Tuesday, July 1, 2014

07/01/2014 Strong Emphasis on Value

Large Value Small Value Mid Value Small Growth Mid Blend Small Blend Large Blend Large Growth Mid Growth
Finance 1 2 3 4 5 8 13 26 48
Utilities 6 9 10 15 16 24 36 50 66
Industrial 7 11 12 20 21 28 39 55 69
Staples 14 18 19 34 35 42 51 63 75
Healthcare 17 25 27 37 41 49 59 68 76
Materials 22 29 30 43 45 53 61 71 77
Technology 23 31 32 44 46 58 62 72 78
Cyclicals 33 38 40 52 56 60 67 73 80
Energy 47 54 57 64 65 70 74 79 81

High flying growth stocks and beaten down value stocks should continue to mean revert toward each other.

Either the growth stocks will go down more, or the value stocks will go up more.  Regardless of the direction of the market as a whole, the models strongly favor value over growth.


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