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Upcoming their sit in on record levels of cash in our next guest says actually started -- -- -- -- by spending on things like machines and software and other equipment.
Barron senior editor at jackass out here with -- companies that stand to gain from the ramp up in capital expenditures.
Jack I love this story because it's actionable first of all but which are saying basically if these companies hoarding cash.
They did the dividend thing they did the repurchased thing that's kind of nothing left to do.
They don't have any special way to earn a higher return their -- and what you might see in the bank -- and they've got the problem on a trillion dollars in cash right now at the same time.
They give the good size tax break for spending that money on equipment that can expand their business.
For some come visit the safer way unfortunately the safer -- to it to expand right now -- hiring or spending on the equipment first hopefully the hiring will be down the road but.
That's causing an increase in revenues for companies that sell this equipment let's be clear they -- are we building.
Plants in fact yeah -- we just -- like machine and I know we're not talking about like toner cartridge and printer we're talking about big ticket items tractors.
And sometimes the technology infrastructure about a big new you know server farm think things like that -- so.
What you find in in in past cycles where -- capital spending increases.
You find it for -- stocks do very well during those periods but in particular industrial companies energy companies technology companies.
Their shares tend to do the best so that's what I went hunting for -- and that.
You found so it's your point not necessarily hiring humans yet but I stops -- your firstly at the prelude to the hiring exactly although at this stuff is that technologically advanced than in -- mark Cameron International ticker CAM equipment for -- reason.
It lines everybody's in -- scramble to increase production with a -- prices where they are this is the company where they have their make me do dads are going to building these wells and so.
You know their bookings or an all time high their earnings doubled last quarter this company is making excellent money right now and they make you dance like -- -- this is data storage systems -- -- they're tied for number two with IBM in this business behind EMC but customer listening very good things about their latest storage platform.
Companies need to spend on storage right now they've been under investing right that's it does the company the can.
Gaining market share and also be in the right place -- the right time for the spending.
And also in that same kind of industry TL late tencor Kla-Tencor excuse me the other make its path equipment for making chips -- I don't know which ones are gonna do well on which segments what companies gonna buy but this company makes the test equipment no matter which.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Are they past their prime now these are all stocks report attractively priced right now good finances solid solid balance sheets maximum growth.
Check -- this is awesome thank you thank you.
I love that -- simple stuff chalk full of information and -- --
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