Meet the New and Improved Portfolio Metrics Table

The market took an absolute market drubbing Thursday, pushing the Tech sector into correction territory and an oversold condition based on the RSI level for the State Street Technology Select Sector SPDR ETF (XLK) and the VanEck Semiconductor ETF (SMH). But, as we noted, we were busy doing some homework, in part so we would not fall into the trance of stock price changes.

What resulted from our homework is a new, and for the most part, improved Portfolio Table, which now includes consensus EPS figures out to 2029 as well as the corresponding P/E ratios. Next to those P/E figures, you’ll see a column for EPS growth between 2026 and 2028 as well as a Price to Earnings Growth Rate CAGR.

What these enhancements allow us to do is take a look at multi-year expectations, especially for companies with multi-year backlog, remaining performance obligation or future contracted revenue. Similarly, that applies for companies such as Marvell (MRVL) that have issued multi-year guidance.

Now, a word of caution. The further out we go with these estimates, the less accurate they are likely to be. Why? Because they are a time stamp of expectations today, and things have the propensity to change over time. But that’s why when we update the Portfolio Table, we’ll be pulling the latest consensus figures from S&P Global Market Intelligence.

Next to the P/E ratios for each of the positions, you’ll see a new section that shows their respective PEG ratios for 2026 through 2028. For companies such as Paccar (PCAR), TJX (TJX), or Waste Management (WM), which tend not to be classified as growth companies with multi-year visibility, PEG ratios may not be the best fit, but it doesn’t hurt to look. And because investment banking fees can swing one year to the next, PEG ratios aren’t great metrics to track for Morgan Stanley (MS) or Bank of America (BAC). But since each of those five are dividend payers, we can leverage the dividend yields as a valuation metric.

Following our alert Thursday about the Tech sector moving into an oversold condition and the oversold positions and their respective RSI figures, what you see in the full RSI column shouldn’t be all that newsworthy. Costco shares are still overbought, and we’ll want to see if WM shares join them or not.

Looking at the 2027 PEG ratio column and the RSI one, what we see for Alphabet (GOOGL), Applied Materials (AMAT), Broadcom (AVGO), Marvell (MRVL), and Nvidia (NVDA) sure stands out. Palantir (PLTR) is close, and while there aren’t any consensus EPS figures for the VanEck Uranium & Nuclear ETF (NLR), its RSI level remains in an oversold condition.

As far as Axon (AXON), we’ll be sharing our thoughts with you later this morning.

While these and a few other names are landing on our shopping list, equity futures are for the most part pointing higher Friday morning. However, the market rarely makes a bottom on Friday. As Helene Meisler wrote last night, we could see that early next week but we will want to cross-reference several indicators to assess that likelihood.

Picking the absolute bottom can be very difficult in normal times, and it’s a lot harder when the market is flashing “Extreme Fear” and the Volatility Index moves up like it did Thursday. As the market finds its footing, there could be a head fake or two.

Let’s be patient and prudent, which means picking our spots. A sailboat going against the wind makes a series of moves to get where it wants to be. That process is called tacking, and the analogous move for the Portfolio is to take a series of smaller bites with a position or set of positions to get us where we ideally want to be.

Now let’s see what develops as we approach and move past Friday’s market open.

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At the time of publication, TheStreet Pro Portfolio was long AMAT, AVGO, AXON, BAC, GOOGL, MRVL, MS, NLR, NVDA, PCAR, PLTR, TJX, and WM.