Top Industrial Stocks by UQS Score

1375 stocks scored · Last updated

Industrial companies build the physical backbone of the global economy — from factories and freight networks to power grids and water treatment. These are asset-heavy businesses where competitive advantage comes from scale, operational efficiency, and long-term customer relationships cemented by high switching costs. Margins are naturally thinner than tech or healthcare, but the best industrials compensate with remarkable capital discipline, predictable revenue streams from long-term contracts, and infrastructure positions that take decades to replicate. The companies ranked highest here combine operational excellence with fortress-like balance sheets.

Industrials Sector Characteristics

This grouping includes four GICS sectors: Industrials (aerospace & defense, machinery, transportation, construction), Basic Materials and Materials (chemicals, metals, mining, paper), and Utilities (electric, gas, water, renewable power). The common thread is physical assets and capital intensity — these companies require significant upfront investment in factories, equipment, or infrastructure before generating revenue. This creates natural barriers to entry (you can't casually build a competing power grid or rail network) but also means returns on capital are structurally lower than asset-light sectors. The UQS model uses the most conservative quality thresholds for this grouping (20% ROIC, 25% operating margin) to reflect this reality.

Scoring note: Industrials are scored with conservative thresholds (20% ROIC, 25% operating margin) that reflect the capital-intensive nature of the business. Utilities are included in this grouping — they typically score highest on risk due to regulated, predictable revenue, but lower on growth. For utilities, the risk and valuation scores are the most informative pillars.

Industrials Sector Score Overview

76
Avg UQS Score
88
Avg Quality
32
Avg Moat
95
Avg Growth
88
Avg Risk
91
Avg Valuation

Top Industrials Stocks: Who Leads and Why

#1AUAngloGold Ashanti Plc84

AngloGold Ashanti Plc leads the industrials sector with a 84 UQS score. Its quality score of 96 is exceptional for a capital-intensive business, indicating highly efficient use of its asset base.

#2WDO.TOWesdome Gold Mines Ltd.81

Wesdome Gold Mines Ltd. scores 81 overall, with a risk score of 100 that reflects the kind of balance sheet conservatism that lets industrial companies invest through downturns while weaker competitors retrench.

#3BZKanzhun Limited79

Kanzhun Limited earns the third spot at 79, standing out with a growth score of 89 that's unusual for the industrials sector — suggesting organic expansion or market share gains that defy the typically mature growth profile.

#4GFIGold Fields Limited78

Gold Fields Limited scores 78 with a moat score of 28, reflecting infrastructure advantages and customer switching costs that are difficult for competitors to overcome.

#5NEMNewmont Corporation78

Newmont Corporation scores 78 with a moat score of 32, reflecting infrastructure advantages and customer switching costs that are difficult for competitors to overcome.

Full Industrials Ranking: Top 25 Stocks

#StockUQSQMGRV
1AUAngloGold Ashanti Plc8496421009996
2WDO.TOWesdome Gold Mines Ltd.81972710010098
3BZKanzhun Limited7987478982100
4GFIGold Fields Limited7899281007898
5NEMNewmont Corporation789032998896
6OGC.TOOceanaGold Corporation7895281008595
7KGCKinross Gold Corporation7896201009497
8DPM.TODPM Metals Inc.77882710010092
9BBarrick Mining Corporation778333979993
10EDV.TOEndeavour Mining plc77100271007594
11HMYHarmony Gold Mining Company Limited77972810069100
12WPMWheaton Precious Metals Corp.77746410010048
13CDECoeur Mining, Inc.7684271009195
14PME.TOSentry Select Primary Metals Corp.75991310082100
15CMCLCaledonia Mining Corporation Plc7510025818899
16DRDDRDGOLD Limited75792497100100
17ABX.TOBarrick Gold Corporation758232979981
18MSA.TOMineros S.A.7410028698899
19ENJEntergy New Orleans, LLC First Mortgage Bonds, 5.0% Series due December 1, 20527378568650100
20AEMAgnico Eagle Mines Limited7380291009180
21FNVFranco-Nevada Corporation7374449510063
22EMPEntergy Mississippi, Inc. 1M BD 667377558650100
23KNT.TOK92 Mining Inc.72832510010069
24PAASPan American Silver Corp.7275201009793
25FSMFortuna Mining Corp.7289207610099

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Frequently Asked Questions About Industrials Stocks

Why are Utilities grouped with Industrials rather than as a separate sector?

Utilities share the core industrial characteristics: heavy capital investment, physical infrastructure, regulated or contracted revenue, and naturally thinner margins. While they could be scored separately, their financial profile is closest to the industrial category — conservative quality thresholds (20% ROIC, 25% operating margin) match utility economics well. Utilities typically score highest on risk (regulated revenue is predictable) and lowest on growth (mature service territories with limited expansion). For utility investors, the risk and valuation pillars provide the most actionable insights.

How does UQS evaluate capital-intensive businesses fairly?

The key is sector-calibrated thresholds. A tech company needs a 35% ROIC to score well on that metric, while an industrial company needs only 20%. This reflects the economic reality that deploying capital into physical assets generates lower but more durable returns than deploying it into software. The UQS model also weights free cash flow yield heavily in the quality pillar, which rewards industrial companies that convert earnings into actual cash despite high capex requirements.

What makes an industrial company score high on moat?

The strongest industrial moats come from switching costs and scale advantages. Once a company's equipment, software, or infrastructure is embedded in a customer's operations, replacing it is expensive and disruptive — this creates recurring revenue and pricing power. Scale moats matter especially for companies like rail operators, pipeline networks, and utilities where the physical infrastructure itself is the competitive advantage. The AI moat score evaluates these dimensions using both the company's competitive narrative and its financial metrics (margin stability, customer concentration, capex vs depreciation).