Monday, April 28, 2014

What Alcoa's Results Mean to Paccar, Cummins and Ingersoll-Rand

Alcoa's  results and guidance always serve as a useful indicator for what sectors of the industrial economy are going to do well in the coming quarters. With regard to its latest results, the upgrade to its full-year end demand for the North American heavy truck and trailer market is obviously good news for truck maker Paccar   and engine manufacturer Cummins. In addition, Alcoa gave a positive outlook for the U.S. construction market; this should interest shareholders in Ingersoll-Rand. Despite the recent market sell-off, there is some good news out there.

Alcoa updates the market
The following table provides an update on Alcoa's end market guidance for 2014 vs. 2013. The sections in green are where guidance was upgraded from the previous quarter.