IBM has grown free cash flow from $6.7 billion in 2000 to $18.2 billion in 2012. Scott Eells / Bloomberg
International Business Machines Corp. (No. 1)
Overview: IBM provides computer solutions through the use of advanced information technology.
CEO: Virginia "Ginni" M. Rometty
Number of employees: More than 430,000 at end of June
2013 earnings (per share)
First quarter: 3.0 billion ($2.70)
Second quarter: $3.2 billion ($2.91)
YTD: $6.3 billion ($5.60) (as of June 30)
Stock performance this year (through Sept. 6): -4.5 percent
Five-year stock performance
ANALYST'S INSIGHT
"IBM has continued to increase the company's operating profits coming from software, which will have grown from 27 percent in 2000 to over 50 percent by 2015. Meanwhile, IBM has done an excellent job of expanding free cash flow, growing from $6.7 billion in 2000 to $18.2 billion in 2012."
— JIM HUNTZINGER, BOK Financial Corp.
JPMorgan Chase & Co. is the No. 1 U.S. bank by assets. Victor J. Blue/Bloomberg
JPMorgan Chase & Co. (No. 2, tie)
Overview: JPMorgan Chase & Co. provides global financial services and retail banking. The firm has assets of $2.4 trillion.
CEO: James "Jamie" Dimon
Number of employees: 260,000
2013 earnings (per share)
First quarter: $6.5 billion ($1.59)
Second quarter: $6.5 billion ($1.60)
YTD: $13.0 billion ($3.19) (as of June 30)
Stock performance this year (through Sept. 6): +19.5 percent
Five-year stock performance
ANALYST'S INSIGHT
"Despite various controversies and legacy issues affecting the banking industry, JPMorgan, the No. 1 U.S. bank by assets, is an attractive investment choice as it sports a dividend yield of nearly 3 percent and is led by Jamie Dimon, the most respected CEO in the global banking universe."
- JAKE DOLLARHIDE, Longbow Asset Management Co.
Occidental Petroleum Corp. is seen as a good value by one analyst. Courtesy
Occidental Petroleum Corp. (No. 2, tie)
Overview: Oxy has oil and gas operations in three core regions of the world: the United States, the Middle East region and Latin America.
CEO: Stephen "Steve" I. Chazen
Number of employees: More than 40,000
2013 earnings (per share)
First quarter: $1.4 billion ($1.68)
Second quarter: $1.3 billion ($1.64)
YTD: $2.7 billion ($3.32) (as of June 30)
Stock performance this year (through Sept. 6): +16.2 percent
Five-year stock performance
ANALYST'S INSIGHT
"They are at a discount price now. Their gross margins are far above their peer companies. They have reinvested over $20 billion back in the last three years. I expect them to have double-digit growth."
- SKIP NICHOLS, Financial Planning Resources Inc.
Chevron Corp. is one of the world's leading integrated energy companies. David Paul Morris/Bloomberg
Chevron Corp. (No. 4, tie)
Overview: One of the world's leading integrated energy companies. In 2012, Chevron's average net production was 2.61 million barrels of oil-equivalent per day.
CEO: John S. Watson
Number of employees: Approximately 61,900
2013 earnings (per share)
First quarter: $6.2 billion ($3.18)
Second quarter: $5.4 billion ($2.77)
YTD: $11.5 billion ($5.95) (as of June 30)
Stock performance this year (through Sept. 6): +12.1 percent
Five-year stock performance
ANALYST'S INSIGHT
"Chevron has a very strong balance sheet with more than $19 billion in cash and less than $12 billion in long-term debt. Going forward, Chevron expects operating cash flow to increase from $40 billion in 2012 to $50 billion in 2017. Their strong financial position should allow them to aggressively pursue and invest in new production opportunities."
- JAMES F. ARENS II, Trust Company of Oklahoma
Valmont Industries is highly valued in part for its diversity. Courtesy
Valmont Industries Inc. (No. 4, tie)
Overview: Valmont focuses on two global markets: infrastructure and agriculture.
CEO: Mogens C. Bay
Number of employees: 10,500+ at end of 2012
2013 earnings (per share)
First quarter: $77.6 million ($2.89)
Second quarter: $89.6 million ($3.33)
YTD: $167.1 million ($6.22) (as of June 30)
Stock performance this year (through Sept. 6): +0.7 percent
Five-year stock performance
ANALYST'S INSIGHT
"Valmont is well diversified both in products and geographically. They produce a very wide range of products including fabricated metal products, poles and towers for lighting and traffic control fixtures, guardrails, wire rope safety barriers, and crash attenuation barriers to name some of them. I think the company financials are good and measurements of value seem to indicate that their current price is undervalued."
- BRUCE DESHAZO, American Heritage Investments
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