Eaton stock surged on Friday, driven by a combination of a bullish analyst price target upgrade and positive signals from the manufacturing sector. The electrical equipment maker benefited from a broad market rally, with every sector showing gains on the day.
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Market movers: The S&P 500 was on pace to break its five-session losing streak. But even with Friday's strong gain, the index was still tracking to be slightly down for the week. Friday's rally was broad-based with every sector in positive territory.
Consumer discretionary topped the leaderboard thanks to Tesla rebounding from Thursday's selloff. Information technology was having a strong day with gains in semiconductors and software. The utilities sector was continuing its strong start to 2025. Laggards on Friday included materials, consumer staples, and financials. Power stock: Eaton was one of the standouts in the industrial sector — jumping nearly 3% in Friday trading. RBC Capital raised its price target on the electrical equipment maker to $392 per share from $374, implying 18% upside from Thursday's closing price of $331.96. However, there is another reason for the rally in Eaton. Digging through December's manufacturing ISM report, it again showed the electrical equipment, appliances and components industry is one of the best growth stories in the group. In addition to electrical equipment, appliances and components, the ISM report surveys all different industries, including chemical products, transportation equipment, computer and electronic products, along with food, beverage and tobacco products. One response from a member of the electrical equipment, appliances and components industry — which includes Eaton — said, 'The increase in new orders has our plant at full capacity.' This industry was also one of six reporting growth in new orders, and that's obviously a very good demand signa
Eaton Market Rally Industrial Sector Manufacturing Demand
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Vistra Corp. Stock Soars 264% as Nuclear Power Demand SurgesVistra Corp., an Irving-based energy company, witnessed an astonishing 264% surge in its stock value in 2023, becoming the top performer on the S&P 500 Index. This remarkable growth is attributed to a surge in demand for nuclear power, driven by factors like data centers, reshoring efforts, and electrification trends. The company's strategic investment in the world's largest battery storage project further bolsters its position.
Read more »
Electrical Infrastructure Stocks Surge as Data Center Demand SoarsForbes' ranking of mid-sized companies reveals a strong performance by electrical infrastructure providers like Powell Industries and IES Holdings. Their success is fueled by the booming demand for data centers, a key component in the rapid growth of artificial intelligence.
Read more »
Lilly invests $3 billion to expand Wisconsin plant as obesity drug demand soarsZepbound and Lilly's diabetes drug Mounjaro, both known chemically as tirzepatide, were in shortage in the U.S. for much of this year.
Read more »
As Demand for Electricity Soars, a Key Part of the Power Grid Is In Short SupplyTransformers keep everything running and the power industry can’t make them fast enough.
Read more »
Broadcom Outperforms Nvidia as AI Chip Demand SoarsBroadcom's stock has surged while Nvidia's has slipped, highlighting the divergent paths of these two chip giants in the AI boom.
Read more »
Vultr Raises $333 Million, Valued at $3.5 Billion as AI Demand SoarsVultr, a startup specializing in cloud infrastructure for businesses, has secured $333 million in funding, reaching a $3.5 billion valuation. This investment comes amidst a surge in demand for GPUs and cloud computing fueled by the rise of generative artificial intelligence. While Vultr won't build its own GPUs, it offers AMD's products, emphasizing their cost-effectiveness for AI inference.
Read more »