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The 3 Most Undervalued Industrial Stocks to Buy: November 2023


  • These industrial stocks are worth considering adding to your portfolio this month.
  • Deere (DE): DE exhibits robust financial performance, marked by a 10% increase in net sales.
  • Axon (AXON): AXON is experiencing remarkable financial success, like an increase in annual recurring revenue.
  • 3M (MMM): MMM demonstrates financial resilience with an upward revision of full-year 2023 adjusted EPS expectations.
undervalued industrial stocks - The 3 Most Undervalued Industrial Stocks to Buy: November 2023

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industrial stocks are always one of the most robust within the financial markets, as it is undoubtedly one of the most important and undervalued. It is the sector that feeds the muscle of the economy. People often think that the companies within this sector are very old and very orthodox in terms of the performance of their operation. However, nothing is further from the truth. Here are 3 undervalued industrial stocks that are doing an incredible job with wonderful development and growth.

Deere & Company (DE)

Several John Deere vehicles are parked outside of a building.
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Deere & Company (NYSE:DE) is known for its impact on agriculture and construction. Its recent financial report for the third quarter of 2023 paints a picture of success. The company posted a 10% increase in net sales and an increase in revenues. The full-year net income forecast has been adjusted upward, reflecting confidence in future results.

Beyond financials, Deere is making waves in corporate responsibility. The John Deere Foundation recently announced $19 million in grants to fight world hunger. CEO Josh Jepsen underscored the company’s dedication to supporting farmers and creating a world without hunger. These grants are a substantial step in making a positive contribution beyond the balance sheet.

In another innovative move, Deere & Company has partnered with DeLaval to create the Milk Sustainability Center. The goal of this digital center is to help dairy farmers improve efficiency and sustainability, showcasing the company’s commitment to innovative solutions in agriculture.

Axon Enterprise (AXON)

Person holding mobile phone with logo of American weapon manufacturer Axon Enterprise Inc. on screen in front of webpage. Focus on cellphone display. Unmodified photo.
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Axon Enterprise (NASDAQ:AXON) is making waves in the public safety technology sector. And it is attracting attention as an undervalued industry stock. Financially, the company is on fire, with an impressive 54% year-over-year increase in annual recurring revenue to a whopping $619 million. Its international revenues are also soaring, up 52%.

The key to its success lies in its commitment to innovation and solving critical social problems. In particular, the company recently collaborated with the Intergovernmental Research Institute to introduce the Axon Public Safety Fatality Database. This national database is a crucial step toward the ambitious goal of reducing firearm-related deaths among law enforcement and the public.

Beyond the financial aspects, they are expanding their global influence with the Axon Roadshow tour, where they take their cutting-edge public safety technology on the road. After successfully touring the U.S. and Canada, the tour is making its mark in Europe. This move highlights Axon’s commitment to modern policing solutions.

3M (MMM)

3M logo on top of a corporate building. MMM stock
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3M Company (NYSE:MMM) operates in the healthcare, consumer goods, industrial and safety and graphics sectors. Renowned for innovation, its product range encompasses adhesives, abrasives, healthcare and consumer goods.

They show strong operating performance, which has led to an upward revision of their full-year 2023 adjusted EPS expectations. Expected adjusted operating cash flow and free cash flow conversion reflect financial strength and growth potential, despite an expected decline in total adjusted sales growth.

Recent senior management changes include the departures of Jeff Lavers, president of the Health Care Business Group, and Ashish Khandpur, president of the Transportation and Electronics Business Group. Despite leadership changes, 3M remains committed to innovation. The introduction of 3M Ambulatory Potentially Preventable Complications software in healthcare shows the company’s dedication to advancing solutions and technologies.

As of this writing, Gabriel Osorio-Mazzilli did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Gabriel Osorio is a former Goldman Sachs and Citigroup employee. He possesses discipline in bottom-up value investing and volatility-based long/short equities trading.

Article printed from InvestorPlace Media, https://investorplace.com/2023/11/the-3-most-undervalued-industrial-stocks-to-buy-november-2023/.

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