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Current BW Magazine Table of Contents

December 31, 2001 BW Magazine Table of Contents

December 31, 2001 Where to Invest Table of Contents

INVESTMENT OUTLOOK 2002
Introduction

The Framework

Strategies for Stocks & Bonds

The Investment Spectrum

The Investment Scoreboard

Plus:
The Barker Portfolio

Inside Wall Street

COLUMNS FORUMS NEWSLETTERS PERSONAL FINANCE SEARCH SPECIAL REPORTS TOOLS VIDEO VIEWS

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DECEMBER 31, 2001

WHERE TO INVEST -- THE INVESTMENT SCOREBOARD
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A Menu of Investment Opportunities

These six tables show the companies that scored the highest based on
various financial criteria. Be careful, though: Unusually high or low
results could also be a sign of trouble. This is just the start for further
research.


BIG CAPS WITH THE HIGHEST DIVIDEND YIELD These companies have a market capitalization of at least $5 billion and pay the highest dividends, excluding utilities and REITs

PERCENT

R.J. REYNOLDS TOBACCO HLDGS. (RJR) 6.1% EASTMAN KODAK (EK) 6.0 KEYCORP (KEY) 5.2 UST (UST) 5.1 PHILIP MORRIS (MO) 4.9 AMSOUTH BANCORP (ASO) 4.8 UNION PLANTERS (UPC) 4.6 H.J. HEINZ (HNZ) 4.3 NATIONAL CITY (NEC) 4.2 CONAGRA FOODS (CAG) 4.1



STOCKS WITH A LOW PRICE-TO-BOOK RATIO These companies have an S&P Equity Ranking of at least A- and a relatively low price-to-book ratio

PRICE AS S&P PERCENT OF EQUITY BOOK VALUE RANKING

DILLARD'S (DDS) 54% A ROYAL CARIBBEAN CRUISES (RCL) 78 A ONEOK (OKE) 80 A- CONSTELLATION ENERGY GROUP (CEG) 95 A- NATIONAL SERVICE INDS. (NSI) 102 A- CINCINNATI FINANCIAL (CINF) 105 A- WATSCO (WSO) 106 A HUGHES SUPPLY (HUG) 107 A- UTILICORP UNITED (UCU) 113 A- AVNET (AVT) 117 A-



CHEAP STOCKS Companies with both a low price-to-book ratio and a low price-earnings ratio

PRICE AS PERCENT OF P-E BOOK VALUE RATIO

PROVIDIAN FINANCIAL (PVN) 32% 1 INTEGRATED ELECTRICAL SVCS. (IEE) 32 6 SPHERION (SFN) 40 5 TESORO PETROLEUM (TSO) 52 5 KAISER ALUMINUM (KLU) 65 1 ENCOMPASS SERVICES (ESR) 13 8 DURA AUTOMOTIVE SYSTEMS (DRRA) 35 7 OWENS-ILLINOIS (OI) 72 3 AVISTA (AVA) 78 4 COMPUCOM SYSTEMS (CMPC) 45 9



TECH WITH A DIVIDEND Tech stocks that pay dividends tend to be in the less glamorous corners of the sector

PERCENT

MCI GROUP (MCIT) 18.3% HUBBELL (HUB.B) 4.9 NATIONAL SERVICE INDUSTRIES (NSI) 4.0 ROCKWELL INTERNATIONAL (ROK) 4.0 COOPER INDUSTRIES (CBE) 3.4 VERIZON COMMUNICATIONS (VZ) 3.3 SMITH (A.O.) (AOS) 2.9 EMERSON ELECTRIC (EMR) 2.9 PITNEY BOWES (PBI) 2.8 SBC COMMUNICATIONS (SBC) 2.7



HIGH-GROWTH TECH STOCKS Technology companies projected to have higher-than-average long-term earnings growth

PRICE CHANGE LONG-TERM S&P DEC. 31, 2000- EARNINGS EQUITY NOV.30, 2001 GROWTH RANKING

LINEAR TECHNOLOGY (LLTC) -11 25.0% A TELEPHONE AND DATA SYSTEMS (TDS) 0 24.0 A- CITIZENS COMMUNICATIONS (CZN) -25 20.0 A- ELECTRONIC ARTS (ERTS) 42 25.0 B+ MAXIM INTEGRATED PRODS. (MXIM) 15 25.0 B+ PEOPLESOFT (PSFT) -6 25.0 B+ BENCHMARK ELECTRONICS (BHE) -15 25.0 B+ SYMBOL TECHNOLOGIES (SBL) -31 25.0 B+ CISCO SYSTEMS (CSCO) -47 25.0 B+ SOLECTRON (SLR) -57 25.0 B+



HIGH HOPES FOR EARNINGS These companies' earnings are forecast to move ahead strongly in 2002

PERCENT CHANGE 2001-2002

E*TRADE GROUP (ET) 325% BMC SOFTWARE (BMC) 100 AGCO (AG) 97 TRANSOCEAN SEDCO FOREX (RIG) 93 PROVIDENT FINANCIAL GRP. (PFGI) 92 GATX (GMT) 88 XILINX (XLNX) 85 PITTSTON (PZB) 82 TEXAS INDUSTRIES (TXI) 66 EBAY (EBAY) 57

Thomson Financial/First Call estimates as of Nov. 29. All other data as of Nov. 30

Data: Thomson Financial/First Call, Standard & Poor's COMPUSTAT






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