The Motley Fool: The Foolish Four, Friday, January 30, 1998

<THE FOOLISH FOUR>

Foolish Four Report
by Robert Sheard

LEXINGTON, KY. (Jan. 30, 1998) -- As we close out January, let's have another installment of Dow Stock Trivia. All figures listed here are complete through January 28, so there will be some slight discrepancies between returns listed here and in our Foolish Four model, which is updated each evening.

Let's start with the hot stocks. The following five stocks have made the best start in 1998:

11.7%  United Technologies <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: UTX)") else Response.Write("(NYSE: UTX)") end if %> 
 11.0%  Merck & Co. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: MRK)") else Response.Write("(NYSE: MRK)") end if %> 
 10.1%  Int'l Paper <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: IP)") else Response.Write("(NYSE: IP)") end if %> 
  8.3%  Eastman Kodak <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: EK)") else Response.Write("(NYSE: EK)") end if %> 
  6.2%  Disney (Walt) <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: DIS)") else Response.Write("(NYSE: DIS)") end if %> 
  0.3%  Average Dow Stock

Over a little longer stretch, here are the five best stocks for the last 13 weeks:

33.2%  Merck & Co. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: MRK)") else Response.Write("(NYSE: MRK)") end if %> 
 29.0%  AT&T Corp. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: T)") else Response.Write("(NYSE: T)") end if %> 
 26.8%  Disney (Walt) <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: DIS)") else Response.Write("(NYSE: DIS)") end if %> 
 18.0%  Gen'l Electric <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: GE)") else Response.Write("(NYSE: GE)") end if %> 
 17.5%  Johnson & Johnson <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: JNJ)") else Response.Write("(NYSE: JNJ)") end if %> 
  6.2%  Average Dow Stock

And over the last 26 weeks, here are the hot five:

69.8%  AT&T Corp. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: T)") else Response.Write("(NYSE: T)") end if %> 
 30.1%  Disney (Walt) <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: DIS)") else Response.Write("(NYSE: DIS)") end if %> 
 14.2%  Merck & Co. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: MRK)") else Response.Write("(NYSE: MRK)") end if %> 
  9.3%  Johnson & Johnson <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: JNJ)") else Response.Write("(NYSE: JNJ)") end if %> 
  8.6%  Gen'l Electric <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: GE)") else Response.Write("(NYSE: GE)") end if %> 
 -2.7%  Average Dow Stock

The worst performers? Over the last six months, here are the howlers:

-25.1%  Sears Roebuck <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: S)") else Response.Write("(NYSE: S)") end if %> 
 -20.1%  Union Carbide <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: UK)") else Response.Write("(NYSE: UK)") end if %> 
 -19.4%  Boeing <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: BA)") else Response.Write("(NYSE: BA)") end if %> 
 -18.3%  Caterpillar Inc. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: CAT)") else Response.Write("(NYSE: CAT)") end if %> 
 -17.5%  Aluminum Co. of Amer. <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: AA)") else Response.Write("(NYSE: AA)") end if %> 
  -2.7%  Average Dow Stock

The average Price/Earnings Ratio is 23.2.

The average Price/Sales Ratio is 2.0.

The average Dividend Yield is 1.8%.

The average Market Capitalization is $64.5 billion.

The average Total Return over the past year was 28.3%.

The average Annualized Return over the past 3 years was 30.7%.

The average Annualized Return over the past 5 years was 22.4%.

The average Annualized Return over the past 10 years was 18.8%.

Have a Foolish weekend!

[Still confused about the changes to the Foolish Four? Visit our special collection which explains why the Fools have modified our beloved Dow Approach.]

[Want to be the first Fool on your block to get a copy of Robert Sheard's forthcoming book? Click here to pre-order your copy of The Unemotional Investor.]

TODAY'S NUMBERS

Stock Change Last -------------------- UK + 3/4 43.81 IP -2 45.69 MO - 1/8 41.50 EK - 5/16 65.25

Day Month Year FOOL-4 -0.89% 1.85% 1.85% DJIA -0.83% -0.02% -0.02% S&P 500 -0.53% 1.02% 1.02% NASDAQ -0.01% 3.12% 3.12% Rec'd # Security In At Now Change 12/31/97 206 Eastman Ko 60.56 65.25 7.74% 12/31/97 289 Int'l Pape 43.13 45.69 5.94% 12/31/97 291 Union Carb 42.94 43.81 2.04% 12/31/97 276 Philip Mor 45.25 41.50 -8.29% Rec'd # Security In At Value Change 12/31/97 206 Eastman Ko 12475.88 13441.50 $965.63 12/31/97 289 Int'l Pape 12463.13 13203.69 $740.56 12/31/97 291 Union Carb 12494.81 12749.44 $254.63 12/31/97 276 Philip Mor 12489.00 11454.00 -$1035.00 CASH $77.19 TOTAL $50925.82