- The Dow Jones Industrial Average is down about seven per cent this year
- These stocks seem to have picked up momentum over the last month and particularly the last week
- RUS has a price-to-earnings ratio of 4.9
The S&P/TSX Capped Industrials Index is down 4.2 per cent year-to-date (YTD) which is understandable given the bearish year 2022 has been for equities. The Dow Jones Industrial Average is down about seven per cent during the same period.
Industrial companies tend to service other companies and not consumers directly. And when times are tight, expansion is often delayed, and this may bear down on industrial companies.
However, not all Canadian industrial stocks have seen losses this year. Today, let’s explore some Canadian industrial stocks.
BQE Water Inc (TSXV:BQE)
The stock of this water treatment manager that serves the metals and mining sector closed Wednesday, May 4, at C$30.49 and it has gained 15 per cent this year.
It saw it’s one-year low of C$24 on January 25 and has risen 27 per cent since. The stock has grown 20 per cent in a month and over 1.6 per cent in a week so it is climbing.
BQE has a price-to-earnings (P/E) ratio of 14.5, which suggests how many dollars need to be invested for one dollar of earnings.
Wajax Corporation (TSX:WJX)
Wajax’s stock closed at C$22.12 Wednesday and is down about nine per cent YTD.
Though it is in the red for the year, it has gained 12 per cent in a month and over 16 per cent in a week and seems to have hit some momentum.
WJX has a more desirable P/E ratio than BQE – 8.9 per cent. Its dividend yield is 4.52 per cent.
Russel Metals Inc (TSX:RUS)
The metal distribution company’s stock closed Wednesday at C$33.91.
It’s YTD gain of 0.83 per cent may be ignorable, but the stock has risen 6.4 per cent in a month and over one per cent in a week.
It’s P/E ratio of 4.9 suggests it is the stock that offers the most value for money on this list. RUS’ dividend yield is 4.48, comparable to that of WJX.
Secure Energy Services Inc (TSX:SES)
SES closed Wednesday at C$6.86. Its YTD return of over 30 per cent is notable given that its sector is in the red for that period.
However, it features on this list because it has zoomed 21 per cent in a month. On a one-week basis, it is up about 10 per cent.
On April 29, it touched a 52-week high of C$6.90 and is 0.58 per cent lower as of writing.
Calian Group Ltd (TSX:CGY)
CGY stood at C$69.93 at market close Wednesday. The stock seems to have been riding its momentum wave for slightly longer than the other stocks on this list.
It is up 21 per cent in three months and has increased 2.3 per cent on a one-week basis. The stock is in the green by 14 per cent for 2022.
On April 19, it touched a one-year high of C$72.01 and is down 2.9 per cent from that. Its P/E ratio is 57.3 and dividend yield stands at 1.6 per cent.
These stocks seem to have picked up momentum over the last month and particularly the last week. Although with Calian it was slightly earlier.
However, deep research into the company is required while investing in any stock and more so when it comes to industrial stocks.
Please note, the above content constitutes a very preliminary observation based on the industry, and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.