7 Industrial Stocks to Buy As Tech Stocks Tumble

The past decade was a great time to hold tech stocks. Growth investors were well-rewarded by many companies, as technology took a central position. A hit product (like the iPhone) could sell billions of units. Tech companies hit trillion-dollar valuations, while industrial stocks fell out of favor. This year? Momentum is shifting…

Amid concerns like inflation, rising interest rates, and semiconductor shortages, there has been a broad selloff of tech stocks. When big tech stocks are making headlines in 2022, odds are, it’s because they just dropped again.

While some investors are choosing to wait it out, many are turning to industrial stocks. The time is right. In addition to the volatility in tech stocks, conditions are favoring many companies in the industrial sector. As the world begins to emerge from the global pandemic, demand for virtually all products is up. Now is the time to look at adding industrial stocks to your portfolio, and I’ve put together a list of seven great options: 

  • Andersons Inc (NASDAQ:ANDE)
  • AdvanSix Inc (NYSE:ASIX)
  • Bunge Ltd (NYSE:BG)
  • Greif, Inc. Class A (NYSE:GEF)
  • Icl Group Ltd (NYSE:ICL)
  • Kraton Corp (NYSE:KRA)
  • Cactus Inc (NYSE:WHD)

The Andersons (ANDE)

The Andersons started life in 1947 as a truck terminal for the American grain industry. The company still operates 70 grain terminals across the U.S. and Canada. It has also expanded into related businesses, including ethanol production, agricultural fertilizer and nutrients and the fabrication and repair of specialized railcars.

While tech stocks were flying high, this industrial stock hit its peak in 2014. However, since the market crash in 2020, ANDE stock has been rallying in a big way. To the tune of 236% growth since May 2020. Last November, The Andersons reported its third quarter earnings, delivering its strongest Q3 showing since 2014. In addition to growing demand for its services, The Andersons has been successful in paying down long-term debt. Adding to its appeal, ANDE stock also has a proven track record for paying quarterly dividends.

AdvanSix (ASIX)

New Jersey-based AdvanSix is a chemical manufacturer, with three primary lines of business. It is one the world’s largest producers of Nylon resin. This material is used in a wide range of products ranging form carpet to packaging. AdvanSix is also the world’s largest single-site producer of ammonium sulfate fertilizer. With a global population that continues to grow even as extreme weather threatens many crops, fertilizer is in more demand than ever to increase crop yields. AdvanSix also manufactures chemicals that are used in industries ranging from automotive to pharmaceutical.

After being spun off from its parent company, ASIX stock began publicly trading in September 2016. It’s up 121% since that time. Based on its latest results (sales up 58% year-over-year in Q3), the momentum for continued growth is there. 

Bunge (BG)

Bunge is a multinational, American agribusiness company based in Missouri — although it actually got its start in Amsterdam, back in 1818. As befitting a company that does business globally and has been in agribusiness for over two centuries, Bunge is involved in a wide range of related products and services. These include processing and transportation of vegetable oils, grain elevator operation, milling and sales of wheat, corn and rice flours, sugar production, bio-energy generation and production of plant-based proteins. 

I like Bunge because despite its long history, this is a company that makes…

 

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