Any time the markets hit and establish new all-time highs, the concern among Wall Street professionals is always what catalyst is there to drive stocks higher? One thing is for sure, earnings are the ticket to continued advances in the market, and the sectors that have lagged the market over the last four to seven quarters may be the ones that deliver the goods for investors.
For a variety of reasons, energy, materials, financials and technology have struggled for the past year and a half. With easier comparisons and dollar strength abating, two of these sectors, technology and financials, account for 35% of the S&P 500 earnings, and could be the key to earnings growth. Toss in energy and materials, which account for an additional 10%, and the market could sustain a higher level overall earnings growth.
We screened the Merrill Lynch research database for one Buy-rated dividend-yielding stock in each sector. We found four that make good sense now.
Read more at 24/7 Wall St. to find out what they say about INTC, OXY, JPM and DOW