The following several posts update the earlier analysis of S&P-1500 Technology Companies.
The continuing purpose of this analysis is to provide accurate data to inform discussion of innovation, economic growth, job growth, and the factors that promote or harm innovation and growth.
The earlier analysis looked at just Technology Sector companies within the S&P-1500. People often asked for information on other sectors. Here, we provide information for all S&P North American Market Sectors for all companies in the S&P-1500 Composite Index. Also, the earlier analysis was performed during the relative stock market lows of the Great Recession. Though the effects of the recession are still with us, the stock market has largely returned to 2008 pre-recession valuation levels, but still somewhat below 2007 highs.
This list shows the S&P Market Sectors and a brief description of each Sector:
|Technology||Information Technology including hardware, software, semiconductors, networking, and also including consumer discretionary Internet retail sub-industry|
|Health Care||Health Care equipment/products, hospitals/facilities/HMOs, pharmaceuticals, biotechnology, and life sciences|
|Consumer||Consumer discretionary and staples; excluding automobiles, durable goods, and Internet retail|
|Cyclical||Industrial companies, including automobiles, household durable goods, and including chemical and steel industries|
|Financial Services||Banks, financials services and capital markets, insurance, real estate management & development, REITs|
|Natural Resources||Oil/gas/coal exploration and production, metals and mining, construction materials, paper/cardboard/forest products, metal/glass/plastic containers; excluding chemical and steel industries|
|Utilities||Electric/gas/water utilities, and telecommunication and wireless communication Services|
The S&P-1500 companies are traded on U.S. stock exchanges, have the largest market capitalization, typically greater than $1B, and are typically U.S. based.
Table 1 shows summary information for S&P-1500 Companies in the S&P Market Sectors.
Shown for each Sector are: the total number of companies in the Sector; the number of companies in the Sector that were founded since 1991; the total market capitalization of companies in the Sector; the market capitalization for the companies in the Sector that were founded since 1991; the total revenue of companies in the Sector; the revenue for the companies in the Sector that were founded since 1991; the total number of employees world-wide of companies in the Sector; the number of employees world-wide for the companies in the Sector that were founded since 1991.
The data presented here and the related series of posts is based on the S&P-1500 list of companies as of the close of business on Friday May 6 2011. See Note 3.
As indicated before, the significance of highlighting the companies founded since 1991 are twofold. First, in the past 20 years, we saw the broad adoption of the Internet economy, broadband to the home, mobile communications, digital media, personal computing, social media, and other significant new markets. Second, as reported by the Kaufman Foundation, it is new and growing companies such as those founded in the past 20 years that are largely responsible for creating net job growth and for promoting innovation.
Though the Technology Sector is one of the largest Sectors, its significance is more noted when looking at companies founded since 1991 where the Technology Sector represents significantly greater number of companies, market capitalization, annual revenue, and number of employees compared to the other Sectors.
Table 2 shows average per company information for the S&P Market Sectors.
Shown for each Sector are: the total number of companies in the Sector; the number of companies in the Sector that were founded since 1991; the average market capitalization per company in the Sector; the average market capitalization per company in the Sector for companies founded since 1991; the average revenue per company in the Sector; the average revenue per company for the companies founded since 1991; the average number of employees world-wide per company in the Sector; the average number of employees world-wide per company for the companies founded since 1991.
|Average per Company|
As in Table 1, Table 2 shows the significance of the Technology Sector, especially when looking at companies founded since 1991.
The next 7 posts provide detailed information on the companies in the 7 S&P Sectors. For each Sector, the companies in the 12 major CSAs (Combined Statistical Areas) are listed with maps, with links to further information on each company.
CSAs are defined by the U.S. Office of Management and Budget, and are commonly used for economic analysis. A CSA is a geographic region that represents high degree of economic and social interaction.
Further information on the 12 CSAs is found in CSA Demographics. The 12 selected CSAs are the ones with the largest Technology Sector employment as reported by the U.S. Bureau of Labor Statistics (see here for more information). Consistently, using the same CSAs allows cross sector comparison.
S&P 1500 Companies and Sectors, Overview
S&P 1500 Technology Sector Companies
S&P 1500 Health Care Sector Companies
S&P 1500 Consumer Sector Companies
S&P 1500 Cyclical Sector Companies
S&P 1500 Financial Sector Companies
S&P 1500 Natural Resources Sector Companies
S&P 1500 Utilities Sector Companies
S&P 1500 Company Founding Dates
1. S&P North American Sector Indices.
S&P North American Sector Indices Methodology. 2011.04.01.
2. S&P defines its Market Sectors based on the GICS (Global Industry Classification Standard) classification of companies. GICS defines 10 top level sectors, which are further subdivided into sub-sectors, industries, and sub-industries. S&P combines GICS sectors, industries, and sub-industries into the 7 S&P Sectors as specified in references in Note 1 above.
Global Industry Classification Standard (GICS®). MSCI.
GICS was last updated on June 30, 2010, which is the version used here.
3. The individual companies that make up the S&P-1500 can change on a daily basis as needed when companies are listed or delisted as they grow, or are acquired, or fail. S&P-1500 Constituent Companies are available from a variety of sources. The S&P Index Data Platform, which requires login access, is the source used here.
The list of companies in the S&P-1500 and related information was collected as of the close of business on Friday May 6 2011. The market data and information on individual companies was collected from various sources.
There is a surprisingly high degree of inconsistency across individual company data. Much of the effort in analyzing the information here was in reconciling the many inconsistencies. Sometimes, this could be accomplished heuristically. A few items required significant manual intervention.
For example, there are not consistent data sets that list company founding dates. When stated, a company founding date can refer to some early minor company lineage that had little to do with the current company’s heritage and business, or to a recent paperwork listing change with the SEC that has nothing to do with the company’s heritage, or to a variety of other arbitrary dates. With the importance given to founding dates in this analysis, a company founding date was sought that best represented a company’s heritage that was in line with its current business.
Another example of inconsistency is company address. Frequently, the reported address did not represent the company’s primary headquarters and primary place of operation, or the address’ form did not result in an accurate geographic location. Again, various heuristics and manual intervention were used to improve reported results.
4. In the previous analysis, companies founded since 1989 was used as the demarcation for new companies. 1989 was roughly 20 years prior to the previous analysis, and 1989 represesented the earliest date that a company might be founded to address the broad adoption of the Internet economy, broadband to the home, mobile communications, digital media, personal computing, social media, and other significant new markets.
When first doing this analysis, I was going to continue to use 1989 as the demarcation. However, increasing the period from 20 years to 22 years complicated subsequent analysis. Therefore, I am using the past 20 years, here 1991, as the demarcation for new companies.