>>4 Big Stocks to Trade (or Not) Ingersoll was one of many industrials that decided to tighten its belt in 2008, cutting its overhead costs and ultimately ensuring that more of every dollar it brings in makes it to the bottom line of its income statement. That's helped to generate net profit margins approaching 10% in the last year. IR's brands may not be particularly complementary, but they are mainly league-leaders in their respective niches, a fact that provides for premium pricing and a stickier customer base of after market parts. To be sure, Ingersoll still isn't in a "normal" market for its products. Despite a pickup in construction, building is still depressed from prerecession levels. When those numbers start to pick up again, particularly on the commercial side, Ingersoll-Rand should benefit disproportionately. In the meantime, a reasonable balance sheet and a growing emerging markets business should help investors wait things out. Just keep an eye on Friday's earnings call. ResMed Medical device maker RedMed ( RMD) rounds out our list of Rocket Stocks this week. RMD's primary business is in manufacturing airflow generators and masks for sleep apnea patients, a business that could provide a springboard for ResMed to move into other breathing disorders with underserved device markets. The firm announces its next round of earnings on Oct. 25. ResMed has built a business on being innovative. When the firm decided to move into the sleep apnea business, it used superior technology to take market share from the medical device makers who held the top spots. As RMD continues to innovate, it should open up new markets. New pushes toward home testing of sleep apnea should help lift the fortunes of all the medical device makers in the business, but a push toward treating other related breathing disorders holds the most promise in the longer-term. Financially, ResMed is in good shape, with around $560 million in net cash on its balance sheet once debt is accounted for. Short sellers have historically mobilized against shares of ResMed, shoving the firm's short interest ratio in the double-digits and making this stock a good candidate for a short squeeze.