Construction Sector Falls from Top Ranking

May 19, 2022
Brian T. Hannon, CFA
Construction Sector Falls from Top Ranking
The construction sector has fallen in our attractiveness rankings as valuation and catalytic scores
have declined. Behavior pattern recognition also indicates that investors are displaying increasing
disfavor towards the group. We also note that the consumer staples sector has slipped back into the
bottom 5 group due primarily to deteriorating catalytic scores. While the business services sector has
broken out of the bottom 5 group under the influence of improvement in technical and catalytic
scores. See Tables 5 and 6 for top-ranked names from the most attractive sectors and bottom-ranked
names from the least attractive sectors.
Brian T. Hannon, CFA
Founder, Director of Quantitative Equity Research
Qubit Research, LLC

With an academic background in engineering and economics, Brian Hannon began his career in the chemicals industry at the Dupont Company where he held various positions in research & development, project management, and corporate finance. An early indication of his innovative nature occurred while in R&D; as Brian was awarded a patent for his role in the development of a reverse osmosis process for purifying chemicals used in the production of semiconductor devices (Patent# 4,879,043: Manufacture of High Purity Hydrogen Peroxide by Using Reverse Osmosis”).

Pursuing his interest in the stock market, Brian made the transition to the investment management
profession as a research analyst covering chemicals industry companies at the DuPont Pension
Fund. He subsequently joined ASB Capital Management where he originated the unique approach to
structuring multi-factor models that Polaris is based on. Brian moved on to Macquarie Investments
(formerly Delaware Investment Management) where he produced an exceptional track record while
serving as a senior portfolio manager on the institutional large-cap value team. After Brian left
Macquarie, he founded Qubit Investments, LLC to launch an equity market neutral fund. The fund
utilized an updated version of the Polaris multi-factor model, integrated with a systematic portfolio
construction algorithm that Brian developed. He later became the director of equity research at
Sturdivant & Co. and then Quoin Capital, LLC, which was prior to his current role as founder of Qubit
Research, LLC, an independent equity research boutique. Brian holds a BS degree in chemical
engineering and a BS in economics from Carnegie-Mellon University. He is also a CFA charter holder.


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