"PepsiCo (PEP, NYSE, around $32) was one of the best growth stocks of the 1980s, and its outstanding profit prospects suggest the 1990s will be a repeat performance," says Dow Theory Forecasts of Hammond, Ind.
"PepsiCo's top-notch marketing skills have parlayed powerful brand names into steady earnings growth.
"Steady growth of the U.S. soft drink market and foreign expansion opportunities point to sustained double-digit gains for the soft drink sector. The stock offers superior capital-gains potential."
"Cascade International, based in Boca Raton, Fla., (KOSM, OTC, around $6) is a a manufacturer of cosmetics and skin care products. The firm is showing excellent consistency in earnings and sales growth," says Hussman Econometrics of Palo Alto, Calif.
Cascade earned 41 cents a share in 1990. Over the next six months, earnings could rise some 30 percent. Further, the company is reporting a strong return on equity and assets. This is a good selection for value-oriented long-term investors."
"We have reduced our earnings estimates for Disney (DIS, NYSE, around $118) in response to a more cautious macroeconomic forecast for the remainder of 1991," says Raymond Katz of Shearson Lehman Brothers.
"The biggest reduction comes in the third quarter of this year, which ends in June. We have lowered our 1992 earnings forecast due to our expectations for only a gradual economic recovery . . ." But, "we remain positive for the long term and the stock remains on our buy list."
"NDL Products (NDLP, OTC, around $2) is an innovative maker of sports therapy products. "The firm appears to have barely scratched the surface of its potential markets," says Richard Lilly of J.W. Charles Securities.
"The company is just beginning to introduce products for helping prevent sports-related injuries. 1990 was a poor year; in 1991, however, NDL should report profits of 12 cents per share on sales of $10.5 million. Further, a succession of record years seems likely for 1992 and 1993."