Despite Caterpillar's Slide, Canadian Heavy Equipment Dealers Doing Fine

With Catepillar Inc. (CAT) shares down almost 10% in New York on the heavy equipment dealer's terrible fourth quarter and dismal 2009 guidance, it appeared a safe bet to assume Canada's heavy equipment sector would have a rough ride on markets Monday.

Desjardins analyst Benoit Poirier, for one, said before markets opened that

Finning (FINGF.PK), Toromont (TMTNF.PK) and, to a certain extent, Wajax and Strongco should all be under pressure today as their current earnings estimates do not reflect the negative global outlook for the heavy equipment sector issued by Caterpillar.

Through morning trading, Mr. Poirier is batting around .500 with Finning International Inc. down 3% and Strongco Income Fund, down almost 8%. Meanwhile, Toromont Industries Ltd. is up around 9¢ and Wajax Income Fund has climbed C$0.22.