Are stocks in the Non-Energy Minerals Sector Investable? Part 13


The Non-Energy Minerals Sector is mostly comprised of very cyclical and typically commodity-based companies. Consequently, very few companies in this sector offer the consistency and predictability that prudent and/or conservative investors might require. As a result, I personally tend to eschew investing in companies in this sector. In addition to the general cyclical nature of their businesses, income seeking investors might also note the unpredictability and/or reliability of their dividend income streams.

Nevertheless, this series of articles is presented with the objective of covering all the sectors that FactSet reports on. Therefore, it is only appropriate that I cover all the sectors comprised of individual stocks. However, I do want to be clear that this sector is not one that I consider appropriate for prudent long-term investing. With that said, more active investors might find trading opportunities in this sector. But I believe prudent long-term buy-and-hold investors will be hard-pressed to find anything that suits their goals or objectives.

A Sector By Sector Review

This is Part 13 of a series where I have conducted a simple screening looking for value over the overall market based on industry classifications and subindustry classifications reported by FactSet Research Systems, Inc.

In part 1 found here I covered the Consumer Services Sector. In part 2 found here I covered the Communication Sector. In part 3 found here I covered the Consumer Durables Sector and its many diverse subsectors. In part 4 found here I covered Consumer Nondurables. In part 5 found here I covered companies in the Consumer Services Sector. In part 6 found here I covered the Distribution Services Sector. In part 7 found here I covered the Electronic Technology Sector. In part 8 found here I covered the Energy Minerals Sector. In part 9 found here I covered the Finance Sector. In part 10 found here I covered the Health Services Sector. In part 11 found here I covered the Health Technology Sector. In part 12 found here I covered the Industrial Services Sector.

I am skipping the Miscellaneous Sector that consists of Investment Trusts/Mutual Funds as I do not follow these. I have that sector highlighted red on the list.