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Industries
Within each broad sector are individual industries, each of which has a different set of economic and competitive forces that determine which companies will thrive and which will
wither.
Exploring the profit drivers of specific industries helps pinpoint whether those industries are more likely to expand or shrink. And analyzing sector rotation is key
for determining whether money is flowing into - or out of - specific areas. This helps identify whether an industry is currently undervalued or overvalued.
Key Industry indicators:
• Technology change • Anticipated growth • Timeliness ranking • Relative strength • Margins • Stability • Earnings growth • Revenue growth
• Valuation relative to historical benchmarks • Expanding market(s) • Research and development spending
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