More Sivy on Stocks Optimistic about the stock market Blue chips that can ride out a recession Rocky market, smart strategies

NEW YORK (Money Magazine) - If there is any way to beat the market over the long run, it consists of following the strongest, most secure stocks and trying to scoop them up when they are measurably undervalued.

There are surprisingly few such stocks that you need to follow on an on-going basis -- we've come up with 70, which you can track in the table below.

What are the defining characteristics of these great growth stocks? Size is certainly part of it, and almost all of the stocks on the core list have market capitalizations and total revenues that top $5 billion a year.

We also looked for companies with diverse product lines and dominant positions in their industries.

As for growth, we sought companies that are capable of returning a steady 11 percent to 12 percent a year through a combination of earnings gains and yield.

THE SIVY SEVENTY				«Click column headings to re-sort»
Company (Ticker symbol)	Current price	52-wk high	52-wk low	P/E (next yr)	Proj. growth	Div Yield	Value Ratio
InterActiveCorp (IACI)	$23.00	$24.47	$14.85	22.8	17%	0.0%	1.3
Schlumberger (SLB)	$65.66	$72.00	$42.30	17.0	16%	1.3%	1.0
Staples (SPLS)	$24.15	$26.00	$18.72	15.1	15%	1.5%	0.9
Limited Brands (LTD)	$26.85	$27.09	$9.75	14.2	15%	14.9%	0.5
Wells Fargo (WFC)	$32.01	$32.70	$16.14	11.0	15%	0.6%	0.7
Aflac (AFL)	$55.12	$56.12	$22.90	9.4	15%	2.0%	0.6
UnitedHealth Group (UNH)	$32.27	$36.07	$21.95	9.6	14%	0.1%	0.7
Target (TGT)	$56.00	$56.44	$36.36	13.0	14%	1.2%	0.9
CVS Corp (CVS)	$36.90	$38.27	$27.38	12.1	14%	0.9%	0.8
FedEx (FDX)	$90.51	$94.53	$49.20	17.9	14%	0.5%	1.2
Illinois Tool Works (ITW)	$47.76	$51.16	$30.81	14.2	14%	2.6%	0.9
Best Buy (BBY)	$44.87	$45.65	$31.25	11.5	14%	1.2%	0.8
Walgreen (WAG)	$36.82	$40.69	$27.89	13.8	14%	1.5%	0.9
Corning (GLW)	$20.00	$20.85	$13.30	10.2	13%	1.0%	0.7
Lowe's (LOW)	$25.77	$25.69	$18.02	15.3	13%	1.4%	1.1
Johnson Controls (JCI)	$32.09	$33.60	$15.56	13.8	13%	1.6%	0.9
Danaher Corp (DHR)	$79.58	$81.10	$52.80	17.1	13%	0.2%	1.3
Union Pacific (UNP)	$75.82	$75.98	$44.00	14.7	13%	1.4%	1.0
Abbott Laboratories (ABT)	$52.28	$56.79	$41.27	11.0	12%	3.4%	0.7
United Technologies (UTX)	$73.38	$74.97	$45.17	13.8	12%	2.3%	1.0
Time Warner (TWX)	$32.70	$32.93	$20.96	13.4	12%	2.6%	0.9
Nike B (NKE)	$75.45	$75.95	$48.76	17.6	12%	1.4%	1.3
General Dynamics (GD)	$76.89	$78.96	$43.11	11.0	12%	2.2%	0.8
Comcast (CMCSA)	$18.66	$19.04	$13.04	13.4	12%	2.0%	1.0
Cisco Systems (CSCO)	$26.44	$26.85	$17.13	15.5	12%	0.0%	1.3
Wal-Mart Stores (WMT)	$55.19	$56.27	$47.35	12.6	11%	2.2%	1.0
ADP (ADP)	$44.25	$45.22	$33.26	17.4	11%	3.1%	1.2
T. Rowe Price (TROW)	$56.38	$56.94	$31.89	19.0	11%	1.9%	1.5
Intel (INTC)	$22.63	$22.75	$14.96	12.3	11%	2.8%	0.9
Home Depot (HD)	$33.76	$33.57	$22.27	15.8	11%	2.8%	1.1
Applied Materials (AMAT)	$13.62	$14.94	$10.31	11.9	11%	2.1%	0.9
Colgate-Palmolive (CL)	$84.70	$87.39	$57.15	15.8	11%	2.5%	1.2
Microsoft (MSFT)	$30.27	$31.50	$18.47	13.7	11%	1.7%	1.1
American Express (AXP)	$44.43	$44.58	$17.50	14.0	10%	1.6%	1.2
Aetna (AET)	$32.52	$35.96	$21.55	10.6	10%	0.1%	1.0
3M (MMM)	$83.61	$85.17	$51.63	14.6	10%	2.5%	1.2
Hewlett-Packard (HPQ)	$53.95	$54.00	$33.40	11.1	10%	0.6%	1.0
Disney (DIS)	$36.03	$36.88	$18.80	15.6	10%	1.0%	1.4
Viacom B (VIAB)	$35.85	$36.38	$17.97	12.1	10%	0.0%	1.2
Texas Instruments (TXN)	$25.74	$27.00	$16.57	11.6	10%	1.9%	1.0
Procter & Gamble (PG)	$62.69	$64.58	$46.98	15.4	10%	2.8%	1.2
IBM (IBM)	$128.45	$134.25	$96.44	10.8	10%	1.7%	0.9
PepsiCo (PEP)	$66.24	$67.00	$47.50	14.3	10%	2.7%	1.1
Northrop Grumman (NOC)	$65.92	$66.69	$42.51	9.8	10%	2.6%	0.8
Omnicom Group (OMC)	$39.40	$40.29	$26.70	13.1	10%	2.0%	1.1
J.P. Morgan Chase (JPM)	$46.21	$47.47	$28.87	9.6	10%	0.4%	0.9
Harley-Davidson (HOG)	$32.08	$33.02	$14.99	17.6	9%	1.2%	1.7
Alcoa (AA)	$14.19	$17.60	$8.10	11.9	9%	0.8%	1.2
Fortune Brands (FO)	$52.50	$51.09	$31.58	15.8	9%	1.4%	1.5
General Electric (GE)	$18.77	$18.98	$10.50	15.2	8%	2.1%	1.5
DuPont (DD)	$38.72	$39.21	$23.91	14.4	8%	4.2%	1.2
Boeing (BA)	$71.43	$74.53	$35.81	15.9	8%	2.4%	1.5
Anadarko Petroleum (APC)	$72.34	$75.00	$40.28	26.3	8%	0.5%	3.1
Citigroup (C)	$4.61	$5.43	$2.55	12.8	8%	0.0%	1.6
Johnson & Johnson (JNJ)	$65.14	$65.95	$50.12	12.2	7%	3.0%	1.2
Coca-Cola (KO)	$54.81	$59.45	$42.00	14.6	7%	3.2%	1.4
ConocoPhillips (COP)	$56.01	$56.17	$37.52	7.6	7%	3.9%	0.7
Amgen (AMGN)	$60.24	$64.76	$44.96	11.0	7%	0.0%	1.6
Sysco (SYY)	$29.88	$30.00	$21.26	15.1	6%	3.4%	1.6
Lilly (LLY)	$36.53	$38.00	$31.98	7.7	6%	5.4%	0.7
Caterpillar (CAT)	$66.98	$67.00	$28.50	16.8	6%	2.5%	2.0
Hershey Foods (HSY)	$44.15	$44.47	$33.70	17.8	6%	2.9%	2.0
Bank of America (BAC)	$18.57	$19.10	$7.00	9.7	5%	0.2%	1.9
ExxonMobil (XOM)	$68.50	$76.54	$63.56	9.5	5%	2.5%	1.3
Pfizer (PFE)	$17.17	$20.36	$12.75	7.4	2%	4.2%	1.2
Anheuser-Busch (BUD)	$51.45	$53.70	$36.95	N/A	N/A%	0.0%	N/A