5 of 40
BACK NEXT
GROWTH AND INCOME: Illinois Tool Works
Ticker: ITW
Market cap billions: $27.7
P/E ratio*: 15
Earnings growth**: 11%
Dividend yield: 2.2%

Illinois Tool Works is nothing if not diverse. It makes everything - from nuts and bolts to ovens, plastic bags and flooring materials. Earnings are expected to increase about 11% annually for the next few years.

"Illinois Tool Works is to industrials what Johnson & Johnson is to health care. It's a mutual fund of industrial companies," said Ted Parrish, co-manager of the Henssler Equity fund, which owns the stock. And since J&J is another member of this portfolio, that suits us just fine.

NEXT: GROWTH AND INCOME: Johnson & Johnson
Last updated June 20 2008: 2:35 PM ET
Criteria include long-term earnings growth equal to or greater than the S&P 500's estimated 7% rate, dividend yield greater than the S&P 500's 2%, and P/E ratios below 27.
*Based on previous 12-months' reported earnings.
**Wall Street estimates for the next three to five years.
Source: Zacks Investment Research
Fortune 40: Full list A complete list of all 40 stocks, with live financial data. (more)
Ultimate mutual fund portfolioIf you crave diversification, stability, and results - but you'd rather leave the hard work to a savvy pro - this collection is for you. (more)
6 real estate bargains The housing downturn's upside? You don't have to go overseas anymore for your dream retirement home. We found the six best markets for deals. (more)

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.