Trump’s tariffs are not priced in, and these stocks could be affected

Wolfe Research analysts put together a basket of stocks that could see potential risks amid the proposed increase in tariffs by the upcoming Trump administration.

“We believe that tariff risks are not priced into the stocks generally, and we expect the basket to trade on tariff news flow in the coming months after Trump is inaugurated,” said Chris Senyek, chief investment strategist at Wolfe Research, in a note.

The following stocks could be at risk under a 10% universal tariff and/or a 60% China tariff.

Within capital goods

• Caterpillar (CAT)
• Cummins (CMI)
• Fastenal (FAST)
• Fortune Brands Innovations (FBIN)
• W.W. Grainger (GWW)
• Lennox International (LII)
• Regal Rexnord (RRX)
• Simpson Manufacturing (SSD)
• Stanley Black & Decker (SWK)
• Deere & Co. (DE)

Within transportation

• Canadian Pacific (CP)

Within consumer durables and apparel

• Crocs (CROX)
• Hasbro (HAS)
• Lululemon Athletica (LULU)
• Mattel (MAT)
• PVH Corp. (PVH)
• Ralph Lauren (RL)
• Skechers U.S.A. (SKX)
• YETI Holdings (YETI)

Within automobiles and components

• Aptiv Plc (APTV)
• American Axle & Manufacturing (AXL)
• Magna International (MGA)
• Stellantis N.V. (STLA)

Within consumer discretionary distribution and retail

• American Eagle Outfitters (AEO)
• Abercrombie & Fitch (ANF)
• Dick’s Sporting Goods (DKS)
• Five Below (FIVE)
• Floor & Décor Holdings (FND)
• Williams-Sonoma (WSM)

Within household and personal products

• Estee Lauder Cos. (EL)
• e.l.f. Beauty (ELF)
• Spectrum Brands (SPB)

Within consumer staples distribution and retail

• Dollar General (DG)
• Dollar Tree (DLTR)