The Dow Jones Industrial Average has been a reliable tracker of 30 top U.S. companies, offering investors long-term returns of over 10% annually in the last 20 years, amounting to a 350% gain. Industrial giants like Caterpillar and Honeywell International are leading the index in 2026, with gains of 22.7% and 18.36% year-to-date (YTD).

Caterpillar, a construction and mining equipment leader, has seen its shares rally significantly over the past year due to strong demand in agriculture and manufacturing markets. The company’s stock reached a high of $710.03 on Feb. 3, driven by impressive fourth-quarter and fiscal 2025 results, but faced challenges from manufacturing costs impacted by tariffs.

Honeywell International, a conglomerate specializing in aerospace and building automation, reported a 6% increase in revenue in Q4, driven by demand in aerospace technologies. Despite some margin pressure, the company’s adjusted EPS exceeded expectations. Honeywell projects 3%-6% organic growth for 2026 and is considering business transformations to enhance operational efficiency.

Both Caterpillar and Honeywell have garnered positive ratings from Wall Street analysts, with consensus “Moderate Buy” ratings. Analysts are optimistic about the future prospects of both companies, with price targets indicating potential upside in the stock prices.

Read more at Yahoo Finance: 2 Top Dow Stocks to Buy Now for Calm in the Storm