US Electrical Equipment & Multi-Industry: EE/MI Morning Note - July ISM of 55+? Earnings incoming and wraps (TT, FLS, AOS, MOD, SPXC)

Research evidence excerpt

US Electrical Equipment & Multi-Industry: EE/MI Morning Note - July ISM of 55+? Earnings incoming and wraps (TT, FLS, AOS, MOD, SPXC)

Global Research

31 July 2026ab

US Electrical Equipment & Multi-Industry Equities

AmericasEE/MI Morning Note - July ISM of 55+? Earnings

incoming and wraps (TT, FLS, AOS, MOD, SPXC) Industrial, Diversified

Amit Mehrotra

Analyst

amit.mehrotra@ubs.com

55+ July ISM? Based on regional Fed surveys, our model suggests the July ISM Mfg. +1-201-352 1410

index (to be reported on Monday, August 3) will remain expansionary. This would

Neal Burk

indicate that the environment remains accommodative for short cycle activity improving,

following several years of weakness; and would be the seventh month in a row of neal.burk@ubs.com

expansion. So far this earnings season, we have seen growth improving, with companies +1-212-713 4066

including 3M, Dover, and Fastenal. Our capex tracker has a shown a meaningful positive

Pratap Singh

revision in 2027 capex expectations. Not only are hyperscalers spending more, but

spending plans are also becoming more broad-based: 45% of S&P 500 companies are pratap-za.singh@ubs.com

now expected to increase capex by more than 10%, compared with 35% at this point +1-212-821 3112

last year.

Zachary Walljasper

Associate Analyst

Earnings incoming- Later this morning, we will be getting earnings releases from NVT, zachary.walljasper@ubs.com

GTES, and ETN after the close. Below are our summary thoughts of each heading into +1-212-713 9829

the quarter; our larger 2Q preview can be found here.

NVT- We expect 2Q results and forward commentary to be supportive of our

positive thesis on NVT shares. Specifically, we expect organic sales growth of 26%

year over year, organic order growth above that (30%+), and progress on margins.