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Pro Analysis

Buy industrials and materials stocks on Trump, Oppenheimer says

President-elect Donald Trump speaks to reporters at Mar-a-Lago in Palm Beach, Florida on December 21, 2016.
Jim Watson | AFP | Getty Images
President-elect Donald Trump speaks to reporters at Mar-a-Lago in Palm Beach, Florida on December 21, 2016.

Oppenheimer told investors Donald Trump's policies will benefit the financial outlooks of industrials and materials companies and boost the sectors' share prices in 2017.

"Our expectations are for tailwinds for the equity market stateside as elements of the stimulative fiscal agenda broadly outlined by President elect Donald Trump are implemented," chief investment strategist John Stoltzfus wrote in a note to clients on Dec. 19. "In our view, this could provide further support for stock prices and some upside risk to our benchmark target."

The strategist initiated a 2017 S&P 500 price target of 2,450, representing 4 percent upside from Friday's close.