• The best large cap sector is utilities.
  • The top large cap industry is diversified utilities.
  • The average score across large cap is 50.87, which is below the four week average score of 52.29. The average large cap stock in our universe is trading -29.09% below its 52 week high, -12% below its 200 dma, has 4.28 days to cover held short, and is expected to grow its EPS by 11.06% in the coming year.

    Utilities, industrials, and consumer goods score above average. Healthcare and technology score in line. Services, financials, and basic materials score below average.

    The following chart shows historical large cap scores since 2008.

    The industry ranking is defensive. The top scoring industry is diversified utilities (SCG, WEC, NI, ED, PCG, EXC). Cigarettes (PM, RAI), telco (T, VZ), REITs (DLR, O, KIM, HCN, UDR, SPG, CPT), and aerospace/defense (RTN, LMT, NOC, HON, BA) are also high scoring.

    In large cap basics, buy major chemicals (APD, FMC, EMN, ASH), pipelines (SE), and ag chemicals (DD, AGU). Cigarettes, processed & packaged goods (CPB, SJM, MKC, K), and personal products (KMB, EL) are top scoring in consumer goods. The best financials industries are REITs and insurance brokers (AON). In healthcare, concentrate attention on medical appliances (ISRG, EW, VAR, ZBH) and healthcare plans (AET, ANTM). Aerospace/defense, industrial equipment (PH), and diversified machinery (XYL, ITW) can be bought in industrial goods. Wholesale drugs (MCK, CAH), railroads (CSX, UNP, KSU), and discount stores (TGT, DLTR) are best in services. The top technology baskets are domestic telecom, semi equipment & materials (CREE, KLAC), and specialized semiconductors (XLNX, MCHP). Diversified and electric utilities (XEL, DTE, NEE, DUK, AEP) can also be bought.

     

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