Large Cap Best & Worst Report - May 3, 2016

  • The best large cap sectors are utilities, industrials, and basic materials.
  • The highest scoring large cap industry is insurance brokers.

The average large cap score is 59.76, roughly in line with the four week average score of 59.79. Across our large cap universe, the average stock is trading -17.69% below its 52 week high, 4.5% above its 200 dma, has 4.74 days to cover held short, and is expected to increase its EPS by 14.02% in the coming year.

Utilities, industrials, and basics score best in large cap. Healthcare and consumer goods score in line with the average score. Services, technology, and financials score below average.

The strongest large cap industry is insurance brokers (MMC, AJG, AON). Major chemicals (EMN, APD, SHW, ASH), diversified utilities (NI, SCG, EXC, WEC, PEG, PCG, ED), processed & packaged goods (CPB, MJN, K, MKC), and scientific & technical instruments (MTD, A, GRMN) are also top scoring. 

Major chemicals, independent oil & gas (PXD, OXY, COG, EOG, RRC, ECA, APA), and steel & iron (TX, TS, SID, NUE, GGB) score best in basics. Processed & packaged goods, cigarettes (PM, MO), and textiles (LULU, COH, UA) can be bought in consumer goods. The strongest financials baskets are insurance brokers, credit services (DFS, SLM, EFX), and REITs (DLR, VTR, HCN, BXP). Medical instruments (BCR, BSX, SYK, BDX, BAX), healthcare plans (AET, UNH), and medical appliances (EW, MDT, ZBH) are top scoring in healthcare. The best industrials industries are diversified machinery (IR, DOV, ITW), industrial equipment (PH, PNR), and aerospace/defense (BA, NOC, HON, TDG). Railroads (KSU, CSX, UNP), air delivery & freight (EXPD, FDX), and restaurants (YUM, MCD) score high in services. Scientific & technical instruments, domestic telecom (T, CTL), and diversified communication (AMT) services are best in technology. Diversified utilities and electric utilities (NEE, DTE, ETR, EIX) can also be owned. 

Disclosure: None.

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