Charles Payne Suggests an Infrastructure Play
Fox Business Network contributor Charles Payne provided an idea to capitalize on what he sees as an worldwide infrastructure spending wave. Payne sees this capital goods stock moving ahead of the fundamentals as its stock just broke out to a new 52 week high on very convincing volume, or, “a true breakout.”
Terex (TEX) is a maker of aerial work platforms, material handling, cranes and construction equipment with 35% of sales in North America, 27% in Western Europe, 17% in Asia, and 7% in Latin America according to Payne.
Payne pointed out that TEX was $89 a share back in 2007, so it has room to grow. Payne’s target for TEX is $43.
Payne expects the Obama administration to support infrastructure rebuilding.
Back in April 2012, Payne made the bullish case for fertilizer producer Mosaic (MOS) which has since risen about 20 percent [link].