Our Choices

June’s reading of the ISM Manufacturing Index indicates that the sector has experienced a notable improvement. The report also signals a pickup in broad based economic growth which is likely to boost the sector in the months ahead.

Picking up select manufacturing stocks looks like a prudent option at this point. We have narrowed down our search to the following stocks based on a good Zacks Rank and other relevant metrics.

Lakeland Industries, Inc. (LAKE - Free Report) is a manufacturer and seller of products for the industrial and public protective clothing segment.

Lakeland Industries has expected earnings growth of 56.6% for the current year. Its earnings estimate for the current year has improved by 9.2% over the last 30 days. The stock has returned 40.4% year to date, easily outperforming the Zacks Security And Safety Services industry, which has gained 9.8% over the same period. The stock has a Zacks Rank #1 (Strong Buy). 

Allegion plc (ALLE - Free Report) is a leading global provider of security products and solutions for business and domestic purposes.

Allegion has a Zacks Rank #2 (Buy). Its expected earnings growth for the current year is 10.9%. Its earnings estimate for the current year has improved by 0.3% over the last 30 days. The stock has returned 27.1% year to date, easily outperforming the Zacks Security And Safety Services industry, which has gained 9.8% over the same period.

Avery Dennison Corporation (AVY - Free Report) produces pressure-sensitive materials, and a variety of tickets, tags, labels and other converted products.

Avery Dennison has a Zacks Rank #2. Its expected earnings growth for the current year is 13.9%. Its earnings estimate for the current year has improved by 0.1% over the last 30 days. The stock has returned 26.6% year to date, outperforming the Zacks Office Supplies industry, which has gained 18.3% over the same period.