Many industrial stocks slumped over the past year as geopolitical conflicts, inflation, potential interest rate hikes, and other macro headwinds threatened to disrupt the global economy.
However, that pressure is creating some good buying opportunities for long-term investors
Two of those stocks are UPS (NYSE: UPS) and Fluor (NYSE: FLR), which are both trading about 40% below their all-time highs. Let’s see why these two stocks slumped — and why they could still be great stocks to buy and hold forever as many investors look the other way. UPS UPS is one of the world’s largest shipping couriers.
But after reaching an all-time high of $192.88 in February 2022, its stock has pulled back by more than 40%. A post-pandemic drop in deliveries hit UPS, while inflation, intense competition from FedEx and other couriers, and an intentional reduction in Amazon’s lower-margin orders exacerbated the pressure. Its margins were further compressed after it struck a new contract with the Teamsters union to avert a strike in 2023.