Tech Hardware Takes the Lead While Consumer Staples Collapse
A data driven ranking of all U.S. industries showing decisive strength at the top and persistent weakness at the bottom.
Top 10 Strongest Industries (Long Bias)
1. Technology Hardware, Storage & Peripherals
Score: 93.36 | Before #3 → Now #1
Why they are strong: Accelerating AI server demand, expanding enterprise refresh cycles and record vendor backlogs.
Key Players: Dell, HPE, NetApp
2. Metals & Mining
Score: 91.25 | Before #2 → Now #2
Why they are strong: Gold above 4,000 USD supports cash generation and capital returns.
Key Players: Newmont, Freeport-McMoRan, Barrick
3. Banks
Score: 89.66 | Before #1 → Now #3
Why they are strong: Broad earnings resilience with strong capital markets activity and solid deposit dynamics.
Key Players: JPMorgan, Bank of America, Wells Fargo
4. Semiconductors & Semiconductor Equipment
Score: 86.85 | Before #7 → Now #4
Why they are strong: AI-driven capex cycle and robust equipment bookings.
Key Players: NVIDIA, AMD, ASML
5. Mortgage REITs
Score: 84.86 | Before #6 → Now #5
Why they are strong: Stabilizing rate volatility and improved dividend coverage.
Key Players: Annaly, AGNC, Starwood
6. Electronic Equipment, Instruments & Components
Score: 84.59 | Before #4 → Now #6
Why they are strong: Data center infrastructure and industrial automation remain steady demand pillars.
Key Players: Amphenol, TE Connectivity, Keysight
7. Pharmaceuticals
Score: 82.34 | Before #8 → Now #7
Why they are strong: Continued growth in GLP-1 franchises and strong catalyst visibility.
Key Players: Eli Lilly, Novo Nordisk, Pfizer
8. Biotechnology
Score: 82.34 | Before #10 → Now #8
Why they are strong: M&A activity and premium valuations in core therapeutic areas.
Key Players: Amgen, Gilead, Regeneron
9. Communications Equipment
Score: 82.16 | Before #5 → Now #9
Why they are strong: 5G and data center networking upgrades remain resilient.
Key Players: Cisco, Arista, Motorola Solutions
10. Interactive Media & Services
Score: 79.77 | Before #9 → Now #10
Why they are strong: Stable digital advertising monetization and improving engagement metrics.
Key Players: Alphabet, Meta, Pinterest
Bottom 10 Weakest Industries (Short Bias)
1. Food Products
Score: 14.40 | Before #56 → Now #56
Why they are weak: Persistent volume declines and exhausted pricing power.
Key Players: Kraft Heinz, General Mills, Campbell Soup
2. Personal Care Products
Score: 20.27 | Before #55 → Now #55
Why they are weak: China exposure, restructuring costs and deteriorating margins.
Key Players: Estée Lauder, Coty, Ulta
3. Diversified Telecommunication Services
Score: 25.25 | Before #54 → Now #54
Why they are weak: High leverage, subscriber losses and limited strategic flexibility.
Key Players: Verizon, AT&T, Lumen
4. Consumer Staples Distribution & Retail
Score: 31.70 | Before #38 → Now #53
Why they are weak: Trade-down behaviour intensifies and margins compress under competitive pressure.
Key Players: Walgreens, Dollar General, Dollar Tree
5. Textiles, Apparel & Luxury Goods
Score: 31.71 | Before #51 → Now #52
Why they are weak: Slowdown in discretionary spending and heavy promotional activity.
Key Players: VF Corp, PVH, Hanesbrands
6. Entertainment
Score: 32.41 | Before #50 → Now #51
Why they are weak: Streaming profitability challenges and declining advertising revenue.
Key Players: Warner Bros Discovery, Paramount, AMC
7. Residential REITs
Score: 33.38 | Before #52 → Now #50
Why they are weak: Rent growth decelerating and rate pressure on valuations.
Key Players: AvalonBay, Equity Residential, UDR
8. Chemicals
Score: 34.47 | Before #53 → Now #49
Why they are weak: Soft industrial demand and prolonged destocking cycles.
Key Players: Dow, LyondellBasell, Eastman
9. Professional Services
Score: 36.13 | Before #49 → Now #48
Why they are weak: Decline in discretionary corporate spending and lengthening project cycles.
Key Players: Robert Half, ManpowerGroup, Kforce
10. Real Estate Management & Development
Score: 37.68 | Before #37 → Now #47
Why they are weak: Commercial property stress and falling transaction volumes.
Key Players: CBRE, JLL, Cushman & Wakefield
Structural Rotation Highlights
Technology Hardware advances to number one as AI infrastructure demand continues accelerating.
Semiconductors gain three positions, supported by equipment and chip cycle strength.
Consumer Staples Distribution records the sharpest deterioration, moving down 15 positions.
Real Estate Management weakens materially amid commercial property pressures.
Leadership remains concentrated in technology infrastructure, financials and select commodity-linked groups.
Weakness is consistent across consumer-facing and rate-sensitive industries.
External Reads
• Tech Hardware: AI server demand drives Dell and HPE to record backlogs. (Bloomberg)
• Metals & Mining: Newmont reports record $1.6B Q3 free cash flow as gold tops $4,000. (Investing.com)
• Banks: JPMorgan Q3 net income jumps 12% YoY on capital markets strength. (JPMorgan)
• Semiconductors: ASML bookings double as AI chip demand extends equipment cycle. (Nasdaq)
• Food Products: Kraft Heinz lowers 2025 outlook as consumer demand weakens. (Food Navigator)
• Telecom: Verizon stock faces continued headwinds from debt and subscriber losses. (Motley Fool)