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December 19, 2019

Chart of the Day: Russell 1000 Y/Y CapEx

by David Aurelio.

The Russell 1000 is expected to see year-over-year (Y/Y) CapEx spending bottom in 19Q4 at 1.1%. The real estate and industrials sectors are expected to see the largest 19Q4 Y/Y declines, while the consumer discretionary and consumer staples sectors are expected to post the greatest increases.

The real estate sector is expected to see 19Q4 Y/Y CapEx decline 36.7%. Analysts anticipate that the industrial REITs (-87.5%) and office REITs (-84.5%) sub-industries will post the largest declines, while the residential REITs (17.3%) sub-industry is expected to have the greatest increase in 19Q4 Y/Y CapEx.

The industrials sector is expected to see 19Q4 Y/Y CapEx decline 13.5%. Analysts anticipate that the industrial conglomerates (-54.2%) and road & rail (-28.4%) industries will post the largest declines, while the air freight & logistics (22.2%) industry is expected to have the greatest increase in 19Q4 Y/Y CapEx.

The consumer discretionary sector is expected to see 19Q4 Y/Y CapEx increase 20.4%. Analysts anticipate that the textiles, apparel & luxury goods (32.0%) and specialty retail (27.9%) industries will post the largest gains, while the household durables (3.7%) industry is expected to have the slowest increase in 19Q4 Y/Y CapEx.

The consumer staples sector is expected to see 19Q4 Y/Y CapEx increase 15.4%. Analysts anticipate that the personal products (53.4%) and beverages (41.2%) industries will post the largest gains, while the food products (-6.1%) industry is expected to have the greatest decline in 19Q4 Y/Y CapEx.

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