SPscore S&P500


Here is our last content analysis for 2014 (see attachment)! Since a lot of you will be on vacation for the next two weeks, we will return with our next analysis on January 7th. On behalf of the StockPointer team, I wanted to take this opportunity to wish you a Happy Holidays and our best wishes for 2015.   Download

Following up from last week’s look at the SPScore Top-20 from the S&P/TSX, today we’ll cover the Top-20 from the S&P500.

The average EPI for this group is 2.8, slightly higher than the average of the S&P/TSX Top-20 (at 2.2). Value-wise the S&P500 Top-20 is trading at an average P/IV ratio of 0.83, presenting a solid discount, though not as much as the S&P/TSX Top-20 (0.72).

As of December 15th, Intl Business Machines (IBM), Exxon Mobil Corp (XOM), Western Union (WU), Kellogg Co (K) and Aetna Inc (AET) are the only companies that, on top of offering a P/IV below 1.0, also present a discount relative to their future growth value (FGV).

Exxon is the only representative of the Energy sector in the S&P500 Top-20, a sector under-represented by EVA in both American and Canadian markets. No materials companies appear in this Top-20.

When looking at Financials, we’ll note that none of the “Big 4” banks are in the Top-20, unlike the situation we saw in the Canadian Top-20.