Kalkine Media - Summary
The S&P/TSX Capped Industrial Index increased by 0.65% and the S&P/TSX Composite Index gained 0.05% on July 26, 2023.The industrial sector perpetually observes a robust momentum as construction and production services are almost always in demand. Some of the largest corporations across the globe belong to the industrial sector.TFI International Inc (TSX:TFII)., a logistics and courier services provider, rose 23.86% on a YTD basis as on Wednesday.
WSP Global Inc (TSX:WSP)., a construction services provider, gained 14.08% on a YTD basis as on July 26, 2023.
These stocks also rely on materials sector, which is a major input source for them. Thus, a booming industrial sector could potentially indicate an influx of capital into the materials sector.
The S&P/TSX Capped Industrial Index increased by 0.65% on July 26, 2023. Meanwhile, the S&P/TSX Composite Index gained 0.05% on July 26, 2023.
On that note, let us examine two industrial sector stocks that have reported steady stock price momentum on a YTD and monthly basis.
TFI International Inc. (TSX: TFII)
TFI is a logistics and courier services provider that also operates its the truckload and less-than-truckload segments. It has a market cap upwards of CA$14.5 billion.The logistics company reported an operating income of US$166.4 million in Q1 2023, compared to US$219.8 million in Q1 2022. The company’s total revenue was US$1.85 billion and net income was US$111.9 million in Q1 2023.
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TFI’s stock has seen sustained momentum, with the stock surging 23.86% on a YTD basis as on Wednesday. The stock’s monthly gain as on July 26, 2023, was 22.25%, while its past year gain stands at 45.87%.
Based on Wednesday’s closing price of CA$169.57, the stock has a P/E ratio of 14.17x. TFI paid its shareholders a dividend of US$ 0.35 in July, 2023.
WSP Global Inc. (TSX: WSP)
WSP is a construction services provider that caters to a wide range of clients from various industries. The company also offers advisory services alongside construction. Its market cap stands at CA$22 million.For Q1 2023, WSP Global reported revenue of CA$3.49 billion and a net revenue of CA$2.67 billion, which were up 28.7% and 27%, respectively compared to Q1 2022. The company’s adjusted EBITDA for the period was CA$413.3 million in Q1 2023, which marked an uptick of 27.3% over Q2 2022.
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At the same time, WSP’s stock price momentum has remained intact. The stock gained 14.08% on a YTD basis as on July 26, 2023. The stock’s one month gain by the end of trade on Wednesday was 7.17%. Compared to the previous day’s close, WSP closed Wednesday 0.73% higher.
The stock has a P/E ratio of 48.83x based on Wednesday’s closing price of CA$180.33.