APD - Energy And Materials Dashboard - Update
This article series provides a monthly dashboard of industries in each sector of the GICS classification. It compares valuation and quality factors relative to their historical averages in each industry.
Executive summary
Energy, metals/mining and paper/wood look underpriced by more than 20% relative to historical averages when taking into account the 3 valuation metrics reported hereafter. Energy equipment/services are far below the historical average in profitability, whereas paper/wood is far above it. Chemicals and construction materials are moderately overpriced. Packaging is the most overpriced industry in the 2 sectors. However, it is also the best