After all our articles in which we’ve covered factors that are to be considered while selecting a stock, like quarterly and annual earnings, stock price relevancy, P/E ratios, portfolio diversification, new products, management changes, supply & demand, correct time to enter, etc., we now move on to the a relatively ignored parameter, the ‘Industry Group’ of a stock.
Remember, more than 50% of the market winners usually belong to leading industries. Roughly half of stock price movement is driven by the strength of its respective industry...