GROWTH AND INCOME: Johnson & Johnson
Market Cap: $154.4 billion
P/E Ratio: 12
Earnings Growth: 9%
Dividend Yield: 3.5%
J&J's diversified business model -- the company sells everything from band-aids to oncology drugs -- has kept it growing in good times and bad. The company achieved 22% profit growth last year, compared with an industry average of -0.5% and a return on equity of 30% vs. -3.5%. Yet despite its strong performance, JNJ's stock trades on par with its competitors.
Revenues are projected to drop this year, but UBS analyst Bruce Nudell, who rates JNJ a "buy," thinks sales will resume single-digit growth in 2010 and 2011. Until then, investors can take comfort in the dividend.
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Unilever
Last updated June 11 2009: 10:27 AM ET
Criteria include long-term earnings growth of 7% or more, dividend yield greater than the S&P's 3.1%, and P/E ratios below 27. All data related to stock price as of June 1, 2009. P/E ratios based on the previous 12 months' reported earnings. Earnings growth based on Wall Street estimates for the next three to five years.
