Boeing sale, data-center M&A and mixed industrial results are driving fresh repricing across the industrial complex. Jeppesen ForeFlight separated from Boeing (NYSE:BA) in a $10.55 billion deal and relaunches as a private digital aviation company. Vertiv (NYSE:VRT) and Eaton (NYSE:ETN) pushed further into liquid cooling for data centers with deals totaling about $1 billion and $9.5 billion respectively. On the earnings front, AGCO (NYSE:AGCO) reported tighter sales but stronger margins, while MasTec (NYSE:MTZ) posted 22% top-line growth in Q3. These moves matter now because M&A accelerates consolidation, rates and a government shutdown are lifting Treasury yields, and AI-driven data-center demand is increasing capital intensity globally and regionally.

Headlines

The biggest corporate actions set the tone. Jeppesen ForeFlight completed its separation from Boeing (NYSE:BA) in an all-cash sale valued at $10.55 billion. Thoma Bravo now backs the newly independent aviation-software company, and Brad Surak will lead as CEO. The transaction repositions a formerly embedded Boeing business as a pure-software operator with scale and private-equity backing, accelerating product investment and potential bolt-ons.

Vertiv (NYSE:VRT) agreed to buy PurgeRite for roughly $1 billion to expand its liquid-cooling services, a direct reaction to surging demand for efficient AI data-center cooling. Eaton (NYSE:ETN) separately agreed to acquire Boyd Thermal in a $9.5 billion deal, signaling the same read-through: power and thermal management are now strategic priorities. These transactions reflect global demand—US hyperscalers and European cloud builders both face tightening capacity and higher construction costs.

On the results front, AGCO (NYSE:AGCO) reported Q3 sales of $2.48 billion, down 4.7% year-on-year, while non-GAAP EPS of $1.35 beat consensus by about 11.1%. MasTec (NYSE:MTZ) posted revenue of $3.97 billion, up 22% year-on-year, and lifted full-year revenue guidance slightly above estimates. BWX Technologies (NYSE:BWXT) closed its Q3 reporting cycle with an earnings presentation and follow-up call, putting defense and naval nuclear work in focus as political support grows for domestic nuclear capabilities. UPS (NYSE:UPS) completed the acquisition of Andlauer Healthcare Group for about $1.6 billion, expanding cold-chain logistics in North America.

Sector pulse

M&A and capital spending on data-center infrastructure are now the dominant themes. Buyers are paying premiums for specialized assets that reduce energy use or add recurring-service income. Vertiv and Eaton together are buying thermal expertise at scale. These moves are reshaping the addressable market for power and cooling and accelerating consolidation in a category that was once fragmented.

Earnings show two speed regimes. Contractors and infrastructure names like MasTec (NYSE:MTZ) benefit from large backlog and project awards, reporting double-digit organic growth. Equipment and agricultural suppliers such as AGCO (NYSE:AGCO) face softer demand but are squeezing margins through cost controls and pricing. Defense suppliers enjoy a steady backlog boost, while logistics and healthcare distribution see strategic M&A to capture higher-margin cold-chain services.

Macro and policy are weighing on valuations. Treasury yields rose as the U.S. government shutdown pushed toward an historic duration and Fed officials signaled indecision on a December rate cut. Higher yields raise the discount rate for long-duration industrial investments and make financing larger deals costlier in the short term. Globally, China’s weak PMI readings continue to weigh on commodity demand, tempering industrial capex in some segments but not on hyperscale cloud demand that drives data-center spending.

Winners & laggards

Boeing (NYSE:BA) looks like a near-term winner on strategic simplification. The $10.55 billion ForeFlight sale turned a digitally advantaged unit into a stand-alone company that can pursue software margins and recurring revenue without being tied to Boeing’s aerospace cycle. The transaction also drew an analyst upgrade and lifted BA stock in recent sessions.

Vertiv (NYSE:VRT) and Eaton (NYSE:ETN) are winners in the data-center thermal race. VRT’s ~$1 billion PurgeRite deal expands liquid-cooling services, increasing recurring-service revenues that typically trade at higher multiples than hardware sales. Eaton’s $9.5 billion purchase of Boyd Thermal scales its thermal portfolio and shows a willingness to pay for strategic capabilities. These deals should support longer-term margin resilience if integration succeeds.

MasTec (NYSE:MTZ) qualifies as a near-term outperformer. Q3 revenue rose 22% to $3.97 billion, and guidance edged above consensus. The company benefits from infrastructure spending and diversified end-markets. Conversely, AGCO (NYSE:AGCO) is mixed. Q3 revenue fell 4.7% to $2.48 billion, but non-GAAP EPS of $1.35 beat estimates by about 11.1%. The revenue miss highlights agricultural demand pressure, while margin expansion shows effective cost management. Investors should weigh top-line risk against profitability improvement.

BWX Technologies (NYSE:BWXT) remains a defense play with tailwinds. Its Q3 materials and earnings deck reinforce a strong backlog tied to naval nuclear programs. However, the sector faces execution risk on large government contracts and potential delays in deliveries—an issue raised elsewhere for RTX (NYSE:RTX) and Lockheed Martin (NYSE:LMT) on specific supply-chain constraints to Taiwan.

What smart money is watching next

• Fed policy and Treasury yields: Watch upcoming market reaction to the prolonged U.S. government shutdown and any shifts in Fed rhetoric. The October manufacturing PMI release and data-flow this week will influence rate expectations and financing costs for large deals.
• Earnings and guidance updates: TransDigm (NYSE:TDG) will report on November 12. Investors will compare margins and pricing power against peers. BWXT’s detailed Q3 slides and transcript provide backlog color that can inform defense exposure sizing.
• Deal close and integration milestones: Vertiv’s PurgeRite acquisition and Eaton’s Boyd deal target Q4 close windows. Look for integration plans, cross-selling targets, and incremental annualized synergies that underwrite purchase multiples.

Closing take-away

Strategic M&A for high-efficiency, recurring-revenue assets and divergent earnings momentum are now the single biggest themes for industrial investors. Buyers are paying up for thermal and software assets that lower operating cost or add service income, while earnings show a two-speed market: infrastructure and defense growth, and cyclically weaker but margin-improving equipment names. With yields higher and macro data mixed, investors should focus on companies with clear backlog, proven integration plans and exposure to data-center electrification.