Goldman Sachs Selects 14 New Sectors For Cheap Growth

many frothy beers

Goldman Sachs’ equity strategy team led by David Kostin just updated its list of attractive sectors for its Growth-at-a-Reasonable-Price (GARP) portfolio. These are stocks that combine growth and value.

Goldman’s GARP screen underperformed in September, declining 10.5% in September versus a 7% in the S&P 500.  But it’s up 18.9% since its inception in January 2004.  This compares to a 15.8% gain in the S&P 500.

Kostin’s team added these 14 sub-sectors:

  1. Advertising
  2. Publishing
  3. Brewers
  4. Oil & Gas Refining
  5. Oil & Gas Equipment & Services
  6. Pharmaceuticals
  7. Health Care Equipment
  8. HR & Employment Services
  9. Industrial Machinery
  10. Home Entertainment Services
  11. Fertilizers & Ag Chemicals
  12. Industrial REITs
  13. Cable & Satellite
  14. Research & Consulting Services

They also dropped 11 sub-sectors:

  1. Personal Products
  2. IIntegrated Oil & Gas
  3. Oil & Gas Refining & Marketing
  4. Consumer Finance
  5. Diversified Banks
  6. specialised Finance
  7. Electronic & Manufacturing Services
  8. Semiconductors
  9. Diversified Chemicals
  10. Trucking
  11. Retail REITs

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