NEW YORK (
TheStreet) -- As investors grapple with the likelihood of economy slowing down further, the latest data for U.S. durable-goods orders have been encouraging. Orders for durable goods in the U.S. rebounded to 4% in July after declining 1.3% in June, driven by surging demand for autos and aircraft. The initial forecast was a 1.9% rise.
Durable-goods orders in July were built on a 14.6% jump in demand for transportation equipment. Auto demand in the U.S. also jumped 11.5% in July, while Boeing's big order from American Airlines surged aircraft bookings by 43.4%.
We have selected six stocks that could benefit from a recovery in durable goods demand. Analysts foresee up to 91% upside potential for these stocks, based on 12-month target price and buy rating of 75%.
(GM - Get Report) is one of the world's largest automakers with business interests in more than 120 countries.
During second quarter 2011, the company reported net income of $2.5 billion - its sixth consecutive profitable quarter. For the same period in 2010, GM's net income was $1.3 billion.
Revenue increased to $39.4 billion, up $6.2 billion from the second quarter prior year. Earnings before interest and tax increased to $3 billion from $2 billion in the same quarter of 2010.
"Our progress has been steady and we're preparing to launch more new products this year, including the Chevrolet Sonic in North America, the Opel/Vauxhall Zafira in Europe and the Baojun 630 in China to keep the momentum going," said Dan Akerson, GM's CEO. Analysts surveyed by
project 84% upside over the next one year with 75% buy ratings.