7 Industrial Stocks to Reconstruct Your Portfolio for 2021

 

Although industrial stocks haven't gotten much love this year, that could change going into the new year

  


Industrial stocks continue to claw back their losses, although the sector has not been as robust as some other areas of the market. The sector is still 10.6% below its prior 2020 highs. Those were set in the first quarter of the year, before the novel coronavirus rattled the market.

 

For what it’s worth, that’s about average vs. the other industries and the overall market. The S&P 500 is down 7.3% from its highs, although it was able to set new highs even after the pandemic selloff.

 

When considering the other 10 S&P 500 sectors, the industrial sector is in the top six when it comes to how far off its highs it is. With five sectors below it, the Industrial Select Sector SPDR ETF (NYSEARCA:XLI) is in the middle of the pack.

 

When it comes to performance though, it’s in the bottom half.

 

Over the past year, industrial stocks have lost over 4%. That’s better than three other groups. However, it lags seven other sectors, three of which have generated double-digit returns in that time.

 

 

In the end, though, that doesn’t matter. Industrial stocks have been around for centuries and they will be around for centuries more. Let’s look at seven industrial stocks that are worth buying now.

 

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