The U.S. government is deploying trillions of dollars of stimulus money into infrastructure investments, boosting the prospects for a number of industrials in the Club portfolio. On the back of Covid’s impact on the economy, President Joe Biden enacted a slew of domestic funding bills in a bid to help the nation recover from labor constraints and financial losses due to the pandemic. The Infrastructure Investment and Jobs Act, commonly known as the Bipartisan Infrastructure Bill, was signed in late 2021 and the Inflation Reduction Act, also referred to as IRA, became law in August 2022. Since being enacted, the Bipartisan Infrastructure Act was slated to send $1 trillion over the span of five years to states and local governments for upgrading outdated roads, bridges and transit systems — projects that use the products and services provided buy our leading industrial names Caterpillar (CAT), whose stock has soared since June and trades around record highs. Looking ahead, Caterpillar also stands to benefit from a second wave of government spending when federal dollars from the $430 billion Inflation Reduction Act, designed to fund manufacturing and infrastructure investments, are released into the pipeline. Club names Honeywell (HON) and Emerson Electric (EMR) might also grab some of the IRA’s funding for green energy. Emerson has been on a roll since June. As for Honeywell, it mounted a comeback from the spring and into the summer but then fell on hard times after the company issued disappointing financial results late last month. Wall Street cheered the influx of funding. Morgan Stanley Chief U.S. Economist Ellen Zentner said that the increased spending forced the bank to make a “sizable upward revision” to its estimates for U.S. gross domestic product (GDP). “The economy in the first half of the year is growing much stronger than we had anticipated, putting a more comfortable cushion under our long-held soft landing view,” she wrote in a July note. As a result , Morgan Stanley estimates GDP growth for the first half of 2023 at 1.9% — nearly four times its previous forecast — and bumped up forecasts for real GDP growth next year at 1.4%. “The narrative behind the numbers tells the story of industrial strength in the U.S.,” Zentner added. Crediting the enormous amount of government stimulus, BlackRock’s Larry Fink said the U.S. will not tip into a recession in 2023. “Think about how many jobs infrastructure creates. Think about the demand for commodities as we build infrastructure,” the chief of the world’s largest asset management firm previously told CNBC . CAT YTD mountain Caterpillar YTD performance Caterpillar can thank the influx of stimulus for its blowout second-quarter results on Aug. 1, beating analysts’ estimates for revenue and earnings and sparking a much-deserved rally that day of nearly 9% to an all-time closing high of $288.65 per share. Construction sales surged 19% to $7.15 billion for the quarter, “driven by the impact from changes in dealer inventories and higher sales of equipment to end users,” Caterpillar said. Gains were linked to a boost in demand for construction equipment because of the “once in a generation” Infrastructure bill. In last week’s conference after the earnings release, CEO Jim Umpleby said the firm expects “continued growth in nonresidential construction in North America due to the positive impact of government-related infrastructure investments and a healthy pipeline of construction projects.” “I remain convinced that federal largesse will fall into the lap of Club holding Caterpillar, and it’s wrong to ignore what will be a gusher into American-made earth-moving equipment and steel,” Jim Cramer wrote in an Investing Club column back in April. Caterpillar is the biggest maker of earth-moving equipment in the U.S. Shortly after Caterpillar’s Q2 earnings release, we boosted our CAT price target to $300 per share from $285. We kept our 2-rating at the time in deference to its surge. On Aug. 7, we took some profit s but still believe in the stock. HON YTD mountain Honeywell YTD performance Before the Bipartisan Infrastructure bill was enacted, Honeywell said in July 2021 that it would likely lead to “long-term economic growth ,” a dynamic playing out two years later as the government money begins to make its way to companies that make the industrial products, heavy equipment and machinery needed for these large-scale projects. While its Q2 results were not as robust as Caterpillar’s quarter, Honeywell did provide several reasons for optimism including a strong overall segment profit margin that helped the bottom line outperform and robust cash flow performance. Nevertheless, HON shares sank more than 5.5% on earnings day July 27, and they have only advanced three sesions out of the past nine. Honeywell’s crack at really benefitting from government spending may come when green energy programs funded by Inflation Reduction Act kick into gear. The stimulus, in part, provides production and investment tax credits for renewable projects. In a July note, Bank of America listed Honeywell as one of the stocks that stand to gain from the IRA because of the company’s relation to renewable power systems. EMR YTD mountain Emerson Electric YTD performance In a March note, Morgan Stanley analyst Josh Pokrzywinski upgraded industrial automation provider Emerson Electric to buy from hold, citing a growth in sales between 4% and 5% annually, in line with the industrials economy. Since the IRA gives companies new incentives for hydrogen use, the analysts say Emerson’s business is likely to benefit from that as well. The company is a leading provider of hydrogen solutions and automation. After being derailed by uncertainty around the friendly, then hostile, then friendly National Instruments (NATI) deal, Emerson shares have been making up ground. The National Instruments transaction is expected to close in the first half of next year. Last week’s release of strong fiscal third-quarter results and a guidance raise further boosted Emerson’s stock. Sales at the company’s two operating units beat estimates its fiscal third quarter: Intelligent Devices rose by nearly 11% to $3.95 billion and Software & Control increased nearly 22% to $983 million. The results are another example of how Emerson’s efforts to re-orient its portfolio around automation have helped its customers with their own energy transition initiatives in the areas of the aforementioned hydrogen space as well as liquified natural gas (LNG), nuclear, carbon capture, and renewables. (Jim Cramer’s Charitable Trust is long CAT, EMR, HON. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Construction workers work on repairing an intersection on November 22, 2022 in Houston, Texas. The White House’s infrastructure plan estimates to set aside approximately $35 billion for Texas projects.
Brandon Bell | Getty Images
The U.S. government is deploying trillions of dollars of stimulus money into infrastructure investments, boosting the prospects for a number of industrials in the Club portfolio.
The Honda Prologue was a top-selling EV, thanks in part to discounts that climbed over $20,000 at times. But after losing the $7,500 tax credit, sales of the electric SUV fell 86% in November.
Honda Prologue sales fall in November despite discounts
After launching the Prologue last March, the electric SUV quickly became one of the most popular EVs in the US, thanks to its competitive range, affordable price, and Honda’s trusted name.
The momentum carried into this year, with the Prologue consistently ranking among the most popular EVs alongside the Tesla Model Y, Model 3, Chevy Equinox EV, Hyundai IONIQ 5, and Ford Mustang Mach-E.
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Thanks to policy changes under the Trump administration, including the elimination of the $7,500 tax credit at the end of September, nearly every automaker reported significantly fewer EV sales in November. Ford, Hyundai, Kia, and Toyota all reported significant EV sales declines last month, and Honda was no exception.
Honda Prologue Elite (Source: Honda)
Honda sold just 903 Prologues in November, 86% fewer than the over 6,800 it sold the year prior. Through November, Honda sold 38,262 Prologues, which is still more than the roughly 33,000 it sold in all of 2024.
Despite the lower EV sales, Honda said “electrified” vehicles, which are mainly gas-powered hybrids, reached 30.9% of brand sales. With another 28,258 units sold last month, Honda’s electrified vehicle sales reached 385,453 through November, a new annual sales record.
The interior of the Honda Prologue (Source: Honda)
Although Honda confirmed the Acura ZDX will not return for a 2026 model year, the Prologue will remain on sale for at least another year.
The Prologue is built on GM’s Ultium platform, the same one that underpins all electric Chevy, GMC, and Cadillac vehicles.
Honda Prologue at a Tesla Supercharger (Source: Honda)
Honda has been offering some of the most significant discounts on the Prologue, with combined savings exceeding $20,000 in some months. Even after the tax credit expired, Honda is still offering nearly $17,000 off select Prologue models.
Next year, Honda will introduce its new 0 Series electric vehicles, based on a dedicated EV platform. The first vehicle based on the platform will be an SUV in 2026, followed shortly by a sedan.
Of the over 102,000 vehicles Honda sold in the US last month, only 925 were all-electric vehicles (including the Prologue and Acura ZDX), or less than 1%. Those 0-series EVs can’t come soon enough.
As most automakers agree, the policy changes under the Trump administration led to a rush of buyers ahead of the tax credit expiration at the end of September. Despite reports claiming the credit created false demand for EVs, the market is expected to reset over the next few months.
With nearly $17,000 in savings, the Prologue is still a great deal. If you’re looking to test drive one for yourself, we can help you get started. You can use our link to find the Honda Prologue in your area.
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The official dates for Black Friday and Cyber Monday may have passed, but that doesn’t mean the savings train has pulled out of the station, as EcoFlow has launched its Cyber Week Sale with up to 80% continued savings on power stations, alongside free gifts and bonus savings using the code 25EFBFAFF at checkout. Among the offers, you’ll find the brand’s latest DELTA 3 1000 Air Portable Power Station down at $309 shipped, which comes with a FREE waterproof bag ($99 value), but sadly isn’t eligible for the extra savings code. We saw this new model launch early last month during early Black Friday sales with $200 cut from its $499 full tag price. While it’s not returning to that launch rate, if you missed out, you’re still getting the next-best price that sits only $10 higher. Head below for more on this new backup power solution and browse the entire sale lineup while it lasts through the rest of the week.
We’re seeing some slightly changed promotions during EcoFlow’s Cyber Week Sale, starting with the continued 5% extra savings you can score on many units by using the code 25EFBFAFF at checkout. From there, you will get a FREE 45W portable solar panel after spending $500, which becomes 2x 160W Bifacial portable solar panels once your order reaches $2,500. The brand is also offering an additional 10% automatic savings when buying two eligible accessories in one order, as well as the continued chance at the Lucky Draw.
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As the name implies, EcoFlow’s new DELTA 3 1000 Air power station is a lighter and more compact solution for powering devices and small appliances. It houses a 960Wh LiFePO4 battery that EcoFlow boasts to “power 99% of home-essential appliances” with a 500W steady output that can climb to 1,000W at most. You’ll have a mix of AC, Type-C, and Type-A ports for connections, complete with indicator lights for grid status when tapped in and immediately switching over power supplies when any instability is detected.
It comes with four primary means to top its own battery off, starting with two hours of charging from an AC outlet. There’s also the option to utilize up to 500W of solar input or a gas generator, as well as the usual on-the-go solution from your car’s auxiliary port (with a 500W alternator charger ramping that rate up to much faster heights).
***Note: The prices below have not had the bonus 5% savings factored in, so be sure to use the promo code 25EFBFAFF at checkout to score the absolute best prices. Some offers may not be valid.
EcoFlow’s other Cyber Week DELTA 3 1000 Air offers:
EcoFlow Cyber Week website-only deals/bundles:
RAPID Mag Qi2 10,000mAh 15W magnetic power bank: $55 (Reg. $90)
RAPID Mag Qi2.2 10,000mAh 25W magnetic power bank with built-in cable: $70 (Reg. $100)
DELTA 2 (2,048Wh) with extra battery and 2x 110W panels: $929 (Reg. $2,646)
Get $1,620 exclusive savings on EcoFlow’s DELTA 3 Ultra 3,072Wh power station at a new $879 low
Holiday savings are still running strong, as we have secured an exclusive deal from Wellbots on EcoFlow’s DELTA 3 Ultra Portable Power Station for $879 shipped, after using the exclusive code 9TO5ECOCM120 at checkout, beating the brand’s current Cyber Week sale pricing by $220. Coming down from its $2,499 price tag, we saw this new model drop as low as $999 between its launch in late September and today. That rate is getting beaten out by the combined $1,620 exclusive markdown here, which lands it lower than ever for the best price we have tracked. You can also find new continuing lows on the DELTA Pro Ultra 400W solar bundle, as well as 20 various offers on the latest DELTA Pro Ultra X power station and bundles.
The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.
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National Grid is rolling out new AI tools to get ahead of increasing wildfire risk across the Northeast. The utility is partnering with Washington DC-based Rhizome, a grid resilience planning company, to identify and prevent potential ignition threats across its transmission and distribution networks in Massachusetts, New York, and the UK.
Rhizome’s gridFIRM (Fire Ignition Reduction and Mitigation) platform launched in July 2024. It uses AI to calculate the likelihood that utility equipment could spark a wildfire and highlights the most cost-effective ways to mitigate those risks. The system builds on Rhizome’s existing weather-driven grid-failure modeling tools that utilities are already using.
Casey Kirkpatrick, director of strategic engineering at National Grid, said, “This groundbreaking new tool will allow us to pinpoint and address risks within our transmission and distribution systems while minimizing costs for customers.”
“As we’ve seen in both the data and the destruction in recent years, wildfire risk is not a regional problem but an increasingly global one,” said Mishal Thadani, cofounder and CEO of Rhizome. “Today’s partnership with National Grid is a significant step forward in our mission to shield society from the effects of climate change through intelligent planning.”
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National Grid says using the gridFIRM platform will help it identify high-risk areas where utility assets could spark wildfires, quantify and prioritize wildfire risks across its networks, develop cost-effective prevention and response strategies, and improve overall grid-resilience planning.
While wildfires have long been associated with the West Coast, the Northeast is increasingly feeling the heat. In 2024, New York and Massachusetts saw a combined 2,626 wildfires — more than double the number from the previous year. As both the human and financial tolls rise, National Grid says that comprehensive wildfire planning is becoming a necessity for utilities and the communities they serve.
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