DuPont Breakdown: The bright spot in industrials
$DD otherwise know as DuPont. Here is a breakdown of the company and why I opened a position through this market pullback.
Current Price: 49.98
52 wk/Low: 28.33
Read below for the goods!
While this is an industrial it is a resilient industrial that is immune from COVID damage and setbacks.
Dupont associates and does business in Electronics and imaging, nutrition and bioscience, transportation and industrial, and finally construction.
Hard to believe but the company is a sleeping beast when it comes to 5G and its rollout. One of their core sectors is highly involved in interconnection problems and semiconductors within the 5G space.
Given that 5G is now rapidly rolling out and large names like Apple are releasing 5G phones, $DD will benefit hugely due to 5G.
Secondly, their recent merger (pending) with $IFF only strengthens their bioscience and nutrition space, which is very much unaffected by COVID.
$DD is also big into autos through their transportation sector, which given that auto sales are surprisingly high right now, they are benefitting from.
They also have a hand in Safety equipment, and with COVID running wild they have been selling protective equipment very steadily given its high demand.
Finally due to COVID people are realizing they do not want to be in the city and new construction is up majorly due to this, which benefits $DD construction sector.
Their construction demand will also benefit from the reopening and will act as an extra future catalyst for the company.
Given all the positives and the great balance sheet, the company should do well through COVID if it resurges, and very well through a reopening of the countries economy.
That is why I opened a position in $DD and my price target is 60 to 65.
I currently hold common stock in $DD and am long the stock.