Table 19: S&P 500 companies with high (>35%) median 5-year effective tax rates and low (<10%) foreign sales
Foreign Sales 5-Year Median Effective Tax Ticker Company Name Sector Industry % Rate % FE FirstEnergy Corp. Utilities Electric Utilities 0% 35.3 ZION Zions Bancorporation Financials Banks 0% 35.2 MO Altria Group, Inc. Consumer Staples Tobacco 0% 35.1 EXC Exelon Corporation Utilities Electric Utilities 0% 35.1 RSG Republic Services, Inc. Industrials Commercial Services & Supplies 0% 35.0
Note: This screen is not a recommended list either individually or as a group of stocks. Investors should consider the fundamentals of the companies and their own individual circumstances/abjective before making any
investment decisions.
Source: FactSet, BofA Merrill Lynch US Equity & US Quant Strategy
Repatriation: potential beneficiaries Below we provide a screen of S&P 500 companies (excluding Financials and Real Estate) with high (>10%) overseas cash as a percent of market cap, which could potentially
benefit most from repatriation.
Table 20: S&P 500 (ex. Financials & Real Estate) companies with the highest overseas cash* as a % of their market cap (>10%)
Ticker WU FSLR NWS ORCL csco NTAP QCOM AAPL JNPR SYMC PVH AMGN GE MSFT TDC CTSH
ADSK PCLN JNJ MRK GLW MJN LLY KO MOS AMAT PH
Company
Western Union Company
First Solar, Inc.
News Corporation Class B
Oracle Corporation
Cisco Systems, Inc.
NetApp, Inc.
QUALCOMM Incorporated
Apple Inc.
Juniper Networks, Inc.
Symantec Corporation
PVH Corp.
Amgen Inc.
General Electric Company Microsoft Corporation
Teradata Corporation
Cognizant Technology Solutions Corp. Class A Ralph Lauren Corporation Class A CA, Inc.
Waters Corporation
Lam Research Corporation
News Corporation Class A Alphabet Inc. Class C
Microchip Technology Incorporated Alphabet Inc. Class A
Gilead Sciences, Inc.
VeriSign, Inc.
Pitney Bowes Inc.
Xilinx, Inc.
Analog Devices, Inc.
Agilent Technologies, Inc. National Oilwell Varco, Inc.
Citrix Systems, Inc.
KLA-Tencor Corporation
Gap, Inc.
Western Digital Corporation Goodyear Tire & Rubber Company Autodesk, Inc.
Priceline Group Inc
Johnson & Johnson
Merck & Co., Inc.
Corning Inc
Mead Johnson Nutrition Company Eli Lilly and Company
Coca-Cola Company
Mosaic Company
Applied Materials, Inc. Parker-Hannifin Corporation
Sector
Information Technology Information Technology Consumer Discretionary Information Technology Information Technology Information Technology Information Technology Information Technology Information Technology Information Technology Consumer Discretionary Health Care Industrials Information Technology Information Technology Information Technology Consumer Discretionary Information Technology Health Care Information Technology Consumer Discretionary Information Technology Information Technology Information Technology Health Care Information Technology Industrials Information Technology Information Technology Health Care Energy Information Technology Information Technology Consumer Discretionary Information Technology Consumer Discretionary Information Technology Consumer Discretionary Health Care Health Care Information Technology Consumer Staples Health Care
Consumer Staples Materials
Information Technology Industrials
Industry
IT Services
Semiconductors & Semiconductor Media
Software
Communications Equipment Technology Hardware, Storage & Semiconductors & Semiconductor Technology Hardware, Storage & Communications Equipment Software
Textiles, Apparel & Luxury Goo Biotechnology
Industrial Conglomerates Software
IT Services
IT Services
Textiles, Apparel & Luxury Goo Software
Life Sciences Tools & Services Semiconductors & Semiconductor Media
Internet Software & Services Semiconductors & Semiconductor Internet Software & Services Biotechnology
Internet Software & Services Commercial Services & Supplies Semiconductors & Semiconductor Semiconductors & Semiconductor Life Sciences Tools & Services Energy Equipment & Services Software
Semiconductors & Semiconductor Specialty Retail
Technology Hardware, Storage & Auto Components
Software
Internet & Direct Marketing Re Pharmaceuticals
Pharmaceuticals
Electronic Equip., Instruments Food Products
Pharmaceuticals
Beverages
Chemicals
Semiconductors & Semiconductor Machinery
Overseas Cash ($mn) Overseas Cash as a % of Mkt Cap
6,100 000 813 48,200 59,800 4,000 29,600 216,000 3,167 4,900 2,100 29,000 64,680 108,900 819 7,495 085 2,137 2,346 3,500 813 42,900 2,599 42,900 15,700 1,200 470 2,240 3,374 2,181 2,034 1,970 1,730 685 2,800 1,042 2,059 9,800 38,200 20,995 3,085 1,977 8,100 17,900 1,276 4,000 2,065
62% 59% 54% 40% 39% 39% 36% 34% 30% 29% 28% 26% 24% 22% 22% 22% 21% 21% 20% 9% 8% 8% 1% 1% 1% 6% 6% 5% 5% 4% 4% 3% 3% 3% 3% 3% 3% 3% 3% 2% 2% 1% 1% 1% 1% 1% 1%
*For some companies, total overseas cash may represent total accumulated overseas profits. Overseas cash based on BofAML analyst estimates or Bloomberg data from company disclosures.
Note: This screen is not a recommended list either individually or as a group of stacks. Investors should consider the fundamentals of the companies and their own individual circumstances/abjective before making any investment decisions. Source: FactSet, Bloomberg, BofA Merrill Lynch Global research estimates, BofA Merrill Lynch US Equity & US Quant Strategy
20
Equity Strategy Focus Point | 29 January 2017
HOUSE_OVERSIGHT_023088
BankofAmerica <2” Merrill Lynch