January results for the Undervalued and Overvalued Screens
The undervalued stocks had average relative performance of 7.16% vs 0.16% for the Overvalued compared to the S&P 500. It gained 4.35% so that the absolute performance of the Undervalued was 11.5%, a gain which is, sadly, unsustainable.
The Overvalued contain a huge bet against (for?) the Consumer sector and is fairly evenly divided between big cap, medium and small cap. The Undervalued is characterized by a huge bet on big cap stocks and is fairly evenly divided among 7 sectors.
