Two stocks that get Donald Trump working to make you richer

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Today’s issue in preview:

• Two stocks that get Donald Trump working to make you richer

• One of the world’s most important indicators says the U.S. is booming

• One of our top investment destinations is poised to break out and surge higher. Do you own it?

• Learn our Top Themes to buy now

Two stocks that get Donald Trump working to make you richer

Credit: Traimak_Ivan

Is the “Made in America” megatrend the most profitable market force you’re hearing enough about?

A close look at Xometry (XMTR) and Applied Industrial Technologies (AIT) tells us that, yes, this is the case.

Back in January, I made the case for going long the Made in America megatrend… for investing in companies that supply critical equipment and services for building and operating today’s high-tech factories.

The bull case here is simple…

President Donald Trump – along with many business and military leaders – believes that the U.S. has outsourced far too much of its industrial capacity to China over the past 25 years. We outsourced significant portions of our semiconductor, appliance, medicine, weapons, and machinery production.

We outsourced the capacity to produce and process critical resources, such as rare earth elements.

The COVID-19 pandemic showed that depending on other countries for critical economic inputs makes the U.S. economy less safe and secure. To put it bluntly, it is very stupid to not make products critical to national security like AI semiconductors within our own borders… especially when we are in an economic and geopolitical “great powers” contest with China.

Trump has staked his legacy and reputation on greatly expanding our industrial base… and he’s working with business leaders to invest trillions to pursue this goal. Apple (AAPL), for example, has committed to invest $600 billion in U.S.-based manufacturing over the next four years. Nvidia (NVDA) says it will invest $500 billion in U.S.-based manufacturing over the next four years.

In Money & Megatrends, we’ve capitalized on this “Made in America” megatrend with strong returns in robotics, factory automation, and machine component makers such as Cognex (CGNX), Ouster (OUST), and RBC Bearings (RBC).

Today, we expand our coverage here by noting the strong business results and solid uptrends in Xometry and Applied Industrial Technologies. These firms are not household names, but for many American manufacturers, they are “mission critical” business partners… and clear Made in America beneficiaries.

Xometry (pronounced zahm-uh-tree) – market cap $5.3 billion – operates an AI-powered marketplace for custom manufacturing. It connects businesses that need to buy custom-manufactured parts with the businesses that make them. Customers send Xometry specs on what they need, then Xometry connects them with manufacturers that can fill the need… while also providing instant price quotes

Every company developing a new robot, data center rack, medical device, semiconductor tool, industrial machine, or car component can potentially use Xometry’s platform. Rather than being tied to a single industry, the company serves as a digital manufacturing operating system for businesses that need custom parts and flexible production capacity.

Xometry has achieved solid growth over the past three years, with revenue rising from $463 million in 2023 to $546 million in 2024 and $687 million in 2025.

Applied Industrials Technology – market cap $12.2 billion – is a leading distributor of industrial parts and a technical solutions provider.

Its product portfolio includes bearings, power transmission equipment, hydraulics, pneumatics, fluid power systems, industrial hoses, pumps, motors, conveyor components, robotics, machine vision, and motion control systems. Beyond distributing products, AIT designs, builds, and services custom automation and fluid power systems that help manufacturers improve productivity, reduce downtime, and automate production processes.

AIT serves more than 100,000 customers across industries, including automotive, aerospace, food and beverage, mining, chemicals, energy, and life sciences. In other words, like XMTR, AIT is in the business of helping manufacturers get the components they need to build cars, airplanes, data centers, mines, and robots. Revenue has grown from approximately $3.8 billion in fiscal 2022 to about $4.6 billion in fiscal 2025.

Business success for both XMTR and AIT – plus investor optimism around the Made in America megatrend – has generated strong stock returns. AIT has gained 30% over the past year and is near a new all-time high. XMTR has gained 167% over the past year and is near a new all-time high.

The Made in America megatrend will see trillions of dollars invested in expanding U.S. manufacturing capacity. This means demand for the specialized parts and systems that XMTR and AIT help provide should remain strong for years.

One of the world’s most important indicators says the U.S. is booming

Credit: Sky_Blue

Building lots of factories, AI data centers, and power grid systems during the Made in America megatrend will require a lot of raw materials, machines, and parts. And those materials must all be transported to sites across the country.

This is a major reason the iShares U.S. Transportation Average ETF (IYT) is enjoying a bull market and is currently trading near all-time highs.

The iShares US Transportation ETF is the market’s largest transportation-focused ETF. It owns a variety of companies involved in trucking, shipping, air travel, railroads, and transportation logistics. Major holdings include UPS (UPS), FedEx (FDX), Delta Air (DAL), Union Pacific (UNP), Norfolk Southern (NSC), Old Dominion Freight Line (ODFL), and J.B. Hunt (JBHT).

Virtually every piece of clothing, every piece of furniture, every package of food, every appliance, every device, every building material, every tool, and every household good purchased in America is transported by truck, railroad, ship, or airplane multiple times on the way to its end user. Transportation and delivery firms are the economy’s circulatory system.

This means the stocks of large transportation firms are “highly economically sensitive.”

These stocks do well when America is making things, buying things, building things, and transporting things. Their stock price trends have more to tell us than any CPI report or comment from a Federal Reserve board member.

Over the past year, IYT has climbed 22.7%.

Last week, shares reached an all-time high.

Strong transportation stocks tell us something important about the economy… something you won’t find in the news or from economists.

Many investors fixate on government data such as unemployment figures, job hirings, and the Consumer Price Index. I like to know that data as everyone else does.

However, when I want a read on what’s really happening in the economy, I place far greater focus on what’s happening in the real world. I look at stock prices. In doing this, I listen to the judge, jury, and executioner of any thesis, any trend, and any claim: The market.

Market prices are the sum total and final expression of all knowledge held by industry insiders, connected money managers, government officials, and bankers who quietly control huge swaths of the economy. These people know much more about their industries of focus than you or I do. Their knowledge manifests itself through action… and that action that sets market prices.

Market prices are not always perfect, but the vast majority of the time, they know a heck of a lot more than any economist or investment guru.

Driven in part by the enormous Made in America megatrend, transportation stocks are in a strong uptrend. This is a very bullish economic signal. Manage your financial affairs accordingly!

One of our top investment destinations is poised to break out and surge higher. Do you own it?

Credit: oversnap

It’s not getting much press, but one of my favorite investment destinations is quietly closing in on an all-time high. We close out today’s issue with a look at the bull market in Canada.

Over the past ten months, I’ve made the case that we are in a favorable environment for critical resources… one in which many individual resource sectors will generate strong returns.

Critical resources are the building blocks of the economy. Think raw materials like crude oil, natural gas, iron ore, copper, uranium, corn, and cotton.

Even today’s high-tech world of AI, apps, email, and Zoom calls is built on a “low-tech” foundation of steel, concrete, copper, lumber, and aluminum. Every day, our cars, trucks, and airplanes consume millions of barrels of fuel. Our lights turn on because we burn coal and natural gas.

Mining, extracting, planting, harvesting, processing, refining, and transporting critical resources is a multi-trillion-dollar business that affects every area of your life.

During this time, I’ve highlighted Canada as an excellent place for investment capital. Canada is the second-largest country in the world by total area, after Russia.

This means there’s plenty of area to hold big oil and natural gas deposits… huge tracts of timberland… giant mineral deposits… and enormous farms. Canada is a major player in oil and natural gas production, ranking in the world’s top five producers for both. It’s also a world leader in fertilizer, uranium, aluminum, gold, lumber, and platinum production.

Canada’s massive resource endowment also makes it a beneficiary of the Iran war and its consequences.

As I’ve covered this year, for many countries and businesses, the Iran war is a brutal reminder: If your survival or smooth operation depends on uninterrupted resource flows from the often-unstable Middle East, you are in a dangerous, vulnerable position.

No politician, CEO, or major shareholder wants their business to be in that position. No citizen wants their country to be in that position. Many powerful and influential people are realizing this is a big risk that must be mitigated if humanly possible. Executives and politicians will get fired for not addressing it effectively.

This means building and buying as many forms of “not Middle Eastern” resource supply chains as possible economically… like those from safe, resource-rich Canada. I can state with confidence that no caribou will ever strap on an explosive vest and attack a local oil refinery… and no grizzly bear will send a kamikaze drone flying into a natural gas pipeline.

As you can see in the chart below, the bullish factors above are driving a steady uptrend in the iShares Canada ETF (EWC)… and it is pennies away from reaching new all-time highs.

Canadian stocks had strong tailwinds before Epic Fury. I expect that leadership to continue. I remain bullish on Canada.

Market Notes

• Major global banks Royal Bank of Canada (RY), Mitsubishi UFJ Financial Group (MUFG), KB Financial Group (KB), and M&T Bank Corp (MTB) climbed to new one-year highs today. These are bullish economic signals.

• Our November 24^th recommendation to own the healthcare sector continues to pay off. Home health leaders Pennant Group (PNTG) and Chemed (CHE) both hit new highs today

• Our recommendation to own utilities to invest in soaring AI power demand remains a winner. Large utility Duke Energy (DUK) reached new one-year highs today.

• Technology giant Apple (AAPL) is up 2% today to new highs. Is this the start of the rotation to the application layer?

Regards,

Brian Hunt
Editor, Money & Megatrends

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