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URL:  http://boards.fool.com/july-2012-picks-30189499.aspx

Subject:  July 2012 Picks Date:  8/6/2012  5:39 PM
Author:  AllTooFoolish Number:  5927 of 6022

Based on the latest results as of today’s data release, only Cisco would qualify as a Long candidate. 
Although several stocks are significantly overvalued according to the BI valuation methods, none would qualify as a short candidate.

Market Valuation: Data suggests we are at Parity valuation.
Downside -19%
Upside +20%

I am using the following TTD rules for Long position considerations:
1. Year-over-Year EPS growth must > 10%, which is the next 4Q / current quarter + previous 3 quarters earnings results
2. VL 3-5 Year price appreciation > average price appreciation of the market
3. When calculating ROE and BV figures, ignore years when are negative, but must have at least 7+ years of data to be 
   included in final consideration
4. Avoid erratic ROE ratios, that is where they are > 2std deviations = Curr ROE > (10 Year Avg + 2 * Std Dev)


Summary of Results												
											
	VL	        Current	Down	Up	%<10Y	EPS	Div    3-5Y L 3-5Y H VL 3-5Y   ROE	
Ticker	Date	        Price	Price	Price	Down	Delta   Yield   VL $	VL $	% Chg	<2STD	Name
CAT	25-May-12	 85.02 	81.53	144	4%	14%	2.5	145	215	116%	FALSE	Caterpillar Inc.
JNJ	25-May-12	 69.12 	62.96	79.92	10%	4%	3.6	80	100	31%	TRUE	Johnson & Johnson
MCD	1-Jun-12	 89.59 	66.92	95.93	34%	12%	3.1	110	130	33%	FALSE