Aerospace & Defense The Aerospace & Defense (A&D) sector comprises companies that research, design, manufacture, and support aircraft, spacecraft, defense systems, and related components and services. Key subsectors include commercial aerospace and defense. Tip: Focus on backlog quality, program execution, and government budget trends for defense; for commercial, watch air traffic demand and airline profitability. Read Primer » View Enhanced HTML »
Automotive The automotive industry encompasses the design, development, manufacturing, marketing, and selling of motor vehicles. Highly cyclical and undergoing a major transition towards electrification and autonomous driving. Rule of Thumb: Unit sales, inventory levels, and regional market share are critical metrics. High fixed costs mean profitability is sensitive to volume. Read Primer » View Enhanced HTML »
Consumer Products Covers Consumer Staples (less cyclical food, beverages) and Consumer Discretionary (more cyclical apparel, luxury goods). Key drivers: brand strength, distribution, e-commerce, input costs. Historical Analysis: Track shifts in consumer preferences (e.g., health & wellness, sustainability) and the impact of private labels. Read Primer » View Enhanced HTML »
Corporate Credit Rating Fundamentals Explains credit ratings from agencies like S&P, Moody's, Fitch. Covers default probability assessment, methodologies, and impact on borrowing costs. Teacher Note: Emphasize issuer vs. issue-specific ratings, and impact on bond yields. Read Primer » View Enhanced HTML »
Energy Oil & Gas Covers exploration & production (upstream), transportation (midstream), and refining & marketing (downstream). Sensitive to commodity prices, geopolitics, and energy transition. Guided Learning: Analyze oil price scenario impacts on E&P vs. midstream operators. Read Primer » View Enhanced HTML »
Financial Institutions Includes banks, insurance, asset managers. Highly regulated, sensitive to interest rates, credit cycles. Key bank metrics: NIM, NPLs, CET1. Case Study: Compare balance sheet and risks of a commercial bank vs. P&C insurer. Read Primer » View Enhanced HTML »
Healthcare Pharmaceuticals, biotech, medical devices, providers, insurers. Driven by R&D, drug pipelines, demographics, reimbursement. Patent cliffs are a major risk. Peer Comparison: Analyze R&D productivity and pipeline diversification. Read Primer » View Enhanced HTML »
Industrials Broad sector: machinery, construction, aerospace components, transportation. Cyclical, tied to GDP & capex. Key metrics: backlogs, capacity utilization, ROIC. Trends Overview: Monitor PMI as leading indicators for industrial activity. Read Primer » View Enhanced HTML »
Media Traditional (broadcasters, publishers) and digital (streaming, gaming). Shifting from advertising to subscription (SVOD) and DTC. Content is king. Developer Note: Overlaps with Technology (streaming) and Telecom (cable). Read Primer » View Enhanced HTML »
Real Estate REITs, developers, operators. Sensitive to interest rates, economic growth. Key metrics: NOI, FFO, occupancy, cap rates. Student Note: Understand different types of REITs (equity vs. mortgage). Read Primer » View Enhanced HTML »
Technology Rapid innovation, short product lifecycles. Software (SaaS), hardware, semiconductors, IT services, internet, cloud, AI, cybersecurity. High R&D, growth focus. Tips & Tricks: For SaaS, focus on ARR, CAC, LTV, and churn rate. Read Primer » View Enhanced HTML »
Telecommunications Wireless/wireline voice/data, broadband, towers, fiber. High capex (5G), competition, regulation. Key metrics: ARPU, churn, subscriber growth. Teacher Note: Discuss impact of spectrum auctions and regulatory policies. Read Primer » View Enhanced HTML »
Utilities Electricity, gas, water. Often regulated, stable returns (ROE on rate base). Significant capex for infrastructure and renewables. Guided Learning: Examine rate case filings to understand tariff setting. Read Primer » View Enhanced HTML »