ATTENTION Investors and Finance Professionals:

If you are reading this you should sign up for ValuEngine's award-winning stock valuation and forecast
service at the low price of $19.95/month!
NO OBLIGATION, 14 Day FREE TRIAL!
CLICK HERE

December 8, 2010

Majority Report

Aerospace/Defense Firms Dominate Short-Term Forecast/Quality Screen

A screen for short-term forecast return leaders today provided some interesting
results. We queried our database looking for tickers ranked in the top 2% One-Month
Forecast Return category with share prices in excess of $3.00 and average volume of
100k shares/day. When we sorted the results by composite score--a broader quality
measure which takes into account momentum, valuation, p/e ratio, and market cap
as well as the short-term forecast return--we found our results dominated by
aerospace/defense firms.

One wonders how these firms can be doing so well given the possibility of future
defense cuts, but analysts note that many have been preparing for that eventuality
by cutting work forces and paring back on expenses. Like so many other big firms, the
austerity measures are now paying dividends to the bottom line. The sector as a
whole is calculated to be overvalued, but the level of overvaluation is mild
compared to that found in the Basic Materials and Energy sectors.

Below, you can see our results. These stocks are ranked by composite
score. They are all rated "Buy" or "Strong Buy."
 Last 12- Forecast Forecast
Mkt Valuation P/E
Ticker Name M 1-Month 1-Yr Industry
Price (%) Ratio
Retn(%) Retn(%) Retn(%)
ICGE INTERNET CAP GP 13.06 -75 91.78 4.02 10.82 16.42 INTERNET SERVICES
NOC NORTHROP GRUMMN 64.38 -9.07 18.39 3.74 18.47 10.6 AEROSPACE/DEFENSE
BA BOEING CO 66.23 -5.79 21.61 3.92 16.58 15.73 AEROSPACE/DEFENSE
GD GENL DYNAMICS 68.73 -2.04 3.77 4.17 19.25 10.28 AEROSPACE/DEFENSE
ELECTRONICS-
LLL L-3 COMM HLDGS 72.51 -15.04 -11.14 4.15 21.29 8.89
MILITARY SYS
ELECTRONICS-
RTN RAYTHEON CO 47.2 -8.85 -8.01 3.97 18.95 9.61
MILITARY SYS
TNE TELENORTE L ADR 14.35 -19.99 -35.45 3.67 15.06 5.84 WIRELINE - NON-US
LMT LOCKHEED MARTIN 69.45 -1.81 -8.5 3.98 17.92 9.78 AEROSPACE/DEFENSE
INSURANCE-MULTI
MTG MGIC INVSTMT CP 9.05 -65.05 74.71 6.02 40.78 N/A
LINE
AEROSPACE/DEFENSE
ATK ALLIANT TECHSYS 77.8 -10.14 -12.51 4.19 21.85 8.58
EQUIP
PROTECTION-SFTY EQ
CSR CHINA SEC&SURV 5.03 -45.23 -27.94 4.46 21.04 4.96
& SVC
OIL & GAS-U S EXPLO &
LNG CHENIERE ENERGY 5.34 -75 172.45 4.69 20.99 N/A
PROD
SATC SATCON TECH CRP 4.07 -44.87 80.09 9.66 31.22 N/A ELEC PRODUCTS-MISC
MEDICAL-
MNTA MOMENTA PHARMA 15.18 -17.31 41.16 3.77 15.24 91.51
BIOMED/GENETICS
AEROSPACE/DEFENSE
TGI TRIUMPH GRP INC 89.17 43.61 78.09 4.26 14.1 15.03
EQUIP

Subscribers can check out the latest figures on the Defense/Aerospace sector HERE

Not a ValuEngine Premium Website member? Then please consider signing up

for our no obligation, free trial today.

To Sign Up for a Two Week FREE TRIAL, Please Click the Logo Below

MARKET OVERVIEW
Summary of VE Stock Universe
Stocks Undervalued 41.52%
Stocks Overvalued 58.48%
Stocks Undervalued by 20% 19.29%
Stocks Overvalued by 20% 25.30%
SECTOR OVERVIEW
Sector Change MTD YTD Valuation Last 12- P/E
MReturn Ratio
Aerospace 0.38% 2.22% 20.15% 5.67% overvalued 30.78% 19.32
Auto-Tires-Trucks 0.22% 5.46% 53.51% 12.91% overvalued 56.59% 25.49
Basic Materials -0.98% 3.16% 29.89% 26.45% overvalued 67.57% 36.79
Business Services 0.42% 3.03% 12.55% 4.20% overvalued 21.95% 29.43
Computer and Technology 0.13% 2.75% 26.54% 5.14% overvalued 33.45% 43.09
Construction 0.28% 4.57% 7.90% 2.81% overvalued 10.32% 35.91
Consumer Discretionary -0.03% 1.74% 21.40% 4.43% overvalued 28.09% 30.98
Consumer Staples 0.75% 2.10% 10.13% 8.17% overvalued 16.46% 26.64
Finance 0.19% 2.01% 15.27% 4.61% overvalued 15.90% 23.97
Industrial Products 0.19% 2.66% 22.37% 11.20% overvalued 30.01% 24.77
Medical 0.25% 1.34% 12.27% 8.21% undervalued 20.33% 36.5
Multi-Sector Conglomerates -0.16% 1.75% 22.98% 12.18% overvalued 32.31% 28.7
Oils-Energy -0.42% 2.77% 16.38% 21.27% overvalued 44.69% 40.13
Retail-Wholesale 0.24% 1.41% 19.36% 9.59% overvalued 60.96% 22.18
Transportation 0.25% 2.42% 24.55% 10.56% overvalued 30.05% 42.43
Utilities -0.21% 0.51% 5.33% 6.01% overvalued 13.84% 24.64