Shares of commercial equipment manufacturer CNH Industrial (NYSE:CNHI) have been surging on account of potential robust infrastructure investment worldwide. The company’s resilient business operations amid the COVID-19 pandemic and its skilled operational management position it well to capitalize on a potential infrastructure boom, thus making it an ideal pick for growth investors now, we believe. Read on.Agricultural, construction and industrial equipment manufacturer CNH Industrial N.V. (CNHI) has maintained its growth trajectory despite a coronavirus-pandemic-induced slump in demand. The company has reported impressive financial performance in its last reported quarter and has been scaling its operations to gain from the current industry tailwinds.
CNHI’s tangible book value has increased at a CAGR of 32.1% over the past three years, while its total assets rose marginally over this period. The stock has gained 139% over the past year, and 20.9% year-to-date.
As the demand for construction and industrial equipment rises, and with the U.S. government moving to pass a proposed $2.3 trillion infrastructure bill, CNHI’s revenue and earnings are expected to rise significantly. The company, which is based in London, is also poised to benefit from United Kingdom’s “once-in-a-lifetime” proposed £22 billion infrastructure spending, which comprises £10 billion in capital investments and £12 billion in loan guarantees, as it is based in London.