Two major forces are going to lift infrastructure stocks in the coming months and years
The onshoring trend and the Bipartisan Infrastructure Law make this a good time to find the best infrastructure stocks to buy.
Two very powerful forces make infrastructure stocks very attractive at this point. One is the reshoring trend, which refers to American companies building more factories in the U.S. The other is the Bipartisan Infrastructure law, passed in November 2021, but is only starting to have a major impact on companies now. Given the convergence of these two powerful catalysts, this is a great time for long-term investors to find and pull the trigger on the best infrastructure stocks to buy.
Many companies, including computer-chip makers, automakers, battery makers, and firms within the renewable-energy space, are building plants in the U.S. These factories, as CNBC’s Jim Lebenthal has pointed out, will boost infrastructure companies, both while the plants are being built and after they begin manufacturing products.
For example, steelmakers and construction equipment makers will benefit from the building of these plants. At the same time, trucking companies and railroad operators will transport the factories’ finished products after the plants churn out products.
Meanwhile, thanks to the Bipartisan infrastructure law, the federal and state governments are pouring tens of billions of dollars into many types of infrastructure, including electricity, water development, broadband internet, and, of course, highways and bridges.
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