PowerRatings Across The Indexes: JNJ, KO, AAPL, TEVA, WYE, ABT

Stocks are anxiously anticipating the wrap up of the FOMC meeting tomorrow. After an aggressive sell off yesterday triggered by a pessimistic economic growth forecast from World Bank, shares are stabilizing this morning. However, fears of the Fed hinting at rate increases at the meeting are muting any rebound thus far.

Right now the bulls and bears appear to be equally matched with compelling arguments on both sides of the fence. However, no one knows for sure, and regardless of what happens, there will always be pockets of stocks that outperform. Our PowerRatings are designed to help you locate these stocks despite market conditions.

During these extraordinarily uncertain times, long term stock investors need a proven system to correctly choose stocks for their portfolio and to cull holdings that are no longer rating well. Our PowerRatings Scanner slices and dices the market in a myriad of ways.

One way is it ranks stocks in the three major stock indexes, the Dow Jones Industrial Average, The Nasdaq, and the Standard & Poors 500. It serves up the top Long Term PowerRated stocks in each of the indexes on demand. Long Term PowerRatings are a tool trader's use in building a long term stock portfolio. The ratings allow you to avoid inherently risky and overtly financially dangerous stocks while focusing on stocks that are most likely to perform well over the long term.

Our studies clearly indicate that stocks that earn a 10 rating have an 81% chance of being higher one year later. Those awarded a 9 rating have a 79.1% chance of trading higher one year later. Conversely, those stocks with a low 1,2 or 3 Long Term PowerRatings have proven to simply be too volatile thus risky for prudent, conservative long term investment.

Let's take a closer look at several top rated stocks from our PowerRatings Scanner across the three major indexes.

DJIA

Johnson & Johnson (JNJ | Quote | Chart | News | PowerRating) - This company remains the number one ranked stock in the DJIA with a 7 Long Term PowerRating.  In April, the major drug maker announced a 6.5% dividend increase. 1st quarter results indicate declines across the major fundamental metrics. Sales were down 7.2%, negative currency impact of 12.6% and Net Earnings took a 2.5% hit. However, EPS matched last year at $1.26 and the company reconfirmed its earning guidance of $4.45 to $4.55/share for 2009. The CEO, William Weldon, sounded very optimistic about 2009 despite the slightly negative results. They just reached an agreement to purchase Cougar Biotechnology, an oncology specialist. Technically, price has burst our above the 50-day SMA and is hitting resistance at $56.00/share. The 200-day SMA is resting at 56.61 and is the next hard technical resistance level.

Coca Cola (KO | Quote | Chart | News | PowerRating) - An international beverage company was just upgraded, earning a 7 Long Term PowerRating. This places the company as the second highest ranked stock in the DJIA. In 2008, case volume was up by 5% with substantial growth in India and China. Cash Flow advanced 6% as well as EPS grew by 10%. The company is known to be well diversified with over 500 brands of sparkling and still beverages. The flagship brand, Coca Cola is the world's most valuable brand name. The company is becoming very active in the growing economies of China and India; earmarking over $2 billion dollars for investment in China over the next 3 years. Getting a foothold here now, should continue to payoff over the long term as this economy continues to thrive and grow. Technically, shares are uptrending and have broken above both the 50 and 200-day SMA's. Resistance appears at $50.00/share

The Nasdaq

Apple (AAPL | Quote | Chart | News | PowerRating) - This “in the news” computer and iPhone/Pod company is the second highest ranked stock in the Nasdaq. It has earned a 6 Long Term PowerRating. They have just released the next generation iPhone with much fanfare. It has blown away sales estimates with over one million sold in the first 3 days of release. However, negative rumors regarding CEO and visionary, Steve Job's health are casting a dark shadow on the impressive performance. Technically, price has pulled back from a strong uptrend after hitting resistance in the $145/share range. Support exists at the 50-day SMA currently at $130.46/share

Teva Pharmaceuticals (TEVA | Quote | Chart | News | PowerRating) - This Israeli based maker of generic drugs remains the number one ranked stock in the Nasdaq. It has earned a 7 Long Term PowerRating. Moody's just upgraded their rating from stable to positive. First quarter results were strong with Net Sales up 22% and Non GAAP Net Income was up 4%. However Non GAAP EPS was down 4% due to the Barr purchase. Technically, shares have been in a ripping uptrend, trading above both the 50 and 200 day SMA's. However, price has fallen back from resistance currently at $49.00/share. Support appears at the 50-day SMA at $45.62/share.

S&P 500

Wyeth (WYE | Quote | Chart | News | PowerRating) - This major drug maker is the highest ranked stock in the S&P 500 and the entire Long Term PowerRating universe with the highest possible rating of 10. First quarter results were mixed with declining Revenue due to currency exchange but increasing diluted EPS. The second quarter results will be released on July 23rd. Technically, shares are in an uptrend but a double top may be forming around the $45.00 range.

Abbott Laboratories (ABT | Quote | Chart | News | PowerRating) - This major drug maker has earned an 8 Long Term PowerRating. It is the second highest ranked stock in the S&P 500. They just reported a 10.1% increase in worldwide sales, an annual EPS growth of 14.0% and nine new regulatory approvals for 2008.  The company reconfirmed a strong outlook for earnings in 2009.  They just declared their 342 consecutive quarterly dividend of 0.40 cents/share. Technically, price has been uptrending since May 1st but has hit resistance at $48.00/share.

Learn what you need to know as an active investor looking to invest in companies with a history of financial strength and a track record for growth. Click the link above or call us at 888-484-8220 extension 1 to get your copy of the "5 Secrets to Successful Stock Investing" today!

David Goodboy is Vice President of Business Development for a New York City based multi-strategy fund.