Obama's 2014 budget: Winners and losers

Who stands to gain -- and who doesn't -- from the president's new proposal?

By Benzinga Apr 11, 2013 2:21PM
U.S. President Barack Obama holds a news conference from the White House, Larry Downing, Reuters By Jim Probasco

President Barack Obama's proposed $3.8 trillion budget is designed to cut the deficit by $600 billion over 10 years, after factoring in the negation of cuts already enacted under the sequester, according to The Associated Press.


Depending on the framework of the final budget, some businesses will almost certainly see a more direct impact on their bottom line than others.


Here are a few selected examples, broken down by government agency:


Agriculture

The President's proposal, made in the past to cut $37.8 billion by eliminating some direct farm subsidies and reducing government help for crop insurance and never enacted, would affect a variety of corporations with ties to farming and agriculture.


Proposed changes to the food aid program could negatively affect farmers, leaving less money for discretionary spending and innovation. Examples include: Archer Daniels Midland (ADM), Deere (DE) and Monsanto (MON).


Defense

Ending or shrinking certain weapons programs would obviously hurt defense contractors like Lockheed Martin (LMT), Boeing (BA), and Northrop Grumman (NOC), to name a few.


Energy

The President's proposed $615 million increased investment in solar, wind, geothermal and hydropower, as well as $282 million to develop new biofuels, is good news for companies like First Solar (FSLR), SunPower (SPWR), Green Plains 

Renewable Energy (GPRE), and Ballard (BLDP), a maker of fuel cells.


Repealing $4 billion per year in tax subsidies to oil, gas and other fossil fuel producers on the other hand, would not be welcomed by Exxon Mobil (XOM), Shell (RDS.A), Marathon (MRO) and others in the oil and gas sector.


Interior

The news for fossil fuel producers doesn’t get better in the Department of Interior part of the budget where the President is proposing new fees for the oil and gas industry to pay for the processing of permits.


Health and Human Services

Spending increases in the Health and Human Services budget due to Obamacare along with an increase in Medicaid spending is helpful to Pfizer (PFE), GlaxoSmithKline (GSK) and others in the health care sector.


Transportation

Finally, if the President gets his way and $50 billion is set aside to pay for improving the nation's roads, bridges, transit systems, border crossings, railways and runways, companies like Caterpillar (CAT) will rejoice.


Likewise, passage of a $40 billion rail reauthorization program to upgrade existing intercity passenger rail services, develop new high speed rail corridors, and strengthen the overall competitiveness of the freight rail system will be welcomed by CSX (CSX) and others in the rail channel.


More from Benzinga

42Comments
Apr 11, 2013 3:18PM
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Why do I have this sinking feeling that the American taxpayer will be a loser in this?
Apr 11, 2013 3:10PM
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What do you expect from a socialist?  3 years and 8 months to go and he will be history and what a history he will leave - how not to act like a President.
Apr 11, 2013 3:25PM
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The American People are the real losers....  This  budget will crush the economy if it ever sees the light  of day.   It will increase the number of poor and destitute, like Obama has done the last 4 years...

"57 States" is a Lazy, Arrogant, Inept, Corrupt, Classless Imbecile...  

Apr 11, 2013 3:23PM
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Obama math.... Increasing the budget  = cutting the deficit.

Obamanomics....Spending more = saving more.

Apr 11, 2013 3:17PM
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Wow - I just read that a Nobel Prize medal was auctioned for over $2M.  President Obama - if you want to help your country, in addition to giving up 5% of your salary perhaps you ought to sell the Nobel Medal you received.  You did not do anything to earn it but perhaps you can pawn it off and give the American people back something of value...
Apr 11, 2013 4:04PM
Apr 11, 2013 5:36PM
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No wonder this country has gone to hell.
Apr 11, 2013 5:25PM
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Class warfare at it's best the 99 percenters are getting demolished  maybe it would be a better country if it was socialist or communist country those liars in the press and congress brainwashing the world hmmm some democracy

Apr 11, 2013 6:45PM
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If anyone actually votes for a Obama type Budget that cuts Social Security, they will lose in the next election cycle. That's a good thing for America. Heck, lets get rid of the entire Congress. Start fresh.
Apr 11, 2013 5:43PM
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Pfizer gets more????  Are they one of the legal drug lords that already kills many people, especially the older generation with their pills?  I do think the only way to survive in this country is for the people to take control of the government.  They have had their chance.  Now, it should be the people who cut the lifeline to government.  Just say NO!  NO, I will not go to work tomorrow!  NO, I will not make any money tomorrow for sam to get and waste.  NO, I will not contribute to anyone's EBT card tomorrow!  NO, I will not get up at 6 AM tomorrow!  If all Bullymerica workers took off Friday and made themselves a long weekend, what would sam do?  Oh, taking off Monday too would give a Four Day Weekend!  Heck....Bullymerica's workers are as good as CONgress...maybe they should only work 126 days a year!!
Apr 11, 2013 5:35PM
Apr 11, 2013 6:40PM
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  How about this, stop or even cut the number of House members and limit to a set number just like the Senate.

 

Hell, they are all millionaires anyway, so why would they worry about Social Security or anything else that the American people have been depending on and promised for years.

 

Oh by the way, refund Social Security the 2 trillion that you borrowed (stole) to finance the war in the Middle East.

Apr 11, 2013 7:04PM
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More ruining of AMERICA'S ECONOMY.....he doesn't have a clue.
Apr 11, 2013 7:07PM
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President Freerider would not know a budget if it fell on his stupid head....People need to realize this guy was raised a Liberal Commie and has been living off the taxpayers money most of his life. He will suck the working people dry to support his Marxist Agenda.

 

The Tea Party Patriots,Conservatives and Freedom Loving Americans will get things back on track in 2014.

Apr 12, 2013 6:25AM
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Obama's budget:

 

Winners = Socialists and uber wealthy

Losers = American middle class taxpayers and old folks

 

Apr 12, 2013 8:06AM
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The simplest math reveals the presidents budget as a scam. There is simply no way to stand in a public forum and declare defecit and spending  reductions when a slow witted moron can figure out that the defecit will be $5 trillion greater at the end of his second term, or around $60,000/household in addition to current levels.- 44% of it borrowed

This should scare h--- out of everyone, even the takers and slackers knowing.their government ATM will soon enough be out of cash.

 

Apr 12, 2013 10:44AM
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Unfortunately, with the invention of TV and other forms media, and now, unlimited funds, it has turned the election process into a popularity contest, and whoever has the most financial backing wins. It will be better if each candidate submitted a resume that was fact checked by an independent 3RD party group.
Apr 11, 2013 6:53PM
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I think everyone should "ask your doctor" if they have a pill for this budget.  I was trying to watch the news about the "Unclassified document" that some old geezer CONgress brat was talking about. I don't believe one word of that.  I think it was put out intentionally to rack up support for a strike on North Korea like they used the "tonkin incidents" of 1964 to gain support for an attack on Vietnam and the "WMD's " to attack Iraq.  I don't believe anything Bullymerica says.  But, trying to watch the news, I heard "ask your doctor, tell your doctor, call your doctor" over and over! I finally changed the channel and DAMN!!!  I letf a viagra "ask your doctor...don't take if you have an erection mor than 4 hours junk to the other channel only to hear "ask your doctor" if bayer is right for you!  DAMN our CONgress for allowin\g it!!!!
Apr 11, 2013 10:09PM
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CRAZY 8`s:You gave me the best laugh I`ve had all day.The TEA PARTY is modern day

nazis.Who are led around by their noses by the convicted Koch brothers.How can the TEA

party idiots be that stupid?

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