Home-improvement demand is giving tool and equipment makers a lift, with Stanley Black & Decker, Toro and Deere all trading well above their longer-term trend lines as consumers keep spending on projects and repairs.
Stanley Black & Decker, Toro, Deere trade above trend lines
The setup matters because discretionary DIY purchases often soften when households get cautious, but the latest spending backdrop suggests the category is still holding up. Adalytica’s Consumer Spending Sentiment is at 96, labeled Extreme Greed, while retail goods sentiment has recovered to neutral, a sign that consumers remain willing to spend on home and garden projects even as broader retail signals have been choppier.
For investors, that supports pricing power and volumes in names tied to tools, lawn care and outdoor equipment. Stanley Black & Decker closed at $94.58 on July 31, above its 50-day moving average of $85.72 and 200-day average of $76.85, while Deere finished at $592.67, also above its 50-day and 200-day averages. Toro, trading at $91.87, is hovering near its 50-day moving average of $92.55 and above its 200-day average of $87.55.
The technical picture is still constructive across the group, though momentum has cooled from recent highs. Stanley Black & Decker’s RSI reading of 67.1 and Deere’s 52.6 suggest neither stock is deeply stretched, while Toro’s RSI of 46.1 points to a more neutral setup after a pullback from its recent run-up.
The broader narrative is that consumers are still choosing practical purchases over bigger-ticket discretionary goods, which tends to favor tools, maintenance equipment and home-improvement brands. That leaves the sector positioned for another test if spending sentiment stays hot into late summer and if retailers keep reporting healthy demand for project-driven categories.
| Entity | Gains | Losses |
|---|---|---|
| Stanley Black & Decker | ▲DIY tool demand | ▼bargain-hunting rivals |
| Toro | ▲Lawn and outdoor purchases | ▼slower-demand competitors |
| Deere | ▲Equipment replacement spending | ▼cautious buyers delaying upgrades |
| Consumers | ▲discount value on tools | ▼full-price purchases |
