The Dow Jones Industrial Average finally pushed above its January record high on Thursday, ending a year-long consolidation range that was spurred by worries over higher interest rates, Federal Reserve policy tightening and the fallout from President Trump’s trade war.
All of those issues remain in play. And yet, investors are looking past them as the U.S. economy revs up thanks to a fiscal stimulus push and the job market goes from strength to strength. Helping overnight was a drop in the U.S. dollar, raising hopes of a boost to U.S. export competitiveness.
With the Dow zooming higher, here are seven Dow Jones stocks leading the charge higher:
Procter & Gamble (PG)
Procter & Gamble (NYSE:PG) shares are punching up and out of a two-month consolidation range, returning to highs not seen since late January. This marks a rise of roughly 23% from the lows seen back in early May. The company recently had coverage initiated by analysts at Atlantic Equities, who assigned a buy rating.
The company will next report results on Oct. 30, before the bell. Analysts are looking for earnings of $1.10 per share on revenues of $16.6 billion. When the company last reported on July 31, earnings of 94 cents per share beat estimates by 4 cents on a 2.6% rise in revenues.
United Technologies (UTX)
United Technologies (NYSE:UTX) shares are going vertical, pushing to new record highs as they eclipse the levels reached in January and February. This marks a gain of roughly 25% from the lows seen in April. Analysts at Robert Baird recently raised their price target on this Dow Jones stock to $167 from $156 previously, which would represent a gain of nearly 18% from current levels.
The company will next report results on Oct. 23, before the bell. Analysts are looking for earnings of $1.83 per share on revenues of $16.14 billion. When the company last reported on July 24, earnings of $1.97 beat estimates by 11 cents on a 9.3% rise in revenues.
American Express (AXP)
American Express (NYSE:AXP) is extending to new record highs, pushing up and out of its year-to-date trading range to mark a doubling of value from the lows seen in early 2016. Fears over the loss of the deal with Costco (NASDAQ:COST) are but a distant memory now, bolstered by confidence over consumer spending and increased interest income as interest rates rise. Shares were recently upgraded to overweight by analysts at Stephens.
The company will next report results on Oct. 17, after the close. Analysts are looking for earnings of $1.75 per share on revenues of $10 billion. When the company last reported on July 18, earnings of $1.84 beat estimates by 3 cents on a 9% rise in revenues.
Boeing (BA)
Shares of Boeing (NYSE:BA), one of the most trade-sensitive Dow Jones stocks, look ready to push up and out of their year-to-date trading range and move into new record highs. This comes despite a deepening of the trade rift with China, which is a major export customer of the company. With a large backorder book, investors are betting the company will have more than enough work to focus on until a trade deal is worked out.
The company will next report results on Oct. 24, before the bell. Analysts are looking for earnings of $3.5 per share on revenues of $24.9 billion. When the company last reported on July 25, earnings of $3.33 beat estimates by 8 cents on a 5.2% rise in revenues.
Caterpillar (CAT)
Caterpillar (NYSE:CAT) shares are jumping higher, like a cat, with a gapped move back to levels not seen since June for a total rise of 20% from the lows seen in August. Shares have enjoyed a batch of analyst upgrades in recent days, with analysts at Robert Baird and Oppenheimer lifting their sentiment. Oppenheimer analysts highlighted management’s ongoing efforts to reduce earnings volatility.
The company will next report results on Oct. 29, before the bell. Analysts are looking for earnings of $2.82 per share on revenues of $13.1 billion. When the company last reported on July 30, earnings of $2.97 beat estimates by 23 cents on a 23.7% rise in revenues.
IBM (IBM)
IBM (NYSE:IBM) shares are breaking up and away from a six-month stay in purgatory below their 200-day moving average. As such, IBM is returning to levels not seen since April, which represents a gain of 11% from the lows seen in late June. Investor’s nervousness about a slowdown in growth in new areas of focus such as the cloud have apparently faded. Wells Fargo recently resumed coverage on the Dow Jones stock with a neutral rating.
The company will next report results on Oct. 17, after the close. Analysts are looking for earnings of $3.40 per share on revenues of $19.1 billion. When the company last reported on July 18, earnings of $3.08 beat estimates by 4 cents on a 3.7% rise in revenues.
Johnson & Johnson (JNJ)
Johnson & Johnson (NYSE:JNJ) shares are pushing to levels not seen since January, capping a rise of roughly 22% from the lows seen in May. The Dow Jones stock has benefited from an influx of interest into healthcare names amid a rotation out of recent areas of strength, such as technology, into more defensive areas of value.
The company will next report results on Oct. 16, before the bell. Analysts are looking for earnings of $2 per share on revenue of $19.9 billion. When the company last reported on July 17, earnings of $2.10 per share beat estimates by 3 cents on a 10.6% rise in revenues.
Anthony Mirhaydari is the founder of the Edge (ETFs) and Edge Pro (Options) investment advisory newsletters. Free two- and four-week trial offers have been extended to InvestorPlace readers.
