years, driven by the global economy and the fact that oil prices will probably stabilize at just over $30,” Payne observes.
And finally, in technology, Payne’s research points to Harmonic Inc. (NASDAQ: HLIT), a company that designs, manufactures, and markets a variety of broadband solutions. Payne thinks the company should benefit from greater demand for their broadband access networks. Harmonic is a leading provider of digital video, broadband optical networking, and IP delivery systems to cable, satellite, telecom, and broadcast network operators. Their edge lies in their ability to offer companies the chance to exchange data at greater speeds. “I think you’re going to see demand ramp up for Harmonic’s products. People are going to need to be able to transmit very large documents and large amounts of data between offices in different cities across the country at higher speeds than are currently available,” Payne says.
CHARLES PAYNE’S Private Screening Picks
| Company Exchange: Symbol |
Price | 12- to 18-Month Price Target |
P/E on Projected 2004 Earnings |
Est. 3-Yr. Annual EPS Growth Rate |
Why Stock Will Outperform |
| Bristol-Myers Squibb Co. (NYSE: BMY) |
$29.55 | $40.00 | 18 | Flat | They have a good management team that executes well and they produce quality products. |
| Johnson & Johnson (NYSE: JNJ) |
$53.00 | $64.00 | 22 | 13% | Their CYPHER™ Sirolimus-eluting Coronary Stent for heart patients will continue to increase revenues. |
| Weatherford International (NYSE: WFT) |
$41.59 | $55.00 | 28 | 33% | The company will benefit from an increased global demand for oil. |
| Harmonic (NASDAQ: HLIT) |
$9.85 | $20.00 | 80 | 100% | There will be greater demand for high-speed data transfer services. |
| SOURCE: Charles Payne; wall street strategies; yahoo! finance | |||||