Assume that you use value screens on the entire market and come up with a list of 25 companies that pass your screens. If most of the companies on this list come from one sector, which of the following may explain why this might be happening?

A. The overrepresented sector is undervalued.

B. The overrepresented sector shares a risk characteristic that you did not screen for.

C. The overrepresented sector is in a declining business where future growth is questionable.

D. The overrepresented sector is facing increasing competition, potentially lowering returns on capital and equity.

E. Any or all the above