The Daily Workshop Report
by Robert Sheard (TMF Sheard)

LEXINGTON, KY. (Oct. 1, 1997)

Scroll to the bottom for year-to-date Growth and Value Screen results.

I've written about high-relative-strength, large-capitalization stocks on a number of occasions. My belief is that by focusing on the larger third of the stock world, you can buy a certain measure of stability, yet without sacrificing performance if you focus on genuinely strong stocks. When I free up some research time, this is an area I'd like to research thoroughly. But in the meantime, several readers have asked me to post periodic sets of rankings for stocks meeting these criteria.

Today, then, I'll post three groups of stocks. Using Value Line's electronic database, I screened for large-cap American stocks that carry a Timeliness ranking of some kind. Value Line eliminates the Timeliness ranking for stocks involved in merger activity, so requiring the stock to have a Timeliness ranking filters out those stocks that have soared because of an announced buyout. Value Line defines large-caps as stocks with a market capitalization of at least $5 billion.

Then I sorted these stocks (313 in all) by total return over three separate periods, the previous year, the previous 26 weeks, and the previous 13 weeks. If the theory holds true, these winning stocks are potential winners in the future as well. I've made no distinctions on any of the stocks listed here other than those listed in my screening criteria. Don't read these lists as Sheard's recommendations; they're simply factual lists you might care to pursue further on your own. Fool on.

Total 1-Year % Return
389  Dell Computer (DELL)
356  Quantum Corp. (QNTM)
289  Applied Materials (AMAT)
259  KLA-Tencor (KLAC)
189  Compaq Computer (CPQ)
166  EMC Corp. (EMC)
145  Texas Instruments (TXN)
131  Intel Corp. (INTC)
124  Solectron Corp. (SLR)
117  Warner-Lambert (WLA)
116  Microsoft Corp. (MSFT)
113  America Online (AOL)
109  Tosco Corp. (TOS)
108  Lehman Bros. Holdings (LEH)
108  AES Corp. (AES)

Total 26-Week % Return
174  Dell Computer (DELL)
135  Compaq Computer (CPQ)
126  Bay Networks (BAY)
102  Quantum Corp. (QNTM)
100  Nextel Communic. 'A' (NXTL)
  92  Applied Materials (AMAT)
  86  KLA-Tencor (KLAC)
  75  Computer Associates (CA)
  67  America Online (AOL)
  67  Texas Instruments (TXN)
  66  Nordstrom Inc. (NOBE)
  64  Franklin Resources (BEN)
  63  Solectron Corp. (SLR)
  62  EMC Corp. (EMC)
  61  Merrill Lynch & Co. (MER)

Total 13-Week % Return
98  Quantum Corp. (QNTM)
83  Compaq Computer (CPQ)
61  Dell Computer (DELL)
54  Nextel Communic. 'A' (NXTL)
54  Texas Instruments (TXN)
49  EMC Corp. (EMC)
49  Global Marine (GLM)
45  KLA-Tencor (KLAC)
43  Bay Networks (BAY)
41  Linear Technology (LLTC)
39  Federal Express (FDX)
38  Bankers Trust NY (BT)
36  Halliburton Co. (HAL)
36  Schlumberger Ltd. (SLB)
35  Huntington Bancshs. (HBAN)


Monthly Growth Screens
(Jan. 3 to present)
89.66%  Relative Strength  
39.94%  Investing for Growth  
31.26%  EPS Plus RS  
27.73%  S&P 500 Index  
24.20%  YPEG Potential  
21.38%  Formula 90  
21.15%  Low Price/Sales  
20.21%  Unemotional Growth  

Annual Value Screens
(Jan. 1 to present)
26.25%  Dogs of the Dow  
24.51%  Dow Combo  
24.30%  Dow Jones Ind Avg  
23.98%  Beating the S&P  
23.39%  Unemotional Value  
23.39%  Beating the Dow  
17.90%  Foolish Four