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Deere and Other Big Movers In Capital Goods on November 21, 2012

November 21, 2012 | Filed Under »
Tickers in this Article » DE, KBR, MKTAY, TXI, RYL, DXPE, GTLS
So far today, the Nasdaq has remained steady, the S&P 500 has moved up 0.1% and the Dow has risen 0.2%. The capital goods sector is the category of stocks related to the manufacture or distribution of goods. The sector is diverse, containing companies that manufacture machinery used to create capital goods, electrical equipment, aerospace and defense, engineering and construction projects. It is also referred to as the "industrials sector". Performance in the capital goods sector is sensitive to fluctuations in the business cycle. Because it relies heavily on manufacturing, the sector does well when the economy is booming or expanding. As economic conditions worsen, the demand for capital goods drops off, usually lowering the prices of stocks in the sector.

The Capital Goods sector (XLI) is trading up 0.2% so far today and here are its biggest movers:
CompanyMarket CapPercentage Change
Deere (NYSE:DE)$33.68 billion-3.5%
KBR (NYSE:KBR)$3.99 billion+2.8%
Makita Corporation (Nasdaq:MKTAY)$5.36 billion+2.1%
Texas Industries (NYSE:TXI)$1.26 billion-1.8%
Ryland Group (NYSE:RYL)$1.55 billion-1.5%
DXP Enterprises (Nasdaq:DXPE)$663.5 million+1.5%
Chart Industries (Nasdaq:GTLS)$1.79 billion+1.5%
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At $82.94, Deere (NYSE:DE) has slipped 3.5%. The company's volume is currently 6.7 million shares. Yesterday's volume was only 4.6 million shares.

KBR (NYSE:KBR) is at $27.82 per share after an increase of 2.8%. At 641,357 shares, the company's volume so far today is consistent with its current three-month average.

Increasing 2.1%, Makita Corporation (Nasdaq:MKTAY) is trading at $40.35 per share. So far today, the company's volume is 17,133 shares.

Texas Industries (NYSE:TXI) has decreased to $43.99 per share, a 1.8% fall. The company's volume is currently 50,417 shares for the day, 0.1 times the average daily volume.

Falling 1.5%, Ryland Group (NYSE:RYL) is currently at a share price of $33.76. The company is trading at a volume of 353,375 shares. This is on pace to fall short of yesterday's volume of 2.4 million shares.

After an increase of 1.5%, DXP Enterprises (Nasdaq:DXPE) has reached a current price of $47.49. The company's volume for the day so far is 6,780 shares, 0.1 times the current three-month average.

Chart Industries (Nasdaq:GTLS) has risen 1.5% and is currently trading at $60.38 per share. So far today, 74,565 shares have changed hands.

The Bottom Line The nature of the market is such that stocks will have good days and bad days. Paying close attention to the previous ratios will help you identify key times to adjust your strategy. Tools like valuation ratios and profit margins, however, are only as useful as the context you put them in; remember to take historical data and competitor performance into account.

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