Large Cap Report: Best And Worst
he highest scoring names in large cap from 1 year ago (1/29/2013) returned 334 bps more than the S&P 500. The best performers have been YHOO up 92%, BSX up 88%, and LNKD up 75%.
- The best large cap sector is industrial goods
- The best industry is lodging.
The average large cap score is 64.63, below the 68.29 four week moving average. The average large cap stock is trading 11% below its 52 week high, 3.21% above its 200 dma, has 4.3 days to cover short, and is expected to see EPS growth of 12.67% next year.
The top scoring large cap sector remains industrial goods, supported by optimism over improving Europe and manufacturing growth in the U.S. and Mexico. Healthcare also scores above average. Notably, technology moves to above average this week -- the first time in a long time we've seen that group score highly. Services score in line. Consumer, financials, basics and utilities score below average.
LG CAP | 1/30/2014 | 4 Week MA | |||
Company Name | Symbol | Sector | INDUSTRY | SCORE | SCORE |
BEST | |||||
Autozone | AZO | SERVICES | AUTO PARTS STORES | 110 | 110 |
Microchip Tech | MCHP | TECHNOLOGY | SEMICONDUCTOR-SPECIALIZED | 110 | 110 |
Omnicare | OCR | SERVICES | DRUG STORES | 110 | 108.75 |
Verisign | VRSN | TECHNOLOGY | INTERNET SOFTWARE & SERVICES | 110 | 110 |
Allergan | AGN | HEALTHCARE | DRUG MANUFACTURERS | 105 | 105 |
Ameriprise Finl Inc | AMP | FINANCIALS | ASSET MANAGEMENT | 105 | 106.25 |
Amphenol Corp | APH | TECHNOLOGY | DIVERSIFIED ELECTRONICS | 105 | 103.75 |
Walt Disney Company | DIS | SERVICES | ENTERTAINMENT- DIVERSIFIED | 105 | 105 |
Corning | GLW | TECHNOLOGY | COMMUNICATION EQUIPMENT | 105 | 105 |
Mylan Labs | MYL | HEALTHCARE | DRUGS-GENERIC | 105 | 106.25 |
Open Text | OTEX | TECHNOLOGY | INTERNET SOFTWARE & SERVICES | 105 | 98.75 |
Sigma Aldrich | SIAL | HEALTHCARE | SPECIALTY CHEMICALS | 105 | 106.25 |
Alexion Pharma | ALXN | HEALTHCARE | DRUG MANUFACTURERS | 100 | 98.75 |
Aon Corp | AON | FINANCIALS | INSURANCE BROKERS | 100 | 97.5 |
Arrow Electronics Inc | ARW | SERVICES | ELECTRONICS WHOLESALE | 100 | 97.5 |
Boeing | BA | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 100 | 102.5 |
C.R. Bard Inc. | BCR | HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 100 | 98.75 |
Core Lab | CLB | BASIC MATERIALS | OIL & GAS EQUIPMENT & SERVICES | 100 | 98.75 |
Covance Inc. | CVD | HEALTHCARE | RESEARCH SERVICES | 100 | 92.5 |
Express Scripts | ESRX | SERVICES | MANAGEMENT SERVICES | 100 | 98.75 |
Hyatt Hotels | H | SERVICES | LODGING | 100 | 100 |
Helmrich & Payne Inc | HP | BASIC MATERIALS | OIL & GAS DRILLING & EXPLORATION | 100 | 98.75 |
Illumina | ILMN | HEALTHCARE | BIOTECHNOLOGY | 100 | 98.75 |
O'Reilly Auto | ORLY | SERVICES | AUTO PARTS STORES | 100 | 93.75 |
Range Resources Corp | RRC | BASIC MATERIALS | INDEPENDENT OIL & GAS | 100 | 86.25 |
Thermo Electron Corp. | TMO | CONGLOMERATES | CONGLOMERATES | 100 | 100 |
Texas Instruments | TXN | TECHNOLOGY | SEMICONDUCTOR- BROAD LINE | 100 | 96.25 |
Visa Inc. | V | SERVICES | BUSINESS SERVICES | 100 | 100 |
Apple Computer | AAPL | TECHNOLOGY | PERSONAL COMPUTERS | 95 | 95 |
Actavis | ACT | HEALTHCARE | DRUGS-GENERIC | 95 | 96.25 |
Adobe Systems | ADBE | TECHNOLOGY | APPLICATION SOFTWARE | 95 | 93.75 |
Beam Inc. | BEAM | CONSUMER GOODS | BEVERAGES - WINERIES & DISTILLERS | 95 | 87.5 |
BE Aerospace Inc | BEAV | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 93.75 |
Biogen | BIIB | HEALTHCARE | BIOTECHNOLOGY | 95 | 93.75 |
Borg Warner | BWA | CONSUMER GOODS | AUTO PARTS | 95 | 96.25 |
C F Industries Hldngs | CF | BASIC MATERIALS | AGRICULTURAL CHEMICALS | 95 | 96.25 |
Check Point Software Technologies Ltd | CHKP | TECHNOLOGY | SECURITY SOFTWARE & SERVICES | 95 | 93.75 |
Comcast | CMCSA | SERVICES | CATV SYSTEMS | 95 | 93.75 |
Cabot Oil & Gas Corp | COG | BASIC MATERIALS | INDEPENDENT OIL & GAS | 95 | 73.75 |
Amdocs Ltd | DOX | TECHNOLOGY | BUSINESS SOFTWARE & SERVICES | 95 | 93.75 |
Eaton Corp | ETN | INDUSTRIAL GOODS | INDUSTRIAL ELECTRICAL EQUIPMENT | 95 | 92.5 |
Fluor Corp | FLR | INDUSTRIAL GOODS | HEAVY CONSTRUCTION | 95 | 93.75 |
Flowserve Corp | FLS | INDUSTRIAL GOODS | DIVERSIFIED MACHINERY | 95 | 92.5 |
Starwood Hotels and Resorts Worldwide | HOT | SERVICES | LODGING | 95 | 93.75 |
Jarden Corp | JAH | CONSUMER GOODS | HOUSEWARES & ACCESSORIES | 95 | 93.75 |
Jacobs Engineering | JEC | SERVICES | TECHNICAL SERVICES | 95 | 95 |
Michael Kors | KORS | SERVICES | APPAREL STORES | 95 | 90 |
Lennar Corp | LEN | INDUSTRIAL GOODS | RESIDENTIAL CONSTRUCTION | 95 | 96.25 |
L3 Communications | LLL | SERVICES | SECURITY & PROTECTION SERVICES | 95 | 93.75 |
Lockheed Martin | LMT | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 93.75 |
L S I Logic | LSI | TECHNOLOGY | SEMICONDUCTOR-SPECIALIZED | 95 | 93.75 |
Marriot International Inc | MAR | SERVICES | LODGING | 95 | 93.75 |
Northrup Grumman | NOC | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 95 |
Newell Rubbermaid | NWL | CONSUMER GOODS | HOUSEWARES & ACCESSORIES | 95 | 95 |
Priceline.com Inc. | PCLN | TECHNOLOGY | INTERNET SERVICE PROVIDERS | 95 | 93.75 |
Polaris Industries Partners | PII | CONSUMER GOODS | RECREATIONAL VEHICLES | 95 | 95 |
Packaging Corp. of America | PKG | CONSUMER GOODS | PACKAGING & CONTAINERS | 95 | 93.75 |
PNC Fin'l Svcs. Grp. | PNC | FINANCIALS | MONEY CENTER BANKS | 95 | 78.75 |
Rite Aid Corp | RAD | SERVICES | DRUG STORES | 95 | 93.75 |
St. Jude | STJ | HEALTHCARE | MEDICAL APPLIANCES & EQUIPMENT | 95 | 95 |
Skyworks Solutions | SWKS | TECHNOLOGY | SEMICONDUCTOR- INTEGRATED CIRCUITS | 95 | 93.75 |
Southwestern Energy | SWN | BASIC MATERIALS | INDEPENDENT OIL & GAS | 95 | 73.75 |
Transdigm Group Inc. | TDG | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 95 |
Tyco Int'l | TYC | TECHNOLOGY | DIVERSIFIED ELECTRONICS | 95 | 92.5 |
Universal Health | UHS | HEALTHCARE | HOSPITALS | 95 | 95 |
Valeant Pharma | VRX | HEALTHCARE | DRUG MANUFACTURERS | 95 | 93.75 |
Wyndham Worldwide | WYN | SERVICES | LODGING | 95 | 92.5 |
WORST | |||||
China Mobile (Hong Kong) Ltd | CHL | TECHNOLOGY | WIRELESS COMMUNICATIONS | 15 | 15 |
China Unicom | CHU | TECHNOLOGY | WIRELESS COMMUNICATIONS | 20 | 22.5 |
Nissan Motors | NSANY | CONSUMER GOODS | AUTO MANUFACTURERS- MAJOR | 20 | 22.5 |
Ameren Corp | AEE | UTILITIES | DIVERSIFIED UTILITIES | 25 | 26.25 |
Apache | APA | BASIC MATERIALS | INDEPENDENT OIL & GAS | 25 | 32.5 |
Biomarin Pharmaceutical Inc | BMRN | HEALTHCARE | BIOTECHNOLOGY | 25 | 30 |
CenturyTel | CTL | TECHNOLOGY | TELECOM SERVICES - DOMESTIC | 25 | 30 |
Goldcorp Inc | GG | BASIC MATERIALS | GOLD | 25 | 31.25 |
Gerdau SA | GGB | BASIC MATERIALS | STEEL & IRON | 25 | 35 |
HDFC Bank Ltd | HDB | FINANCIALS | FOREIGN REGIONAL BANKS | 25 | 25 |
Icici Bank | IBN | FINANCIALS | FOREIGN MONEY CENTER BANKS | 25 | 28.75 |
Newmont Mining | NEM | BASIC MATERIALS | GOLD | 25 | 25 |
Staples Inc. | SPLS | SERVICES | SPECIALTY RETAIL, OTHER | 25 | 27.5 |
Commentary:
Large cap short interest is 0.29 days to cover above November and 0.44 days to cover higher than this time last year. The biggest increase in days-to-cover since November has occurred in consumer, which is up 1.03 days, and healthcare, which is up 0.77 days. The largest drop in short interest has occurred in basic materials.
The best scoring large cap industry is lodging (H, WYN, MAR). U.S. hotel industry occupancy grew 1.8% year-over-year in Q4 as average room rates climbed 3.3%%, resulting in RevPAR growth of 5.1% to $63.36. Aerospace/defense (BA, TDG, NOC, LMT, BEAV) also scores highly. The White House DoD budget guidance for '15 exceeds caps. Airline production growth, including the move to 12 787's per month by mid '16, remains bullish for suppliers. 787 production is currently 10 per month, up from 5 in 2012. Airbus had 1503 net orders and Boeing had 1355 net orders in 2013. Drug stores (OCR, RAD, CVS) are strong thanks to rising insurance enrollment, flu season foot traffic and a re-acceleration in higher-margin generic launches. Communications equipment (GLW, QCOM, HRS) and wholesale drugs (CAH, MCK) round out the large cap best industry list this week.
In big cap basics, buy ag chemicals (CF, MON), industrial metals & minerals (CNX), and drillers (HP, CLR). Strengthening natural gas supports utility coal demand. U.S. coal consumption rose 4% in 2013 from 2012 on higher natural gas prices.
In consumer, focus on auto parts (BWA, JCI), cigarettes (RAI, LO), and beverages (CCE, MNST). The top financials baskets include asset managers (BLK, LAZ, BEN), money centers (PNC, WFC, JPM), and credit services (DFS, EFX, AXP). Across healthcare, concentrate on medical appliances (STJ, ZMH), biotechnology (ILMN, BIIB, GILD, LIFE, CELG), and medical instruments (BCR, BSX). All large cap healthcare industries score above average. Similarly, all large cap industrial groups score above average. Aerospace/defense, farm & construction (CAT), and industrial equipment (PNR) score highest in the sector. The top services groups are lodging, drug stores, wholesale drugs, and resorts and casinos (WYNN, MGM). In technology, buy communications equipment, business software (DOX, JKHY, FISV), and semi ICs (SWKS, TSM).
LG CAP INDUSTRY SCORE BY SECTOR | 1/30/2014 | |
Sector | Industry | SCORE |
BASIC MATERIALS | AGRICULTURAL CHEMICALS | 72.00 |
BASIC MATERIALS | INDUSTRIAL METALS & MINERALS | 70.00 |
BASIC MATERIALS | OIL & GAS DRILLING & EXPLORATION | 68.75 |
BASIC MATERIALS | INDEPENDENT OIL & GAS | 67.06 |
BASIC MATERIALS | CHEMICALS- MAJOR DIVERSIFIED | 65.00 |
BASIC MATERIALS | OIL & GAS EQUIPMENT & SERVICES | 63.18 |
BASIC MATERIALS | OIL & GAS REFINING & MARKETING | 58.33 |
BASIC MATERIALS | OIL & GAS PIPELINES | 57.50 |
BASIC MATERIALS | MAJOR INTEGRATED OIL AND GAS | 56.25 |
BASIC MATERIALS | STEEL & IRON | 52.14 |
BASIC MATERIALS | GOLD | 33.00 |
CONSUMER GOODS | AUTO PARTS | 67.50 |
CONSUMER GOODS | CIGARETTES | 63.75 |
CONSUMER GOODS | BEVERAGES | 63.33 |
CONSUMER GOODS | TEXTILES | 62.00 |
CONSUMER GOODS | PERSONAL PRODUCTS | 61.00 |
CONSUMER GOODS | PROCESSED & PACKAGED GOODS | 60.63 |
CONSUMER GOODS | FOOD - MAJOR DIVERSIFIED | 55.00 |
CONSUMER GOODS | AUTO MANUFACTURERS- MAJOR | 42.50 |
FINANCIALS | ASSET MANAGEMENT | 70.63 |
FINANCIALS | MONEY CENTER BANKS | 70.00 |
FINANCIALS | CREDIT SERVICES | 68.13 |
FINANCIALS | SAVINGS & LOANS | 65.00 |
FINANCIALS | REITS | 62.62 |
FINANCIALS | REGIONAL BANKS | 62.50 |
FINANCIALS | INVESTMENT BROKERAGE | 60.00 |
FINANCIALS | LIFE INSURANCE | 60.00 |
FINANCIALS | INSURANCE BROKERS | 57.50 |
FINANCIALS | PROPERTY & CASUALITY INSURANCE | 48.13 |
FINANCIALS | FOREIGN MONEY CENTER BANKS | 46.00 |
HEALTHCARE | MEDICAL APPLIANCES & EQUIPMENT | 74.44 |
HEALTHCARE | BIOTECHNOLOGY | 71.00 |
HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 69.29 |
HEALTHCARE | DRUG MANUFACTURERS | 68.42 |
HEALTHCARE | HEALTH CARE PLANS | 68.00 |
INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 93.33 |
INDUSTRIAL GOODS | FARM & CONSTRUCTION MACHINERY | 67.00 |
INDUSTRIAL GOODS | INDUSTRIAL EQUIPMENT & COMPONENTS | 65.00 |
INDUSTRIAL GOODS | DIVERSIFIED MACHINERY | 64.17 |
SERVICES | LODGING | 96.25 |
SERVICES | DRUG STORES | 87.50 |
SERVICES | DRUGS WHOLESALE | 78.33 |
SERVICES | RESORTS AND CASINOS | 78.33 |
SERVICES | RAILROADS | 73.00 |
SERVICES | DEPARTMENT STORES | 70.00 |
SERVICES | BUSINESS SERVICES | 66.67 |
SERVICES | RESTAURANTS | 65.00 |
SERVICES | APPAREL STORES | 62.14 |
SERVICES | CATV SYSTEMS | 59.29 |
SERVICES | DISCOUNT, VARIETY STORES | 56.67 |
SERVICES | ENTERTAINMENT- DIVERSIFIED | 56.25 |
SERVICES | AIR DELIVERY & FREIGHT SERVICES | 52.50 |
SERVICES | GROCERY STORES | 41.67 |
TECHNOLOGY | COMMUNICATION EQUIPMENT | 80.83 |
TECHNOLOGY | BUSINESS SOFTWARE & SERVICES | 77.00 |
TECHNOLOGY | SEMICONDUCTOR- INTEGRATED CIRCUITS | 75.00 |
TECHNOLOGY | DATA STORAGE DEVICES | 73.75 |
TECHNOLOGY | SEMICONDUCTOR-SPECIALIZED | 73.57 |
TECHNOLOGY | TECHINICAL & SYSTEM SOFTWARE | 72.50 |
TECHNOLOGY | INTERNET INFORMATION PROVIDER | 70.83 |
TECHNOLOGY | INTERNET SOFTWARE & SERVICES | 69.00 |
TECHNOLOGY | SCIENTIFIC & TECHNICAL INSTRUMENTS | 67.50 |
TECHNOLOGY | DIVERSIFIED COMMUNICATION SERVICES | 63.33 |
TECHNOLOGY | APPLICATION SOFTWARE | 62.86 |
TECHNOLOGY | SEMICONDUCTOR- BROAD LINE | 58.75 |
TECHNOLOGY | DIVERSIFIED COMPUTER SYSTEMS | 58.33 |
TECHNOLOGY | SEMICONDUCTOR EQUIPMENT & MATERIALS | 50.00 |
TECHNOLOGY | WIRELESS COMMUNICATIONS | 46.25 |
TECHNOLOGY | TELECOM SERVICES - DOMESTIC | 43.33 |
UTILITIES | DIVERSIFIED UTILITIES | 54.00 |
UTILITIES | ELECTRIC UTILITIES | 52.86 |
UTILITIES | FOREIGN UTILITIES | 35.00 |
None.