We follow a set of tool makers and these stocks have not been doing well during this earnings season. The whole industry is showing weakness, a secular decline driven by housing and commercial construction weakness.
Snap-On had a really bad week, as this stock recently was trading close to $300 (as in this week).
We saw Techtronic Industries lower for days at a stretch, and it may not be because of the publicity issue.
Stanley Black & Decker had a rally, but it pulled back.
So, where are we? We are optimistic that patience will pay off in this sector and we are long. We might not see real secular improvement until the construction and residential markets pick up.
Stock Market BLOG
President and Investment Advisor Representative