Research Performance – Sectors

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New York – As part of Integrity Research’s quarterly performance review (powered by the performance data of Investars) the outlook for the various sectors and the research firms that outperform in those sectors is a relevant data set. Here, we are less concerned with overall returns of the research providers than their rank within each sector.

We tabulate below the top ten list in each sector. Additionally, it would also seem to be an achievement to get into the top 10 in a large number of sectors, thereby demonstrating an expertise in more than one sector.

At integrity, we tend to categorize the firms that cover a small number of sectors as sector specialists. These sector specialists have a deep level of understanding in particular sectors and ought to outperform the more general research firms.

You will notice that Investars has changed its sector definitions from the previous quarter. We present the results in the below table:

Oil & Gas

Rank      Company                                    Return

1            Ladenburg Thalmann & Co               62

2            RedChip Independent                     34

3            Sun Trust Robinson Humphry           28

4            Citigroup Investment Research         24

5            William Blair & Co                           21

6            Roth Capital Partners                     13

7            Channel Trend                              12

8            Duetsche Bank                              10

9            Raymonf James                               9

10           AG Edwards                                   9

Basic Materials

Rank            Company                                    Return

1             Brean Murray, Carret & Co                  41

2            DA Davidson & Co                              35

3            Boenning & Scattergood                      32

4            BB&T Corp                                        21

5            KeyBanc Capital Markets                     21

6            Coppel Financial                                 19

7            Sterne Agee & Leech                          19

8            Bank of America                                 17

9            Robert W Baird & Co                           11

10           Longbow Research                            10

Industrials

Rank            Company                                    Returns

1            Taglich Brothers                                 68

2            Pacific Growth Equities                        56

3            WR Hambrecht                                   55

4            Hilliard Lyons                                     43

5            Fortis Securities                                 35

6            Stifle Nicolas                                     35

7            Coppel Financial                                 25

8            Sanders Morris Harris                          23

9            Northland Securities                           23

10           DA Davidson  & Co                            22

Consumer Goods

Rank            Company                                 Return

1            Henley & Co                                     207

2            Longow Research                              190

3            Hilliard Lyons                                    160

4            Cantor Fitzgerald                                38

5            Susquehanna Financial Group                38

6            Fundamental Research Corp                  36

7            First Albany Capital                             35

8            MVest Management                            27

9            RedChip Independent                          26

10            Dutton Associates                            19

Healthcare

Rank            Company                                 Return

1            Punk Ziegel & Co                              80

2            Ladenberg Thalmann & Co                  66

3            Northland Securities                          64

4            Wedbush Morgan                              50

5            Fortis Securities                               34

6            BWS Financial                                  28

7            Amercian Microchip Institute               27

8            Roth Captial Partners                         27

9            First Analysis                                    26

10           Jefferies                                          20

Consumer Services

Rank            Company                                 Return

1             RedChip Visibility                              61

2            RedChip Independent                        48

3            Merriman Curhan Ford & Co                 45

4            Needham                                         43

5            Barrington Research Associates            33

6            Stephens Inc                                    23

7            Nollenberger Capital                           22

8            Soleil Securities                                18

9            Morgan Keegan                                 18

10          Roth Capital Partners                         15

Telecommunciations

Rank            Company                                 Return

1            WR Hambrecht                                 75

2            Jeffries                                          71

3            Morgan Joseph & Co                         44

4            Henley & Co                                    42

5            FutureAlpha.com                              35

6            Bear Stearns                                   26

7            Roth Capital Partners                        18

8            Emerging Growth Equities                   18

9            Sanders Morris Harris                        18

10           Pacific Crest                                   17

Utilities

Rank            Company                                 Return

1            Pacific Growth Equities                     81

2            UBS                                              61

3            Ladenburg Thalmann & Co                 27

4            Buckingham Research Associates       22

5            MVest Management                          21

6            Raymond James                               21

7            Greenwich Investment Research          19

8            Independent II Research                    19

9            FTN Midwest Securities                     18

10           KeyBanc Capital Markets                   17

Financials

Rank            Company                                 Return

1            Jefferies                                          394

2            Rodman & Renshaw                            37

3            Soleil Securities                                 36

4            DA Davidson  & Co                              27

5            Taglich Brothers                                 26

6            Sanders Moriss Harris                           23

7            William Blair & Co                                 16

8            Cohen Brothers                                   14

9            Sterne Agee & Leech                           12

10         Pacific Growth Equities                           11

Technology

Rank            Company                                      Return

1            Boenning & Scattergood                        84

2            Wedbush Morgan                                 52

3            Rodman & Renshaw                              49

4            Taglich Brothers                                  49

5            Miller Johson Steichen Kinnard               30

6            Avondale Partners                               28

7            Sky Capital                                        27

8            Soleil Securities                                  24

9            Rochdale Securities                             24

10           Standpoint Research                           19

While the above tables are somewhat self explanatory, the number of firms that had more than one top ten appearance was 24. Those company that had 3 or more appearances in the top ten for each sector are listed below:

Firms that had Three or More Sectors in the Top Ten

Company (# of Sectors) –   Sectors

Roth Capital Partners(4) –   Oil & Gas, Healthcare, Basic Materials

Telecommunications

DA Davidson (3)-   Basic Materials, Industrials, Financials

Jefferies (3)-  Healthcare, Financials, Telecommunications

Ladenburg Thalmann(3)-   Oil & Gas, Healthcare, Utilities

Pacific Groth Equities(3)-   Industrials, Utilities, Financials

RedChip Independent(3)-   Oil & Gas, Consumer Goods, Consumer Services

Sanders Morris Harris(3)-   Industrials, Telecom, Financials

Soleil Securities(3)-   Consumer Services, Financials, Technology

Taglich Brothers(3)-   Industrials, Financials, Technology

Roth Capital Partners came out on top of the multi-sector performance, though the placement within the top 10 was not exceptional. Roth Capital Partners took 6th spot in Oil & Gas, 8th spot in healthcare, 10th spot in Consumer Services and 7h spot in Telecom.

Note: The performance data for this article comes from Investars, The formulation and tabulation is the interpretation of Integrity Research Associates.

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