took a hit on Wednesday (-10.42%) after mixed Q2 results. The specialty apparel maker also provided a revised outlook for fiscal 2023.
The quantitative rating SA on UNF is Plug with a score of C- for profitability and growth. The average Wall Street analyst rating is consistent with a Plug its own rating, in which 2 out of 4 analysts consider the stock as such.
Elbit systems (ILEC) -3.51%. Shares of the Israeli aerodynamic defense company fell the most this week on Tuesday (-3.84%) following his T4 results at a time when the country sees protests on judicial reform. However, since the beginning of the year, the title has increased +3.76%.
The SA Quant rating on ILEC is Plug, with a score of D- for Valuation and D+ for Momentum. The average Wall Street analyst rating is Buyin which 1 in 3 analysts consider the stock a Strong Buy, while the other 2 consider it a Hold.
The chart below shows YTD price-yield performance of the five worst decliners and XLI:
The SA quantitative rating on GNRC is Sell, with a score of C for Profitability and D-Growth. The rating contrasts with the average Wall Street analyst rating of Buy rating, in which 8 of 27 analysts label the stock as Strong Buy. YTD, +7.30%.
Kanzhun (BZ) -2.86%. The Beijing-based online recruitment platform continued to show volatility, as the stock suffered losses this week after being among the winners in the previous week. The shares of the company had seen such ups and downs throughout 2022. YTD, BZ is -6.58%.
The quantitative rating SA on BZ is Plugwhile the average Wall Street analyst rating differs by one strong purchase rating.
Dycom Industries (DY) -1.41%. The Florida-based company rounded up the five worst performers of the week. However, since the beginning of the year, the title is still in the green (+0.05%). The quantitative rating SA over DY is Buywhile the average Wall Street analyst rating is strong purchase.