It’s good to look at stocks that not everyone else is looking at. ?A little neglect can be a good thing.

• Companies that are a little illiquid.
• Companies with a dedicated shareholder base; they don’t sell at the drop of a hat.
• Companies with control investors that don’t give outside passive minority investors the short end of the stick.
• Companies that have odd business models that have most investors ignore them
• Companies in boring businesses.

Let’s look at this top down, looking at neglect by market sector. ?Days to turn over indicates how rapidly stocks are traded. ?A high number means they trade more slowly.

Sector	Market Cap ($M)	Dollar Volume ($K)	Days to turn over
05 – Consumer Non-Cyclical	1,536,807	7,274,592	211
07 – Financial	3,511,041	16,767,713	209
12 – Utilities	1,051,811	5,348,267	197
06 – Energy	2,425,787	14,781,550	164
02 – Capital Goods	1,253,361	7,882,012	159
08 – Health Care	2,428,969	16,080,916	151
Grand Total	23,817,027	161,861,109	147
01 – Basic Materials	947,830	6,770,631	140
11 – Transportation	594,989	4,279,380	139
03 – Conglomerates	15,805	116,462	136
09 – Services	4,936,835	37,308,869	132
10 – Technology	4,368,575	38,382,921	114
04 – Consumer Cyclical	745,217	6,867,798	109

In general, colder sectors attract more long-term holders. ?Sectors where competitive conditions change more rapidly turn over faster.

An aside before we go on — I excluded from this analysis:

• Foreign stocks trading on US exchanges
• Over the counter stocks
• Stocks with less than $10 million in market cap
• Exchange traded products

That left me with around 3900 stocks. ?As an aside, stock turnover seems have to increased, and I wonder if high frequency?trading and ETP creation/liquidation might be driving that. ?147 days for an average holding period means stocks trade their entire market capitalization ?around 2.5x per year. ?Cue up the commentary from Buffett and Munger about how most trading in the stock market is wasted effort.

But now let’s look at industries:

Industry	Market Cap ($M)	Dollar Volume ($K)	Days to turn over
0715 – Insurance (Property & Casualty)	632,449	1,730,968	365
0112 – Fabricated Plastic & Rubber	3,298	10,484	315
1206 – Natural Gas Utilities	435,106	1,407,846	309
0506 – Beverages (Non-Alcoholic)	354,710	1,217,841	291
1103 – Air Courier	139,858	505,601	277
0521 – Personal & Household Products	434,008	1,574,389	276
1209 – Water Utilities	17,103	64,198	266
0724 – Money Center Banks	223,336	877,033	255
0524 – Tobacco	272,385	1,170,334	233
0606 – Oil & Gas – Integrated	438,181	1,900,557	231
0957 – Retail (Grocery)	398,981	1,740,963	229
0712 – Insurance (Miscellaneous)	51,749	227,575	227
0218 – Misc. Capital Goods	417,891	1,859,649	225
0975 – Waste Management Services	59,927	283,562	211
0730 – S&Ls/Savings Banks	1,887	9,013	209
1112 – Railroads	186,397	902,219	207
0809 – Major Drugs	227,419	1,135,147	200
0915 – Communications Services	692,373	3,519,894	197
0503 – Beverages (Alcoholic)	52,692	273,645	193
0727 – Regional Banks	1,227,813	6,422,106	191
1030 – Scientific & Technical Instruments	265,595	1,393,898	191
0706 – Insurance (Accident & Health)	247,622	1,310,785	189
0718 – Investment Services	554,225	2,934,362	189
0418 – Footwear	80,706	428,470	188
0512 – Fish/Livestock	1,917	10,383	185
0703 – Consumer Financial Services	405,697	2,203,610	184
0203 – Aerospace and Defense	402,223	2,254,100	178
0960 – Retail (Home Improvement)	169,283	956,876	177
0127 – Misc. Fabricated Products	77,222	439,594	176
0221 – Mobile Homes & RVs	5,297	31,414	169
0612 – Oil Well Services & Equipment	574,292	3,407,144	169
0106 – Chemicals – Plastics and Rubbers	173,053	1,038,370	167
0954 – Retail (Drugs)	230,495	1,417,370	163
1109 – Misc. Transportation	73,963	456,181	162
0103 – Chemical Manufacturing	353,360	2,227,847	159
0709 – Insurance (Life)	166,263	1,052,261	158
0803 – Biotechnology & Drugs	1,613,675	10,424,895	155
1203 – Electric Utilities	599,603	3,876,223	155
0415 – Auto & Truck Parts	203,596	1,324,773	154
0509 – Crops	4,889	31,874	153
0918 – Hotels & Motels	94,044	616,953	152
0609 – Oil & Gas Operations	1,386,175	9,141,482	152
0209 – Construction – Supplies and Fixtures	140,270	934,529	150
1006 – Computer Hardware	72,374	487,123	149
1036 – Software & Programming	1,152,944	7,816,781	147
Grand Total	23,817,027	161,861,109	147
0921 – Motion Pictures	159,568	1,105,864	144
1024 – Electronic Instruments & Controls	182,569	1,279,912	143
0515 – Food Processing	403,598	2,854,143	141
0909 – Business Services	446,084	3,157,933	141
0812 – Medical Equipment & Supplies	436,733	3,130,033	140
0930 – Printing Services	7,170	51,557	139
0109 – Containters & Packaging	81,869	590,633	139
0933 – Real Estate Operations	594,286	4,295,888	138
0206 – Construction & Agricultural Machinery	137,131	991,809	138
0303 – Conglomerates	15,805	116,462	136
0969 – Schools	21,108	160,274	132
1115 – Trucking	44,104	336,398	131
0939 – Rental & Leasing	238,564	1,828,936	130
0130 – Non-Metallic Mining	4,789	37,031	129
0942 – Restaurants	219,661	1,709,208	129
1118 – Water Transportation	32,241	255,920	126
0406 – Appliances & Tools	55,182	456,389	121
0927 – Printing & Publishing	91,943	760,613	121
0133 – Paper & Paper Products	30,855	256,597	120
0936 – Recreational Activities	75,698	643,463	118
0124 – Metal Mining	98,839	864,894	114
0430 – Recreational Products	54,015	474,019	114
0421 – Furniture & Fixtures	31,741	279,508	114
0948 – Retail (Catalog & Mail Order)	266,904	2,421,091	110
0806 – Healthcare Facilities	151,142	1,390,841	109
0121 – Iron & Steel	76,186	704,432	108
0924 – Personal Services	41,546	386,447	108
0403 – Apparel/Accessories	89,378	848,477	105
1018 – Computer Services	1,023,238	9,989,880	102
1003 – Communications Equipment	837,801	8,227,385	102
0972 – Security Systems & Services	8,892	88,979	100
1021 – Computer Storage Devices	124,136	1,290,696	96
0963 – Retail (Specialty Non-Apparel)	216,223	2,271,386	95
0945 – Retail (Apparel)	160,390	1,696,879	95
0906 – Broadcasting & Cable TV	471,387	5,029,758	94
0433 – Textiles – Non-Apparel	11,455	123,789	93
1033 – Semiconductors	670,980	7,309,563	92
0951 – Retail (Department & Discount)	102,849	1,133,640	91
1012 – Computer Networks	14,378	159,288	90
0903 – Advertising	39,473	442,180	89
0409 – Audio & Video Equipment	11,660	130,676	89
0518 – Office Supplies	12,608	141,981	89
0215 – Construction Services	119,782	1,361,922	88
0912 – Casinos & Gaming	109,703	1,259,520	87
0424 – Jewelry & Silverware	6,527	78,568	83
0603 – Coal	27,139	332,366	82
0118 – Gold & Silver	20,871	256,842	81
0115 – Forestry & Wood Products	27,489	343,907	80
1027 – Office Equipment	4,010	51,064	79
0412 – Auto & Truck Manufacturers	189,092	2,548,454	74
0436 – Tires	8,943	126,838	71
0212 – Construction – Raw Materials	30,768	448,589	69
1106 – Airline	118,426	1,823,061	65
0966 – Retail (Technology)	20,283	329,637	62
0427 – Photography	2,923	47,837	61
1015 – Computer Peripherals	20,549	377,330	54

Again, the pattern is more volatile and controversial industries trade more frequently than the more stable industries. ?One one sense, this is obvious, because the stock market can be used for two purposes — investing and gambling. ?Gambling is much more attractive when prices are volatile, and the prospects for making a big win are significant. (Even if the possibility of big losses is high as well. ?Oh well, profits tend to flow to those ?who eliminate the downside.)

Finally, let’s look at individual stocks, segmented by market capitalization.

Behemoth Stocks

Company	Ticker	Sector	Industry	Days
Berkshire Hathaway Inc.	BRK.A	07 – Financial	0715 – Insurance (Property & Casualty)	6,579
Wal-Mart Stores, Inc.	WMT	09 – Services	0957 – Retail (Grocery)	542
Exxon Mobil Corporation	XOM	06 – Energy	0609 – Oil & Gas Operations	453
Johnson & Johnson	JNJ	08 – Health Care	0803 – Biotechnology & Drugs	427
PepsiCo, Inc.	PEP	05 – Consumer Non-Cyclical	0506 – Beverages (Non-Alcoholic)	365
Procter & Gamble Company, The	PG	05 – Consumer Non-Cyclical	0521 – Personal & Household Products	362
General Electric Company	GE	02 – Capital Goods	0218 – Misc. Capital Goods	353
Wells Fargo & Co	WFC	07 – Financial	0727 – Regional Banks	345
Coca-Cola Company, The	KO	05 – Consumer Non-Cyclical	0506 – Beverages (Non-Alcoholic)	341
Chevron Corporation	CVX	06 – Energy	0606 – Oil & Gas – Integrated	339
Comcast Corporation	CMCSA	09 – Services	0915 – Communications Services	196
QUALCOMM, Inc.	QCOM	10 – Technology	1033 – Semiconductors	193
Citigroup Inc	C	07 – Financial	0727 – Regional Banks	175
Cisco Systems, Inc.	CSCO	10 – Technology	1003 – Communications Equipment	161
Intel Corporation	INTC	10 – Technology	1033 – Semiconductors	146
Bank of America Corp	BAC	07 – Financial	0727 – Regional Banks	138
Gilead Sciences, Inc.	GILD	08 – Health Care	0803 – Biotechnology & Drugs	123
Amazon.com, Inc.	AMZN	09 – Services	0948 – Retail (Catalog & Mail Order)	105
Apple Inc.	AAPL	10 – Technology	1003 – Communications Equipment	93
Facebook Inc	FB	10 – Technology	1018 – Computer Services	50

The table above lists the biggest stocks — the top ten that are less traded, and the top ten that are most traded. ?No surprises, those that are most traded are more controversial than those that are traded less. ?Also, some companies have investors with control positions, which further slows down trading as most control investors rarely trade.

Large Cap Stocks

Company	Ticker	Sector	Industry	Days
Cheniere Energy Partners LP Ho	CQH	12 – Utilities	1206 – Natural Gas Utilities	1,709
CNA Financial Corp	CNA	07 – Financial	0715 – Insurance (Property & Casualty)	1,647
Icahn Enterprises LP	IEP	09 – Services	0963 – Retail (Specialty Non-Apparel)	1,355
Spectra Energy Partners, LP	SEP	12 – Utilities	1206 – Natural Gas Utilities	1,190
Enable Midstream Partners LP	ENBL	06 – Energy	0606 – Oil & Gas – Integrated	1,166
Cheniere Energy Partners LP	CQP	12 – Utilities	1206 – Natural Gas Utilities	1,041
Thomson Reuters Corporation (U	TRI	09 – Services	0927 – Printing & Publishing	1,012
Western Gas Equity Partners LP	WGP	06 – Energy	0609 – Oil & Gas Operations	969
Enterprise Products Partners L	EPD	12 – Utilities	1206 – Natural Gas Utilities	956
Plains GP Holdings LP	PAGP	06 – Energy	0612 – Oil Well Services & Equipment	953
Citrix Systems, Inc.	CTXS	10 – Technology	1036 – Software & Programming	54
United Continental Holdings In	UAL	11 – Transportation	1106 – Airline	53
LinkedIn Corp	LNKD	10 – Technology	1018 – Computer Services	47
Yahoo! Inc.	YHOO	10 – Technology	1018 – Computer Services	47
Whole Foods Market, Inc.	WFM	09 – Services	0957 – Retail (Grocery)	45
Micron Technology, Inc.	MU	10 – Technology	1033 – Semiconductors	39
CBS Corporation	CBS	09 – Services	0906 – Broadcasting & Cable TV	37
Tesla Motors Inc	TSLA	04 – Consumer Cyclical	0412 – Auto & Truck Manufacturers	21
Netflix, Inc.	NFLX	09 – Services	0906 – Broadcasting & Cable TV	19
Twitter Inc	TWTR	10 – Technology	1018 – Computer Services	19

What fascinates me here about the low turnover stocks is the dominance of energy limited partnerships. ?Since they are income vehicles, they don’t trade as much stocks used for speculative gains.

Mid-cap Stocks

Company	Ticker	Sector	Industry	Days
CIM Commercial Trust Corp	CMCT	09 – Services	0939 – Rental & Leasing	9,382
Crown Media Holdings, Inc	CRWN	09 – Services	0906 – Broadcasting & Cable TV	4,333
Clear Channel Outdoor Holdings	CCO	09 – Services	0903 – Advertising	2,258
American National Insurance Co	ANAT	07 – Financial	0715 – Insurance (Property & Casualty)	1,756
Gamco Investors Inc	GBL	07 – Financial	0718 – Investment Services	1,627
Valhi, Inc.	VHI	01 – Basic Materials	0103 – Chemical Manufacturing	1,385
OCI Partners LP	OCIP	01 – Basic Materials	0103 – Chemical Manufacturing	1,205
Summit Midstream Partners LP	SMLP	12 – Utilities	1206 – Natural Gas Utilities	1,199
TFS Financial Corporation	TFSL	07 – Financial	0727 – Regional Banks	1,193
Global Partners LP	GLP	06 – Energy	0609 – Oil & Gas Operations	1,131
FireEye Inc	FEYE	10 – Technology	1036 – Software & Programming	21
AK Steel Holding Corporation	AKS	01 – Basic Materials	0121 – Iron & Steel	21
Ariad Pharmaceuticals, Inc.	ARIA	08 – Health Care	0803 – Biotechnology & Drugs	21
Zillow Inc	Z	09 – Services	0933 – Real Estate Operations	20
Trulia Inc	TRLA	09 – Services	0909 – Business Services	20
Sunedison Inc	SUNE	10 – Technology	1033 – Semiconductors	19
J C Penney Company Inc	JCP	09 – Services	0951 – Retail (Department & Discount)	17
SolarCity Corp	SCTY	10 – Technology	1033 – Semiconductors	17
GT Advanced Technologies Inc	GTAT	10 – Technology	1033 – Semiconductors	15
Yelp Inc	YELP	09 – Services	0927 – Printing & Publishing	12

Again. hot stocks with uncertain returns at the bottom, and stocks with more certain prospects at the top. ? Note the income vehicles in the less traded stocks.

Small Cap Stocks

Company	Ticker	Sector	Industry	Days
PHI Inc.	PHII	06 – Energy	0612 – Oil Well Services & Equipment	13,434
First Mid-Illinois Bancshares,	FMBH	07 – Financial	0727 – Regional Banks	10,674
QAD Inc.	QADB	10 – Technology	1036 – Software & Programming	8,529
Intermountain Community Bancor	IMCB	07 – Financial	0727 – Regional Banks	8,374
Greene County Bancorp	GCBC	07 – Financial	0727 – Regional Banks	7,021
Oconee Federal Financial	OFED	07 – Financial	0727 – Regional Banks	6,143
Bel Fuse, Inc.	BELFA	10 – Technology	1024 – Electronic Instruments & Controls	5,131
PrimeEnergy Corporation	PNRG	06 – Energy	0609 – Oil & Gas Operations	4,303
Community Financial Corp	TCFC	07 – Financial	0727 – Regional Banks	3,608
Transcontinental Realty Invest	TCI	09 – Services	0933 – Real Estate Operations	3,168
PowerSecure International, Inc	POWR	12 – Utilities	1203 – Electric Utilities	20
Penn Virginia Corporation	PVA	06 – Energy	0609 – Oil & Gas Operations	20
Pixelworks, Inc.	PXLW	10 – Technology	1033 – Semiconductors	20
IsoRay, Inc.	ISR	08 – Health Care	0812 – Medical Equipment & Supplies	18
Quantum Fuel Systems Tech Worl	QTWW	04 – Consumer Cyclical	0415 – Auto & Truck Parts	17
Pacific Ethanol Inc	PEIX	01 – Basic Materials	0103 – Chemical Manufacturing	17
Glu Mobile Inc.	GLUU	10 – Technology	1036 – Software & Programming	15
Achillion Pharmaceuticals, Inc	ACHN	08 – Health Care	0809 – Major Drugs	14
Walter Energy, Inc.	WLT	06 – Energy	0603 – Coal	14
Plug Power Inc	PLUG	10 – Technology	1024 – Electronic Instruments & Controls	8

Look at all of the regional banks amid those that turn over less. ?Look at all of the controversial stocks amid ?those that trade frequently.

Microcap Stocks

Company	Ticker	Sector	Industry	Days
Bridgford Foods Corporation	BRID	05 – Consumer Non-Cyclical	0515 – Food Processing	20,286
Magyar Bancorp, Inc.	MGYR	07 – Financial	0727 – Regional Banks	8,948
Bowl America Incorporated	BWL.A	09 – Services	0936 – Recreational Activities	8,599
MSB Financial Corp.	MSBF	07 – Financial	0727 – Regional Banks	5,562
Siebert Financial Corp.	SIEB	07 – Financial	0718 – Investment Services	5,136
Pathfinder Bancorp, Inc.	PBHC	07 – Financial	0727 – Regional Banks	4,764
Jacksonville Bancorp Inc	JXSB	07 – Financial	0727 – Regional Banks	4,567
Oak Valley Bancorp(NDA)	OVLY	07 – Financial	0727 – Regional Banks	4,363
Howard Bancorp Inc	HBMD	07 – Financial	0727 – Regional Banks	4,308
Bay Bancorp Inc	BYBK	07 – Financial	0727 – Regional Banks	4,240
Hyperdynamics Corporation	HDY	06 – Energy	0609 – Oil & Gas Operations	16
InterCloud Systems Inc	ICLD	09 – Services	0909 – Business Services	14
BioFuel Energy Corp.	BIOF	01 – Basic Materials	0103 – Chemical Manufacturing	10
India Globalization Capital, I	IGC	02 – Capital Goods	0215 – Construction Services	8
LiveDeal Inc	LIVE	10 – Technology	1018 – Computer Services	8
Giga-tronics, Incorporated	GIGA	10 – Technology	1024 – Electronic Instruments & Controls	7
Digital Ally, Inc.	DGLY	04 – Consumer Cyclical	0409 – Audio & Video Equipment	5
DARA Biosciences Inc	DARA	08 – Health Care	0803 – Biotechnology & Drugs	4
Spherix Inc	SPEX	09 – Services	0909 – Business Services	4
USEC Inc.	USU	12 – Utilities	1203 – Electric Utilities	3

Look at all of the bitty banks that don’t get traded. ?Perfect for some of my friends who buy and hold such banks, if they can get the trade on. ?And then, look at all of the controversial companies whose stocks trade trade like a spinning top.

I encourage all of my readers to analyze situations where there are fewer eyeballs looking. ?Analyze situations where control investors limit the trading relative to the size of the firm. ?Go where others don’t go, because it is dull. ?Look for advantage where few others do. ?And after that, be willing to hold for a while — years, not months. ?Pay attention as to whether the company has a defensible business model — strong balance sheet, moat versus competition, etc. ?Then look for a reasonable to low price. ?There is the making of a good investment.

Full disclosure: long CVX & BRK/B