by Fred Fuld III
Just one week ago, President Trump’s administration announced a $1 trillion infrastructure proposal to stimulate the economy. Then just four days ago, the House Democrats came up with a $1.5 trillion infrastructure bill.
This huge amount of money should not only help the economy but should also benefit certain stocks involved in the infrastructure business. Here is a list of ten infrastructure stocks that could show an increase in revenues, earnings, and stock price due to the money flowing into this arena.
Arcosa (ACA) provides infrastructure-related products and solutions for the construction, energy, and transportation markets, including commercial, industrial, road and bridge, and underground construction. The stock has a price to earnings ratio of 17 and pays a yield of 0.5%.
Construction Partners, Inc. (ROAD) is an infrastructure and road construction company, providing products and services to public and private infrastructure projects, such as highways, roads, bridges, airports, and commercial sites. The stock has a price to earnings ratio of 22 and does not pay a dividend.
Primoris Services Corporation (PRIM) is a specialty contractor and infrastructure company, which provides construction, fabrication, maintenance, replacement, and engineering services, including highway and bridge construction, airport runway and taxiway construction, and demolition. The stock has a P/E ratio of 11 and pays a yield of 1.4%.
Tutor Perinin (TPC) is a construction company that provides diversified general contracting, construction management, and design-build services. The company has been generating negative earnings and does not pay a dividend.
Nucor (NUE) manufactures and sells steel and steel products used in numerous infrastructure projects. The stock has a P/E ratio of 16.5 and pays a yield of 3.8%.
Vulcan Materials (VMC) produces and markets construction aggregates, asphalt mix and ready-mixed concrete for highways, airports, and government buildings. The stock has a P/E ratio of 26 and pays a yield of 1.1%.
Martin Marietta Materials (MLM) is a major supplier of aggregates and heavy building materials. The stock has a P/E ratio of 22 and pays a yield of 1.0%.
Aecom (ACM) is a provider of design, engineering, and construction services. The company has been generating negative earnings and does not pay a dividend.
Caterpillar (CAT) is a heavy equipment manufacturer with products used in infrastructure. The stock has a P/E ratio of 13 and pays a yield of 3.2%.
Granite Construction (GVA) is an infrastructure contractor and a construction materials producer. The company has been generating negative earnings but pays a dividend of 2.7%.
Disclosure: Author didn’t own any of the above at the time the article was written.