: How to invest in one of the hottest stock market sectors while cutting your risk

by | May 19, 2023 | Stock Market

Here’s a summary of how the 11 sectors of the S&P 500
SPX,
-0.23%
have performed his year and how forward price-to-earnings ratios compare to valuation levels at the end of 2021:
Sector or index

2023 return

2022 return

Return since end of 2021

3-year return

5 year return

Forward P/E

Forward P/E at end of 2021

Communications Services

32.0%

-39.9%

-21%

22%

55%

16.8

20.9

Information Technology

28.2%

-28.2%

-8%

70%

143%

25.1

28.1

Consumer Discretionary

19.4%

-37.0%

-25%

26%

51%

25.2

34.2

Consumer Staples

2.4%

-0.6%

2%

44%

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