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This Week's Top Growth & Income Stocks

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Manufacturing has been a bright spot of late, in the US as well as globally. Manufacturing activity in the US reached a six-year high in August, according to ISM.  

August jobs report revealed a strong rise in manufacturing and construction hiring while hiring in many other areas was weak.

US exporters are benefiting from improving global growth and a weak dollar. President Trump’s agenda of brining manufacturing jobs back to the country and deregulation also appears to have helped improve business sentiment.

“Manufacturing—Construction & Mining” is currently in the top 2% of all Zacks industries. Today’s picks are two top ranked stocks from this top ranked industry.

Going forward, these stocks will also benefit from rebuilding work required in the aftermath of massive hurricanes.

Caterpillar (CAT - Free Report)

Caterpillar is the world's largest heavy-machinery maker and is seen as a bellwether for global economic activity.

 They have benefitted a lot from improving global growth and a weak dollar since they derive more than half of their sales from international markets.

The company reported recently, with a big beat again. They also raised their outlook the current year. Analysts has been raising their estimates for the company before the results and after results.

Last week, the company held its analyst day where management outlined its operation and execution strategy.

CAT is Zacks Rank #1 (Strong Buy) stock, with a Growth Score of “B”. It has a dividend yield of 2.5%.

H&E Equipment Services (HEES - Free Report)

H&E Equipment Services is an integrated equipment services company focused on heavy construction and industrial equipment. They rent, sell and provide parts and service support for specialized equipment.

The company reported better than expected results and has seen a nice increase in estimates after results.

HEES is Zacks Rank #1 (Strong Buy) stock, with Style Score of “A” for Value, Growth we well as VGM. It has a very juicy dividend yield of 4.2%.

More Stock News: This Is Bigger than the iPhone!

 It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.

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Caterpillar Inc. (CAT) - free report >>

H&E Equipment Services, Inc. (HEES) - free report >>

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