Which Sectors Saw the Biggest Valuation Boosts?
Three sectors saw the most fair value increases after the first-quarter earnings season.
Against the backdrop of the aggressive COVID-19 vaccination rollout and an improved outlook for the U.S. economy, Morningstar equity analysts increased their fair value estimates of cyclical stocks at a stepped-up pace during the first-quarter earnings season.
These fair value estimate upgrades were led by basic-materials companies bolstered by a strong pricing environment; communications companies riding an improved advertising landscape; and asset managers buoyed by continued strength in the stock market.
Jakir Hossain does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.