However hard the market slams a stock, there's always the chance it'll come bouncing right back. We'll consult our Motley Fool CAPS community to find shares on the rebound, examining one specific sector of the economy in search of companies with rising CAPS ratings.         

Among the 487 stocks listed under industrial goods in the CAPS' screener, we've unearthed more than a few with five-star ratings. Those accolades mean our 145,000 CAPS members are confident that these stocks will beat the market in the months ahead, but let's see what members are saying about the five below:

Company

CAPS Rating Today

Recent Price

52-Week Price Change

Est. 5-Year Growth Rate

American Science & Engineering (NASDAQ:ASEI)

*****

$81.12

4%

17%

Fluor (NYSE:FLR)

*****

$49.12

10%

11%

Graham (NYSE:GHM)

*****

$19.72

107%

25%

Manitowoc (NYSE:MTW)

*****

$12.79

84%

(15%)

Terex (NYSE:TEX)

*****

$23.41

56%

6%

Source: Motley Fool CAPS; Yahoo! Finance.

As broader market averages have staged a pretty bold recovery since their depths back in March, even industrial goods stocks have had a pretty strong run-up, being some of the best investments over the past month. The average company is up more than 58% from the year-ago period, including a bunch of winners from China, like diesel engine maker China Yuchai, which has more than quadrupled in value. No doubt government stimulus spending has boosted returns of some businesses there.

So let's take a closer look at why investors think that some of these other companies won't be jumping from the frying pan into the fire from the market's lofty heights.

Some spring in its step
Hooray! Not only has China's stimulus program made an impact, but President Obama's profligate spending program has also saved an incredible 2 million jobs. Forget that unemployment remains at 10%, the underemployment rate (those who work part time or who have just given up looking for a job) stands at 17%, or that the market analysts at RealtyTrac forecast foreclosures will hit a record 3 million homes this year. The stimulus program has been a success! That's a solid B+ effort.

Certainly price inflation of stocks has been a side benefit of government spending, whatever you believe about the merits of the job creation claims. While Manitowoc has done better than some, it hasn't done nearly as well as Bucyrus International (NASDAQ:BUCY) or Joy Global (NASDAQ:JOYG), perhaps because of its heavy exposure to commercial and high-rise residential construction. Crane sales, which used to account for 84% of its revenues, were cut in half last quarter and were down 26% sequentially. As the Fed's "beige book" just highlighted, even where the economy did show signs of improvement, the commercial construction sector deteriorated as demand and financing remained extremely weak.

Highly rated CAPS All-Star rdpatton believes that as more stimulus funds are pumped into the economy -- the program really was backloaded so that most of the monies are dispersed in later years -- Manitowoc will be the beneficiary.

That's not too far from what Varchild2008 wrote when he created his idea of "reverse cynicism" as a means of picking stock winners:

So what is my point in all this?    2 sectors:  Housing Construction/Mining  =  BIGGEST 2010 SECTORS in the STOCK MARKET.....  They are up Big today and up HUGE already this year!

Bottom line.....  Check your Cynicism at the door.... the Market is buying what you hate!

You might not believe the line the government is feeding you about how successful its efforts are, but the market is, and you just might be better off doing the opposite of what your brain is telling you is right.

Whether it's cynicism or something else, 97% of the CAPS members rating the heavy-equipment maker believe it will outperform the market. Join them on the Manitowoc CAPS page to build on the consensus of future growth.

The ball's in your court
There are many factors that go into whether a stock is a buy or sell, so it pays to start your own research on these stocks on Motley Fool CAPS. Read a company's financial reports, scrutinize key data and charts, and examine the comments your fellow investors have made -- all from a stock's CAPS page. Head over to CAPS today and share your thoughts with other investor analysts on whether you think these stocks are ready to bound higher.

American Science & Engineering is a Motley Fool Rule Breakers recommendation. The Fool owns shares of Terex. Try any of our Foolish newsletter services today, free for 30 days.

Fool contributor Rich Duprey does not have a financial position in any of the stocks mentioned in this article. You can see his holdings here. The Motley Fool has a disclosure policy.