In this piece, we will take a look at the five industrial stocks to buy today according to Mario Gabelli’s GAMCO Investors. If you need more details about the investment firm, its founder, and additional industrial stocks, then head on over to 10 Industrial Stocks to Buy Today According to Mario Gabelli’s GAMCO Investors.
5. Textron Inc. (NYSE:TXT)
GAMCO Investors’ Stake Value: $148 million
Percentage of GAMCO Investors’ 13F Portfolio: 1.27%
Number of Hedge Fund Holders: 35
Textron Inc. (NYSE:TXT) is a diversified company that targets the industrial, defense, aerospace, and financial sectors. Its industrial division sells products such as plastic tanks and fuel systems for a wide variety of users.
Textron Inc. (NYSE:TXT) had raked in $3 billion in revenue and $0.94 in non-GAAP EPS for its fiscal fourth quarter, in a poor set of results that missed analyst estimates for both the metrics. The company received an order for up to 30 Cessna jets in April 2022 from an aviation company.
Mr. Gabelli’s hedge fund had a $148 million stake in Textron Inc. (NYSE:TXT) by the end of Q4 2021. This came through the firm owning 1.9 million shares and represented 1.27% of the firm’s investment portfolio. Insider Monkey’s poll of 924 hedge funds during the same time period revealed that 35 had owned the company’s shares.
Phill Gross and Robert Atchinson’s Adage Capital Management is Textron Inc. (NYSE:TXT)’s largest investor. It owns a $339 million stake that comes via 4.3 million shares.
4. Crane Co. (NYSE:CR)
GAMCO Investors’ Stake Value: $150 million
Percentage of GAMCO Investors’ 13F Portfolio: 1.28%
Number of Hedge Fund Holders: 25
Crane Co. (NYSE:CR) is an industrial equipment seller that operates in the United States, United Kingdom, Canada, and other countries. The company sells products such as valves, fluid control instruments, and pumps to companies operating in several industries.
GAMCO Investors’ stake in Crane Co. (NYSE:CR) for the fourth quarter of last year was worth $150 million. It came through the firm owning 1.4 million shares and represented 1.28% of its investment portfolio. Insider Monkey’s Q4 2021 survey of 924 hedge funds listed 25 as the firm’s investors.
Crane Co. (NYSE:CR) reported $770 million in revenue and $1.25 in non-GAAP EPS for its fourth fiscal quarter, beating Wall Street analyst estimates for both. Stifel lowered its price target to $134 from $137 in April 2022, outlining that the industrial sector is in for little growth during the second quarter of this year.
Crane Co. (NYSE:CR)’s largest investor after GAMCO Investors is Peter Rathjens, Bruce Clarke, and John Campbell’s Arrowstreet Capital which owns 499,082 shares worth $50 million.
3. GATX Corporation (NYSE:GATX)
GAMCO Investors’ Stake Value: $175 million
Percentage of GAMCO Investors’ 13F Portfolio: 1.5%
Number of Hedge Fund Holders: 14
GATX Corporation (NYSE:GATX) is an American railcar leasing company that is headquartered in Chicago, Illinois, and was founded in 1898. It leases tanks and railcars for several heavy duty industries such as petroleum, chemical, agriculture, and transportation.
GAMCO Investors owned a $175 million stake in GATX Corporation (NYSE:GATX) as the fourth quarter of last year came to an end. This was in the form of 1.6 million shares and it represented 1.5% of the firm’s investment portfolio. During the same time period, 14 of the 924 hedge funds polled by Insider Monkey had also invested in the company.
GATX Corporation (NYSE:GATX)’s fiscal fourth quarter revenue and non-GAAP EPS stood at $321 million and $1.58, respectively as it beat analyst estimates for both metrics. Wells Fargo raised the company’s share price target to $120 from $110 in January 2022, stating that tailwinds in the leasing environment will benefit the company.
GATX Corporation (NYSE:GATX)’s largest investor after GAMCO Investors is Israel Englander’s Millennium Management. It has an $18 million stake that comes via 179,109 shares.
2. Mueller Industries, Inc. (NYSE:MLI)
GAMCO Investors’ Stake Value: $184 million
Percentage of GAMCO Investors’ 13F Portfolio: 1.57%
Number of Hedge Fund Holders: 18
Mueller Industries, Inc. (NYSE:MLI) is a metal and plastics products manufacturer located in the United States. The company’s industrial segment sells products such as rods, valves, fittings, casting, forging, and fluid control systems.
As its fiscal fourth quarter came to an end, Mueller Industries, Inc. (NYSE:MLI) had managed to rake in $956 million in revenue and $2.21 in GAAP EPS. The revenue marked an impressive 41% annual growth. The company also raised its quarterly dividend to 25 cents a share in February 2022.
Mr. Gabelli’s hedge fund owned 3 million Mueller Industries, Inc. (NYSE:MLI) shares by the end of Q4 2021. This amounted to a $184 million stake and it represented 1.57% of the firm’s investment portfolio. During the same time period, 18 of the 924 hedge funds part of Insider Monkey’s survey had invested in the company.
Chuck Royce’s Royce & Associates is Mueller Industries, Inc. (NYSE:MLI)’s second largest investor through a $38 million stake courtesy of 647,002 shares.
1. CNH Industrial N.V. (NYSE:CNHI)
GAMCO Investors’ Stake Value: $233 million
Percentage of GAMCO Investors’ 13F Portfolio: 1.99%
Number of Hedge Fund Holders: 35
CNH Industrial N.V. (NYSE:CNHI) is a British company headquartered in London. The company offers several kinds of equipment to the farming, construction, transportation, and power generation segments.
GAMCO Investors held a $233 million stake in CNH Industrial N.V. (NYSE:CNHI) during the fourth quarter of last year, by owning 9.9 million shares of the company. Insider Monkey scanned 924 hedge fund holdings during Q4 2021 and learned that 35 had also held a stake in the company.
CNH Industrial N.V. (NYSE:CNHI) posted $9 billion in revenue and $0.25 in non-GAAP EPS for its fiscal Q4, beating analyst estimates for both. JPMorgan raised its price target to $20 from $19 in March 2022 and kept an Overweight rating on the shares.
CNH Industrial N.V. (NYSE:CNHI)’s largest investor is Natixis Global Asset Management’s Harris Associates which owns 97.9 million shares worth $1.9 billion.
Oakmark Funds mentioned the company in its fourth quarter 2021 investor letter. Here is what the fund said:
“Despite ongoing concerns about supply shortages, CNH Industrial (U.K.) was a top contributor to the Fund’s performance for the quarter. In November, the global agricultural and construction equipment manufacturer reported excellent third-quarter results, highlighted by strong organic growth and margin expansion. Within the company’s largest division, agricultural equipment, sales trended ahead of expectations as CNH benefited from rising farmer incomes, low channel inventory levels and aging fleets that farmers are looking to upgrade with enhanced technology. Net pricing in this segment was strongly positive and more than offset rising cost inflation. During the quarter, CNH shareholders approved the spin-off of its “on-highway” business, Iveco Group. CNH shares began trading without Iveco in early January. We believe the separation made strategic and financial sense and will allow for increased focus and value creation.”
Disclosure: None. You can also take a peek at 10 Best Stocks for Animal Lovers and 10 Best Dividend Stocks for College Students.
