How JSG Scoring Works

Our team at Amberwave Partners has done a deep dive into every company in the S&P 500 to evaluate its contribution to American jobs, security, and growth (JSG) based on Amberwave Partners proprietary scoring methodology. To help our investors better understand our proprietary methodology for assigning JSG scores, we’ve provided detailed examples for a few select stocks.  We look for companies which our measures indicate help fulfill the American Dream by creating job opportunities across the country; which invest in the security of supply chains, data, and the nation; and which raise long-term growth potential, helping create the underpinning for broad-based prosperity.  In our view, JSG companies that score highly should be making a better America for all.  To learn more about how we score companies, click here.

To learn more about our criteria for choosing companies with high JSG impact, please click here.

Tractor Supply Company (TSCO)

Jobs ScoreRanks 2nd out of 61 in Consumer Discretionary
Factor 1: Pace of job creationCompany grew jobs at a 15% CAGR from 2018 through 2020; job growth particularly strong during pandemic, with growth of 10,000 jobs in 2020.
Factor 2: Importance of jobs to the overall labor marketThere are plentiful opportunities created for new high school graduates and other new entrants to the labor market. Roughly 21,000 (51%) employees are part time. Part time employees are eligible for employee development programs. As a partner with FFA, grants issued through the company helped over 24,000 FFA members, from research farms to outdoor learning centers.
Factor 3: Workforce treatmentCompany is recognized by Great Place to Work Institute as a “Great Place to Work-Certified” company. Also, it provides extensive training programs for new employees on a variety of different issues and completed approximately 478,000 hours of training in 2020.
Factor 4: International labor distributionLabor force and business is entirely in the United States.
Security ScoreRanks 3rd out of 61 in Consumer Discretionary
Factor 1: Contribution to U.S. supply chain resilienceBusiness caters to agricultural community, contributing to U.S. food supply. It is particularly important for the United States that it has the capability for agricultural production along with the ability to support independent farmers. Disclosure on sourcing of foreign inputs is inadequate and should be improved.
Factor 2: Role addressing emerging threats to U.S. securityAgricultural base is important to resisting economic coercion, but the business does not play an important role in addressing emerging threats to U.S. security, such as cyber.
Factor 3: U.S. resource and energy independenceTractor Supply makes a critical contribution to food supply and general agricultural production.
Factor 4: Engagement with the U.S. government on national security issuesNothing material (consistent with nature of the business).
Factor 5: International posture and dealings with foreign governmentsNone, company is operating exclusively in the United States.
Growth ScoreRanks 3rd out of 61 in Consumer Discretionary
Factor 1: Levels of investment in the United StatesCompany has strong investment patterns with 4% annual increase in selling square footage and more than 80 net new stores opened in 2019 and 2020.
Factor 2: Contribution to long term productivity growthThe company’s products and footprint contribute to enhanced agricultural productivity, particularly from small and medium-sized independent producers.
Factor 3: Distributional impact of operationsThe company has approximately 2,105 stores spread throughout 49 states, disproportionately operating in rural communities. Company is headquartered in Brentwood, Tennessee. Company’s focus on agricultural and independent farmers contributes to healthy distributional outcomes, including less concentration in the agricultural industry. Recently, Tractor Supply pledged $1 million as part of the American Connection Project Broadband Coalition, an initiative with the goal to support broadband improvements in rural areas.
Factor 4: Non-core commercial activitiesCompany has put forth an extended effort to help veterans within their communities through Tractor Supply Company Foundation and through the FCV’s Farmer Veteran Fellowship Fund. No evidence of anti-competitive practices, especially in the context of the Company’s rapid organic growth.

Constellation Brands, Inc. (STZ)

Jobs ScoreRanks 28th out of 32 in Consumer Discretionary
Factor 1: Pace of job creationLong-term trend of job reductions, with employment reduced by a 2.6% CAGR from 2018-2020 vs. sector average of 0.6% jobs added annually. This trend may have begun to turn around, with employment growing 3.3% in 2020 against an industry average of 0.6%.
Factor 2: Importance of jobs to the overall labor marketDomestic jobs impact highly variable based on business line, with wine the focus of U.S. jobs. Wine business consists of primarily U.S. brands including 7 Moons, Cook’s California Champagne, Crafters Union, Meiomi, Mount Veeder, SIMI, the Dreaming Tree, Charles Smith, Robert Mondavi, Prisoner, and Schrader contributing agricultural jobs in viticulture and vinification. Other brands include Kim Crawford (New Zealand) and Ruffino (Italy).
Factor 3: Workforce treatmentCommitted $16 million in 2021 to development and training programs for its employees. Employees are generally content and, according to Glassdoor, 74% of employees would recommend working at the company.
Factor 4: International labor distributionLabor force is primarily in Mexico, with 5,022 employees (54% of total workforce). Small remaining international presence, with additional 6% of workforce in Italy and New Zealand. U.S. was 97% of revenue in 2021, indicating limited investments in communities in which the company does business.
Security ScoreRanks 27th out of 32 in Consumer Discretionary
Factor 1: Contribution to U.S. supply chain resilienceImportance of primary product (alcohol) to resilience of the U.S. economy during times of stress is minimal given status as a discretionary good. Supply chain infrastructure largely in place as a result of distributor networks. Production is concentrated in relatively more stable markets, with relatively less chance for transit disruptions, including Mexico.
Factor 2: Role addressing emerging threats to U.S. securityNothing material (consistent with nature of the business)
Factor 3: U.S. resource and energy independenceNothing material (consistent with nature of the business)
Factor 4: Engagement with the U.S. government on national security issuesNothing material (consistent with nature of the business)
Factor 5: International posture and dealings with foreign governmentsForeign footprint across friendly jurisdictions, particularly Mexico where all beer and glass bottles are sourced (beer sales represent 71% of company revenue). Recent announcements to add a new facility in Mexico and a winery in New Zealand.
Growth ScoreRanks 32nd out of 32 in Consumer Discretionary
Factor 1: Levels of investment in the United StatesRevenue model is U.S.-focused, with over 97% of revenue is U.S., whereas only 40% of the workforce is U.S.-based, indicating that the company is significantly underinvesting in communities where it does business.
Factor 2: Contribution to long term productivity growthLimited impact on long-term productivity given alcohol production and distribution is not inherently productivity enhancing.
Factor 3: Distributional impact of operationsU.S. operations are primarily in New York and California. Corporate offices are in New York and the wineries, along with a distribution center, are in California. One craft production facility in Daleville, Virginia. The company also has supply chain positions in different parts of the country, including Chicago, Columbus, and Salt Lake City. Goal to invest $100 million in minority owned businesses by 2030 through creation of their Focus on Minority Founders Program.
Factor 4: Non-core commercial activitiesRecently executed transaction with competitor E. & J. Gallo, but the transaction was a sale of assets as part of a strategy of exiting the sub-$11/bottle wine market. Gallo agreed to divest several brands as part of a settlement with the Federal Trade Commission.

Cognizant (CTSH)

Jobs ScoreRanks 73rd of 76 in Information Technology
Factor 1: Pace of job creationAggregate number of jobs grew at 1.8% CAGR between 2018-2020, against a sector median of 5.3%. During this period, U.S. jobs decreased by 6,500 jobs (or 13% of U.S. jobs), implying that 15,000 jobs were created internationally while U.S. jobs were cut.
Factor 2: Importance of jobs to the overall labor marketThe company has continually experienced a relatively heavy attrition rate (19% annual workforce turnover) that has been consistent both during the pandemic and pre-pandemic. Recently established a program to deal with this issue and increase retention rates. Workforce survey data shows better performance internationally than in the U.S. In 2020, the company placed 19th in “Forbes’ World’s Best Employers” and 193rd for Forbes’ “America’s Best Employer for New Graduates.”
Factor 3: Workforce treatmentCommitted $16 million in 2021 to development and training programs for its employees. Employees are generally content and, according to Glassdoor, 74% of employees would recommend working at the company.
Factor 4: International labor distributionOverwhelming majority of employees (204,500, or 71%) are located in India. 43,500 employees (15%) are located in the U.S., with another 13,400 (5%) in Continental Europe, and 6,800 (2%) in the United Kingdom. Report an unspecified geographic location for 20,265 employees (7%). Revenue is 76% in the U.S., indicating a business model that relies heavily on cheaper outsourced foreign labor.
Security ScoreRanks 71st of 76 in Information Technology
Factor 1: Contribution to U.S. supply chain resilienceThe company provides important business continuity services, including cloud infrastructure and security. However, these services must be maintained primarily by foreign labor, creating some vulnerability to foreign labor shocks, though India is not a high-risk jurisdiction.
Factor 2: Role addressing emerging threats to U.S. securityNothing material (consistent with nature of the business)
Factor 3: U.S. resource and energy independenceNothing material (consistent with nature of the business)
Factor 4: Engagement with the U.S. government on national security issuesNothing material (consistent with nature of the business)
Factor 5: International posture and dealings with foreign governmentsInternational presence is concentrated in countries with which the U.S. has friendly relations, including India, United Kingdom (London), Continental Europe (Paris), Brazil (Sao Paolo), Southeast Asia (Singapore), and Australia (Melbourne). India is the single biggest concentration risk, with the company’s footprint representing 88% of the company’s delivery centers (large workspaces) with locations in Chennai, Hyderabad, Pune, Bangalore, and Kolkota. The remaining non-domestic delivery centers are in the Philippines, Canada, and Mexico.
Growth ScoreRanks 75th out of 76 in Information Technology
Factor 1: Levels of investment in the United StatesThere is limited investment in the United States given heavily outsourced labor model (75% of its revenue from the U.S. despite only 15% of its workforce located in the U.S.), indicating the company is not reinvesting in the communities in which it does business.
Factor 2: Contribution to long term productivity growthBy sending work abroad, the company does not contribute to investing in skills of the U.S. workforce. Upskilling and innovation require work to be performed locally.
Factor 3: Distributional impact of operationsThe outsourcing solutions disproportionately affect the lower and middle skill segments of the U.S. workforce, creating harmful distributional effects in the U.S. economy and limiting the ability of workers to climb the corporate ladder.
Factor 4: Non-core commercial activitiesNo evidence of anti-competitive practices. Company has recently partnered with a STEM program, TechGirlz, to help provide young women with the resources needed to grow and develop careers within STEM.

Lam Research Corporation (LRCX)

Jobs ScoreRanks 9th of 76 in Information Technology
Factor 1: Pace of job creationAggregate jobs have increased by 14.8% CAGR from 2019 - 2021; well above long-term sector median of 5.34%. Company discloses proportion of workforce that is in the U.S.; as of 2021, 56% of jobs are in the United States (7,896 employees).
Factor 2: Importance of jobs to the overall labor marketAdvanced manufacturing positions fill an important role in the labor force, with up to 71% of positions in manufacturing and administrative. Remaining 29% of jobs are research and development for very high skilled / specialized labor.
Factor 3: Workforce treatmentThe company offers a large benefits and rewards program for its employees and extensive talent development and employee engagement programs to ensure employee retention and recruitment of talented individuals. The company is a leader on workforce satisfaction, with a retention rate of 95%.
Factor 4: International labor distribution38% of the workforce is in Asia, with manufacturing facilities in Korea and Taiwan. 6% of the workforce is located in Europe, with manufacturing in Austria.
Security ScoreRanks 20th of 76 in Information Technology
Factor 1: Contribution to U.S. supply chain resilienceProduction of semiconductors in the United States is particularly important to long-term supply chain security. The Company’s fabrication products are critical to the semiconductor supply chain, both globally and in the U.S. The company contributes to the long-term ability of the U.S. to produce high-tech equipment uncompromised by foreign interference, particularly from China and other nations that have shown a willingness to exert economic pressure on the U.S. and other countries in order to achieve geopolitical aims. Though the majority of products are exported to other semiconductor manufacturers, existence of fabrication expertise in the U.S. is critical to maintaining a semiconductor production ecosystem in the U.S.
Factor 2: Role addressing emerging threats to U.S. securityThe company’s contribution to the semiconductor supply chain should help insulate the U.S. over the long-term from economic coercion from strategic competitors as a result of secure domestic supply.
Factor 3: U.S. resource and energy independenceModerate contributions, as semiconductor production is increasingly being viewed as a key input / scarce national resource, though that is primarily for commoditized chip products used in consumer goods and durables.
Factor 4: Engagement with the U.S. government on national security issuesNothing material (consistent with nature of the business).
Factor 5: International posture and dealings with foreign governmentsThe company has a research facility in Austria, but its international footprint is primarily in eastern Asia with manufacturing facilities in Taiwan and Korea, and an additional new facility built in Malaysia.
Growth ScoreRanks 9th out of 76 in Information Technology
Factor 1: Levels of investment in the United StatesU.S. only accounts for 6% of revenue as majority of sales are exporting manufacturing technologies to other countries (China 35%, Korea 27%, and Taiwan 14%). U.S. holds 77% of long-lived assets along with 56% of total workplace, indicating long-term focus on reinvesting in U.S. communities in which it does business.
Factor 2: Contribution to long term productivity growthWafer fabrication equipment and other services provided to the semiconductor industry enable production of productivity-enhancing tools across the economy, including mobile phones, automotive vehicles, data storage, computers, and servers.
Factor 3: Distributional impact of operationsResearch and development facilities are in Oregon and California with manufacturing facilities in California, Oregon, and Ohio which contribute moderately to geographic distribution of gains. The company’s facility in Taulatin has a model program for enhancing opportunities for new entrants to the labor market by partnering with Portland Community College to establish an internship program for students pursuing technology degrees with the goal to hire these students in the future.
Factor 4: Non-core commercial activitiesHealthy charitable profile, with the company committed to improving STEM education near its headquarters in the Pacific Northwest through K-12 STEM donations and a scholarship program that has given over $1 million to over 100 students since 2003. During the pandemic, the company committed over $25 million in Covid relief to food banks, senior citizen meal programs, and hospitals.

Intuit, Inc. (INTU)

Jobs ScoreRanks 20th out of 76 in Information Technology
Factor 1: Pace of job creationGrowing jobs at a 9.1% CAGR from 2018 through 2020, compared to 7.9% industry average. Pandemic job growth is particularly strong, with workforce growth of 12.8% during 2020, compared to industry average of 6.5%.
Factor 2: Importance of jobs to the overall labor marketEmployment dispersed across the United States, with primary offices in California and Texas. Company has created the Prosperity Hub program, which focuses on creating jobs and job retention in underserved communities through both job fairs and partnering with businesses that allow people to work remotely. The remote jobs are primarily in the customer satisfaction and IT sector with the four largest employers being Alorica, Concentrix, Sitel, and Sykes. These companies are partnered with Intuit and provide services for customer satisfaction and IT for small businesses. Those in the IT portion regularly work with companies to help them with Quickbooks. The job creation in these hubs has increased from 2,200 in 2020 to 2,240 in 2021 to a total of 6,500 since the inception of the program.
Factor 3: Workforce treatmentExcellent employee relationships along with substantial talent development and retention programs. 1,200 net jobs created during 2020, supporting workforce during a difficult time for the U.S. labor market. Consistently highly ranked on employee satisfaction across multiple surveys.
Factor 4: International labor distributionDoes not disclose the geographic composition of its workforce. Company has leased facilities in Canada, India, United Kingdom, and Australia along with a substantial facility for Intuit India in Bangalore.
Security ScoreRanks 29th out of 76 in Information Technology
Factor 1: Contribution to U.S. supply chain resilienceModerate contribution to supply chain resilience through provision of key software systems to small business customers. U.S. workforce and strong track record of product availability for customers across payroll, cloud management, and tax systems increases resilience of their customer base.
Factor 2: Role addressing emerging threats to U.S. securitySuite of products have a strong cybersecurity track record. Intuit works with expert security researchers to provide data security in order to protect the vast amount of their customers’ data. Additional efforts include using the strongest possible data encryption program (AES-256) for its customers.
Factor 3: U.S. resource and energy independenceNothing material (consistent with nature of the business).
Factor 4: Engagement with the U.S. government on national security issuesNothing material (consistent with nature of the business).
Factor 5: International posture and dealings with foreign governmentsInternational workforce concentrated in nations with whom the U.S. has friendly relations, including the UK, Canada, Australia, and India.
Growth ScoreRanks 4th out of 76 in Information Technology
Factor 1: Levels of investment in the United StatesStrong investment in the U.S.; over 100 million total customers, additionally 49% of customers are self-employed or small businesses. 37% of customers are “Consumers” (defined as individuals using the systems for personal tax purposes). Intuit served as a non-bank provider of Paycheck Protection Program (PPP) loans, originating $1.2 billion in loans to 30,000 small businesses in 2020, supporting 220,000 jobs.
Factor 2: Contribution to long term productivity growthIntuit’s software products for business management are critical to improving productivity at small businesses, a key driver of innovation. 7 million small business customers represent 17 million jobs, with Intuit’s products saving hours of labor, enhancing productivity across a wide swath of the U.S. economy.
Factor 3: Distributional impact of operationsPrimary offices are in Texas and California but impacts small businesses throughout the country (7 million small businesses use Intuit representing 17 million employees). Intuit has six Prosperity Hubs in the United States, centers designed to help underserved communities keep jobs and businesses located in those communities. The Prosperity Hubs are in Bluefield, West Virginia; Hazard, Kentucky; Johnstown, Pennsylvania; Lawton, Oklahoma, and Wise, West Virginia along with one in Corner Brook, Canada, and New Castle, United Kingdom. In 2021, across these centers, Intuit helped create 2,240 jobs.
Factor 4: Non-core commercial activitiesCompleted acquisition of Credit Karma in 2020 after Department of Justice-required divestiture of Credit Karma Tax business, maintaining competition in the market for digital do-it-yourself tax preparers. Some evidence of advocacy against simplification of the tax code to maintain market need for sophisticated do-it-yourself tax services.