1. Great Atlantic Pacific & Tea (GAP) is a $10 billion revenue food chain. The dividend yields 6.2% and it's
down, from a high of $29 in the past 12-months. GTAP trades at 8 times next year's earnings.
2.First Union (FTU) down from $65 last year yields 7.9%. Earnings hit a speed bump this year but are expected to
improve greatly next year.
3. Chase Manhattan (CMB) trades at 10 times earnings and was as high as $68 this year. Will come back and satisfy
investors for the long term and sooner then most people think.
4. Motorola (MOT) is down from a high of $61. Motorola which expects earnings to grow 30% next year, trades at
a P/E of 15 times next 2001's earnings.
5. Intel (INTC) which traded at $75 this year is way off their value and is due for a quick upside next year. Intel
is one of the 800lb gorillas that will stay that way for a long time to come.
6.Home Depot (HD). One of our favorite companies that have rewarded investors with terrific growth and will maintain
that program. A wonderful management team that is one of the best in retail-and will get even better, if that is
possible.
7.Albertsons (ABS), a $37 billion grocer traded as high as $66 last year when earnings stumbled. ABS trades at
8 times next year's expected earnings of $2.60 a share.
8. Sherwin Williams (SHW), a $5 billion paint manufacturer trades at 9 times next year's earnings and last year
traded as high as $34.
9. Newell (NWL), traded at $52 last year before merger costs with Rubber Maid decimated earnings. All those costs
out of the way and NWL which should earn $2 next year and trades at 9.5 time earnings.
10.Wachovia (WB), one of the better banks that have a dividend yield of 5%. Down from $99 last year, earnings are
expected to improve at least 20% in 2001 and it trades at 8.5 times next year's earnings.