Mid Cap Best & Worst Report - February 3, 2016

  • The top mid cap sectors are utilities and consumer goods.
  • Packaging & containers is the best scoring industry.

The average mid cap score is 55.76 and that's above the four week moving average score of 52.86. The average mid cap stock in our universe is trading -30.36% below its 52 week high, -10.88% below its 200 dma, has 6.28 days to cover held short, and is expected to post EPS growth of 12.84% in the coming year.

Utilities, consumer goods, and technology score above average. Financials and services score in line with the mid cap average score. Healthcare, industrial goods, and basic materials score below average and should be underweight in portfolios.

Packaging & containers (BMS, MINI) is the top scoring mid cap industry. Semi equipment (SPIL, TER), industrial electrical (LFUS, BDC, AOS), application software (LOCK, NUAN, MANH), and business software (WBMD, ROVI, CTSH) also score high.

In mid cap basics, only synthetics (MTX, CMP) are high scoring. Packaging & containers and processed & packaged goods (GIS, FLO) can be bought in consumer goods. REITs (REG, NNN, CLI, BDN) are best in financials. Medical instruments (HAE, TFX, WST, PKI) and healthcare plans (CNC, HNT) are top scoring in healthcare. Industrial electrical equipment is the best scoring industrials basket. Trucking (KNX, ODFL), restaurants (WEN, CBRL, CAKE), and business services (HPY, DLX, CMPR, HCSG, GPN) are strongest in services. The top technology groups are semi equipment, application software, and business software. Gas utilities (NJR) can also be bought.

Historically, consumer goods have been solid performers in February and March. The following chart shows how the XLP has performed by month relative to the SPY over the past decade.

 

Disclosure: None.

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