PowerRatings Across The Indexes: PG, MMM, CEPH, AMGN, JNJ, DGX

Markets have been moving wildly over the last several weeks, making severe moves in both directions, and throwing long term stock traders in every direction. Despite the extreme volatility, there is another diverse grouping of stocks that have earned slots in the top echelon of Long Term PowerRatings across the 3 major indexes.

Our statistically valid, long term studies have clearly shown that stocks that are awarded a 9 rating have a 79.1% chance of being higher one year later, those with a 10 rating up the ante even further with a 81% chance being higher one year later. These top rated stocks have also proven to be less volatile therefore statistically safer bets for your long term portfolio needs. As you know this is critical in times like these.

On the other end of the spectrum are those stocks that earn a low Long Term PowerRating of 1, 2, or 3. These stocks have proven, over time, to simply be too volatile therefore risky for prudent long term investment. Our testing was done across most market conditions over the last 12 years which validates the ratings as something every investor should look at prior to making any stock investing decision. Let's take a closer looks at several of the top Power Rated Stocks across the indexes, starting with the DJIA.

The DJIA

Proctor & Gamble (PG | Quote | Chart | News | PowerRating) - This giant personal products company is tied with Johnson and Johnson as the top ranked member of the Dow Jones Industrial Average. They earned a 9 Long Term PowerRating in a sector that has an 8 rating. It has been in a strong, steady uptrend since the end of June. They have recently confirmed its earnings projections of 8 to 10% growth.

3M Company (MMM | Quote | Chart | News | PowerRating) - An 8 rated stock in a 10 rated sector, 3M has recently bounced off of its July lows on the chart. They have recently announced a dividend. The company is a diverse innovator of thousands of products across many markets.

The Nasdaq

Cephalon Inc (CEPH | Quote | Chart | News | PowerRating) - This 9 rated stock in the 8 rated drug sector has recently announced that they exceeded both sales and earnings guidance for the 2nd quarter of 2008. Their new products TREANDA and AMRIX are experiencing vigorous interest and the company continues to innovate. It's been trading in a channel between 60 and 80, recently approaching 80.

Amgen Inc (AMGN | Quote | Chart | News | PowerRating) - This venerable biotechnology company was upgraded from an 8 to a 9 rating. It is heartily outperforming its sector that has a 7 rating. Earnings have increased by 2%, Revenue by 1% and Full Year Revenue Guidance was raised from $14.2 billion to $14.6-14.9 billion. The CEO stated that the first 6 months of 2008 showed stability and they are very pleased with the outcome of various tests on new drug products. Technically, the stock has broken out of a base formed in April, May, and June and a nice uptrend has been in place since July.

The S&P 500

Johnson and Johnson (JNJ | Quote | Chart | News | PowerRating) - The health care powerhouse holds a 9 rating in a sector rated 9. They recently announced an 8.7% increase in sales and a 12.4% increase in second quarter earnings. It's been in a strong uptrend since the start of July.

Quest Diagnostics (DGX | Quote | Chart | News | PowerRating) - A 9 rated medical research and lab company residing in an industry sector that has earned an 8 rating overall. This New Jersey based company has strong fundamentals and appears to be weathering the market storm technically. Revenues are up 12%, Earnings Per Share up 14% and improved cash flow reported in the second quarter.

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