The "10.0" Report: Retailers and Chemicals are the Best in Show
March 7, 2010
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At TopStockPortfolios.com, our stock selection strategy is based on the concept of "own the best and ignore the rest." Thus, we focus our attention solely on the "TopStocks" of the market -- I.E. the top ranked stocks (in terms of earnings strength and company performance) in the strongest industry groups. For our "Spotlight Report" we select one of our favorite TopStocks and provide an in-depth analysis of the company, its competitors, earnings fundamentals, valuation, chart pattern, trading points, and more.
In short, the Spotlight report offers insight into the type of analysis we perform prior to adding a position to any of our portfolios. The TopStock detailed in this report has met all of our fundamental criteria and currently displays a solid technical "set up" for a buy.
So, without further ado, here is this week's TopStock in the Spotlight:
TopStock In The Spotlight: Intuitive Surgical (ISRG)
Corporate Profile:
Intuitive Surgical, Inc., together with its subsidiaries, engages in the design, manufacture, and marketing of da Vinci surgical systems for use in urologic, gynecologic, cardiothoracic,
general, and head and neck surgeries. Its surgical systems consist of a surgeon's console, a patient-side cart, and a vision system. The da Vinci surgical system controls intuitive surgical
endoscopic instruments, including rigid endoscopes, blunt and sharp endoscopic dissectors, scissors, scalpels, forceps/pickups, needle holders, endoscopic retractors, electrocautery
instruments, ultrasonic cutters, and accessories during a range of surgical procedures. Its surgical systems translate the surgeon's natural hand movements on instrument controls at the console
into corresponding micro-movements of instruments positioned inside the patient through small puncture incisions or ports, as well as provides the surgeon with the intuitive control, range of
motion, fine tissue manipulation capability, and 3-D vision characteristic of open surgery, while simultaneously allowing the surgeon to work through the small ports of MIS. The company also
manufactures various EndoWrist instruments, including forceps, scissors, electrocautery, scalpels, and other surgical tools. In addition, it sells various accessory products comprising sterile
drapes used to protect the sterile field during surgery; and vision products, such as replacement 3-D stereo endoscopes, camera heads, and light guides. Intuitive Surgical, Inc. sells its
products through sales representatives and distributors in the United States and internationally. The company was founded in 1995 and is headquartered in Sunnyvale, California. (Source: Yahoo
Finance)
S&P Sector: Health Care
Sector Rank: #7 (Out of 10 with 1 being highest)
Industry Group: Health Care - Equipment
TopStock Rating: Buy
The TopStock Rating combines technical and fundamental factors to arrive at a rating of Buy, Sell, Hold, or Accumulate. The rating is designed to let readers know our current view on each stock
- assuming we do not currently hold the position.
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Rating Summary:
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Buy: We would be willing to buy the stock at current levels.
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Accumulate: We would be willing to start to accumulate a position in the stock at current levels. However, we would not want to buy a full position at the
current time and would look to add to a "starter position" on weakness.
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Hold: We are willing to hold the stock, but we would not be buyers at this time.
- Sell: We are not happy with this position and are looking for an exit point.
TopStock Score: 5.5 (The stock is ranked #5 in its sector)
The Stock Score indicates the combined score of our proprietary Earning Strength and Company Performance models. The rating scale is 0 - 10 with 10 being the highest.
Technical Model Score: Bullish
The technical model combines stock-specific and broad-market indicators that have proven to be consistent with price appreciation relative to the overall market when in a bullish mode.
Annualized Profit Projections: +101.4%
The annualized return is based on the historical relationship of the stock's technical model score to the performace of the company's stock.
TSP Short-term Chart Assessment: Accumulate Note: We'd be buyers of ISRG on a pullback to the $341 zone.
The short-term chart assessment indicates our view of the current technical "set up."
TSP Short-term Stop-Loss: $314.89
The Short-Term Stop-Loss price is the point on the chart that if violated would cause us to no longer be buyers of the stock.
Fundamental Risk Rating: Neutral Risk
The Fundamental Risk Rating is based on a variety of indicators including company fundamentals and a multitude of valuation measures. The model combines stock-specific indicators with general
market factors to provide an overall risk profile.
Insider Rating: Light Selling
The Insider Rating is based on





