Lincoln Indicators has released its biannual 'Health of the Market' report

Lincoln Indicators has released its biannual 'Health of the Market' report. The report assesses up to 2,000 companies to provide a snapshot of the current ASX landscape. The research shows 64% of the market has a Financial Health rating of 'Marginal' or 'Distress', with only 26% of companies 'Strong' or 'Satisfactory' and therefore exposed to acceptable levels of risk. Whilst the overall Health of the Market has not changed substantially since last year, analysis of the data does yield some interesting themes. A clear trend this period has been an improved health score for the Banks and Diversified Financials sector, as a result of tighter regulatory measures and better operating conditions. On the other hand, Consumer Discretionary sectors have generally deteriorated due to a combination of weaker consumer spending and sector competition. You can access the report including individual stock ratings and Lincoln's methodology via the following link. (VIEW LINK)