The stock market is where investors buy and sell shares of public companies. Among the various indexes, the Dow Jones Industrial Average (DJIA) is one of the most recognized. It consists of 30 prominent companies in the U.S., often referred to as “blue chips.” This index is a significant indicator of the market’s overall health and economic trends.
Investing in Dow Jones stocks offers the advantage of stability and reliability. These companies are well-established and financially sound, often providing consistent dividend payments. This makes them appealing for investors seeking to mitigate risk. However, because they are large and mature, their growth potential may be lower compared to smaller, faster-growing companies.
On the downside, Dow Jones stocks can still be susceptible to market volatility and economic downturns. Their large size might also make them slow to adapt to rapidly changing industries or new technologies. Thus, while they offer safety, the trade-off could be lower growth rates compared to emerging stocks. Investing in these stocks is particularly suitable for those looking for long-term investment and less exposure to volatility. That said, let’s explore two Dow Jones stocks to watch in the stock market today.
Dow Jones Stocks To Watch In The Stock Market Today
- Caterpillar Inc. (NYSE: CAT)
- Amgen Inc. (NASDAQ: AMGN)
Caterpillar (CAT Stock)
Starting off, Caterpillar Inc. (CAT) is a global manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. The company serves various industries including construction, transportation, mining, and energy.
Late last month, Caterpillar announced its first-quarter 2024 financial and operating results. The company notched in better-than-expected Q1 2024 results, posting an EPS of $5.60 on revenue of $15.80 billion for the quarter. This is in comparison to Wall Street’s estimates for the quarter which were earnings estimates of $5.12 per share, with revenue estimates of $15.99 billion.
Looking at the last six months of trading action, shares of CAT stock have surged higher by 48%. Meanwhile, during Tuesday’s late morning trading session, Caterpillar stock is trading higher up 1.63% on the day, at $347.69 a share.
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Amgen (AMGN Stock)
Second, Amgen Inc. (AMGN) is a biotechnology firm focused on discovering, developing, manufacturing, and delivering human therapeutics. The company is known for its treatments in areas such as oncology, cardiovascular, bone health, neuroscience, and inflammatory diseases.
Earlier this month, Amgen also reported a beat for its first quarter 2024 financial and operating results. In detail, the company posted Q1 2024 earnings of $3.96 per share, with revenue of $7.45 billion. This is versus analysts’ consensus estimates for the quarter which were earnings estimates of $3.76 per share, with revenue of $7.39 billion. Additionally, revenue increased by 21.98% on a year-over-year basis.
In the last six months of trading action, Amgen stock has jumped higher by 11.44%. While, during Tuesday’s late morning trading session, shares of AMGN stock are trading green, up 0.91% on the day thus far, at $302.16 a share.
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