The first method of sectoring is by Standard Industrial Classification (SIC) Codes. The initial page compares sectors by their two-digit SIC codes (the first two letter of the four-digit code), which is then broken down into four-digit SIC codes and then the stocks within each four-digit sector. The second method of sectoring is by Industry Groups and Major Market Indices—including the Dow Jones Complex, Nasdaq 100 and S&P Indexes.

You can view a chart of the Weighted Alpha for each sector by clicking on the FlipCharts link. For charting purposes, Sector symbols are also listed on the Lookup Symbol page. The number of stocks contained within each sector is represented as volume on the charts.

Sector information is only available on active stocks trading on the NYSE, AMEX or Nasdaq, with at least six months (130 trading days), of trading activity, and closing price greater than $2.

Ranking of the stocks in each sector is done via Weighted Alpha, which is a rating of growth patterns in a one-year period. The calculation is such that the most recent prices have a higher weighting in the calculation of the Alpha. The higher the weighted alpha, the larger the growth. A stock whose price has not changed in the period will have a small weighted alpha. A stock whose price has dropped over the year will have a negative weighted alpha.

Other information available in the Sectors page is the last price of the stock, the 14-day relative strength, 14-day historic volatility, 20-day average volume, year-to-date percent change and the 52-week high and low price of the stock. The performance view displays the sectors again ranked by Weigthed Alpha, but lists the one-month, three-month, six-month, nine-month and twelve-month percentage price change. The Fundamental view contains the Market Cap, P/E ratio, Earnings per Share, 36-Month Beta, Annual Dividends Yield, Return on Equity and the Price per Sales. The performance view is based on 21-days (1-month), 65-days (3-months), 130-days (6-months), 195-days (9-months) and 260-days (1-year) of trading activity.

Top 100/Bottom 100 Stocks lists the top 100 and bottom 100 stocks ranked by Weighted Alpha. Sectors are also searchable by stock symbol.

The Sectors are updated once a day at 7:30 p.m. ET.

The Sectors Change ranks sectors of stocks by the change in Weighted Alpha over selected periods of time. The Sectors Change pages will only include those sectors that have at least 10 component stocks.

The Change will show you the best performing sectors of the market over the selected period of time. All of the information listed on these pages refers to the Weighted Alpha and the change in Weighted Alpha. FlipCharts of the different sectors are available. The number of stocks contained within each sector is represented as volume on the charts.

The Sectors Changes are updated once a day at 7:30 p.m. ET.

The Alpha is a measure of how much a stock has risen or fallen over a one-year period. The original research was restricted to large cap stocks, so the corresponding rise in the S&P 500 index was subtracted; however, as there are a number of interesting stocks that do not fit well into any category, and others that fit into more than one category, the results are presented without subtracting any index.

Barchart.com takes this Alpha (measure of how much a stock has changed in the one-year period) and weights this, assigning more weight to recent activity, and less (0.5 factor) to activity at the beginning of the period. Thus the weighted alpha is a measure of one year growth with an emphasis on the most recent price activity.

A stock whose price has risen over the one-year period will have a positive Weighted Alpha. A stock whose price has not changed in the period will have a small Weighted Alpha and a stock whose price has dropped over the period will have a negative Weighted Alpha.

N.B. The Weighted Alpha is limited in the amount it may change from one day to the next, thus eliminating large price jumps from the calculation.