Caterpillar (CAT)

If there's a Blue Sweep on Nov. 3, the Dems will produce an infrastructure package and industrial names like this benefit. This, plus 3M, Otis and Emerson, will benefit from the end of the US-China trade. However, Caterpillar will thrive under either Biden or Trump.

A uber-cyclical stock into mining, roads, forestry, etc. The price of copper has broken out to the upside, which may be a signal for higher commodity prices and for this stock. He would consider buying here.

Pays a good 3.5% yield with a 10x PE, which are likely depressed by the global slowdown and the trade war, but the slowdown will turn. Buy this if you have a 3-5-year horizon. Governments need to start spending on infrastructure to get economies going. Also look at CMI-N.

He's watching it. On their conference call Q1 there was a major misunderstanding about the guidance they gave; no, they haven't hit their peak for the year. Rather they reached the high point on their margin percentage. The street reacted negatively and sold. It was astonishing. A fine company, but he's not sure this is the best company in this space and there's a lot of competition here.

A big name but has a lot of debt. Big US company. A perfect target for tariffs. Trades at reach valuations. He would be cautious.