This week, Zacks Chief Equity Strategist and Economist John Blank, PhD discusses:

• An analysis of the top 6 stocks in 4 key sectors: Autos-Tires-Trucks, Basic Materials, Construction, and Industrial Products. This review is designed to help with portfolio construction and asset allocation.

• Similar to John’s recent series of top stocks in various sectors, in this review he uses four criteria to identify the top stocks: market capitalization, Zacks Rank (largest percent change in F1 EPS estimate), number of analysts following the stock, and the criteria for all three. He will also look at variance and covariance, correlation, and portfolio metrics based on various weights assigned to the 6 stocks.

• Using this framework, John then examines performance metrics for the top stocks in these sectors. Tickers he discusses include names like Tesla Inc (TSLA) Paccar Inc (PCAR) in Autos-Tires-Trucks, Linde PLC (LIN) and Vale SA (VALE) in Basic Materials, Sherwin-Williams Co (SHW) and Comfort Systems USA, Inc. (FIX) in Construction, and Ball Corp (BALL) and Cintas Corp (CTAS) in Industrial Products. Don’t miss this essential review for portfolio building and allocation from Zacks’ Chief Equity Strategist!