In this edition of Founders’ Industrials Update, we focus our attention on recent macro-economic trends and how they may impact the industrials market in 2019. Market trends analyzed include U.S. GDP growth, Q3 earnings performance, interest rate changes, and the U.S. – China trade relationship.
As seen in the chart below, U.S. quarterly GDP growth has trended positively over the last three years. In Q3 2018, U.S. GDP growth exceeded consensus expectation, topping over 3.5%. Recent GDP growth has been driven by a number of factors, including a strong labor market, increased business investment, and increased fiscal spending.
We also provide coverage of the most recent industrial industry transactions, as well valuations for middle market private equity in manufacturing and distribution.
Founders is a merger, acquisition, & strategic advisory firm serving middle-market companies. Founders’ focus is on oil and gas, SaaS/software, industrials, internet, healthcare, digital media and industrial technology companies located nationwide, as well as companies based in the Southeast across a variety of industries. Founders’ skilled professionals, proven expertise and process-based solutions help companies access growth capital, make acquisitions, and/or prepare for and execute liquidity events to achieve specific financial goals. In order to provide securities-related services discussed herein, certain principals of Founders are licensed with M & A Securities Group, Inc. or Founders M&A Advisory, LLC, both members of member FINRA & SiPC. M&A Securities Group and Founders are unaffiliated entities. Founders M&A Advisory is a wholly-owned subsidiary of Founders. For more information, please visit www.foundersib.com.