LESSON 1 / 4 · 6 MIN
Sectors, industries and themes
Place a company in its sector and separate its own story from the sector's.
The standard classification splits the US market into 11 sectors (technology, health care, financials, energy…). Inside each there are industries: semiconductors and software are both technology, but they do not move the same way. Themes cut across sectors: AI, defence, data centres and power.
Key idea
When a stock rises 3% on a day its sector rises 3%, the company did nothing special. Subtract the sector before reading the company's news.
- ▸/sectors — the 11 sectors and how each one is doing.
- ▸/categories — industries, to compare companies that really compete with each other.
- ▸Themes — groups across sectors, such as AI or defence.
On the site · /sectors
Open /sectors and find the best and worst sector of the year. Then open the industry of a company you follow in /categories.
Open it on the site →Check yourself
Your stock is up 15% this year; its industry is up 30%. How did the company do?