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Results for the metal fabricating industry are expected to be good for 1998 and 1999 with the moderate expansion of the US economy and demand for many of the products of this industry. However, forecasting the various industry sectors can be difficult as many of their markets are cyclical in nature. The long-term prospects for these stocks is good in spite of a moderation in economic growth, and several are timely for 1998 and 1999.

The US economy has become uneven in 1998 with growth accelerating in some industries and slowing in others, and metal fabricating may be affected due to its cyclical nature. However, suppliers to the aircraft, truck, and auto industries will see good demand in 1998, although it is difficult to assess the markets beyond this. There are several growth stocks in this industry, but investors need to be selective in their commitments.

The metal fabricating industry is expected to grow in 1998, boosted by strong commercial aircraft demand and decreased risk of recession. Prospects in the automotive industry are also a factor. Trinity Industries is showing strong earnings momentum. Recommendations to investors include any firms that will benefit from aerospace's production and manufacturing upturn.

The US economy has remained sound in the late 1990s, although there has been uneven economic performance in different sectors. Suppliers to jet aircraft makers are expected to do well in 1998, but other areas of the industry are difficult to predict. Improved cost structures, positive demand, and stable growth are among long-term trends for the industry. There are some growth prospects among this industry, but investors must seek individual stocks.

The economic indicators for the metal fabricating industry remain strong overall, as the continuing less-than-desired performance of certain key segments is expected to improve in late 1997 and 1998. The commercial airline industry continues its strong demand for forged goods,l and the U.S. farming industry's overall strength is expected to result in increased revenues for agricultural equipment vendors. Overall, the industry earns a good Timeliness ranking.

The metal fabricating industry is expected to benefit from the continuing economic growth of 1996 and 1997, although the expansion should be slower. Elimination of unneeded overhead expenses and more industrywide efficiency are also leading to better earnings prospects in 1997, and over the next three to five years, as well. The stocks in this industry are timely for 1997, but investors must evaluate these companies on an individual basis.

Stocks in the metal fabricating industry are among Value Line's top 25% for timeliness, although several have low ratings for price stability. Modest improvement is seen for the industry through 1997, as some of the industries served by metal fabricating companies have weaknesses and the US economy will be growing at a slower rate. Stocks in this industry must be evaluated on an individual basis before investors make their selections.

Metal fabrication is a capital intensive industry and the stocks are positive for investment. Unemployment and economic insecurity are problems that must be faced in 1996. Each investor must decide whether the time is right for investment in this industry. Interest rates should be watched to determine the value of investing in the metal fabricating industry.

Several areas of the metal fabricating industry remain weak, even with US economic growth in 1996. Several markets served by this industry face weak markets in 1996 and 1997, although there is little risk of recession. Tighter inventories, lower break-even points, higher profits, along with industrial and other equipment needs, are among industry bright spots. Investors must select stocks that are timely for 1996 and 1997.

Earnings for the metal fabricating industry will only be modest in 1996, due to slower US economic growth. Lower break-even points and tighter inventories offer some protection, however. Consumer confidence, which the US economy needs, is down due to unsure real estate markets, unemployment problems, and erratic job creation. Several of these stocks are timely and investors need to seek cyclical and defensive issues for commitment.

Several companies in the metal fabricating industry face weak markets with slow industrial recovery in the economy. Revenues and earnings are still protected, however, with lower break-even points and tighter inventory control. Increased equipment needs in the oil and gas industries, as well as agriculture, are positive, although auto demand is down. Investors must select individual stocks that are timely for the year ahead.

Demand for fabricated metal will increase only slightly in 1995 because of depressed nonresidential investment. The industry is benefiting from increased operating efficiency and improved demand in selective areas, such as farm products and highway transportation. The oilfield drilling equipment sector also looks promising. Investors should confine themselves to stocks expected to do well in 1995.

Economic conditions for the metal industries are still fragile in 1995, but several stocks are attractive for the 1998-2000 term. The slight domestic economic decline forecast for 1995 will hurt, rather than help, these companies. Stocks issues in this industry are defensive and cyclically oriented, and individuals need to evaluate the economy for the remainder of the 1990s before investing.