Even if they go mostly unnoticed, industrial businesses are the backbone of our country. They are also bound to benefit from a friendlier regulatory environment with the Trump administration, and this excitement has led to a six-month gain of 23.5% for the sector - higher than the S&P 500’s 7.6% return.

Although these companies have produced results lately, a cautious approach is imperative. When the cycle naturally turns, the losers can be left for dead while the winners consolidate and take more of the market. Keeping that in mind, here is one resilient industrials stock at the top of our wish list and two best left ignored.

Two Industrials Stocks to Sell:

Lindsay (LNN)

Market Cap: $1.43 billion

A pioneer in the field of center pivot and lateral move irrigation, Lindsay (NYSE: LNN) provides a variety of proprietary water management and road infrastructure products and services.

Why Are We Wary of LNN?

1. Flat sales over the last two years suggest it must find different ways to grow during this cycle
2. Sales are projected to be flat over the next 12 months and imply weak demand
3. Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability

Lindsay’s stock price of $136.44 implies a valuation ratio of 21x forward P/E. To fully understand why you should be careful with LNN, check out our full research report (it’s free).

Moog (MOG.A)

Market Cap: $10.71 billion

Responsible for the flight control actuation system integrated in the B-2 stealth bomber, Moog (NYSE: MOG.A) provides precision motion control solutions used in aerospace and defense applications

Why Does MOG.A Give Us Pause?

1. 4.9% annual revenue growth over the last five years was slower than its industrials peers
2. Free cash flow margin shrank by 6.6 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
3. Below-average returns on capital indicate management struggled to find compelling investment opportunities

At $338.77 per share, Moog trades at 35x forward P/E. Read our free research report to see why you should think twice about including MOG.A in your portfolio.

One Industrials Stock to Buy:

Dycom (DY)

Market Cap: $12.57 billion

Working alongside some of the most popular mobile carriers in the world, Dycom (NYSE: DY) builds and maintains telecommunications infrastructure.

Why Is DY a Good Business?

1. Annual revenue growth of 11.8% over the past two years was outstanding, reflecting market share gains this cycle
2. Operating margin improvement of 5.9 percentage points over the last five years demonstrates its ability to scale efficiently
3. Share repurchases over the last five years enabled its annual earnings per share growth of 33.3% to outpace its revenue gains

Dycom is trading at $420.50 per share, or 30.6x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

Stocks We Like Even More

The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.