10 Large-Caps With Fastest Sales Growth

BOSTON (TheStreet) -- Investors concerned about a double-dip recession can shield themselves with large-cap companies with a global reach and ample cash to withstand a sales slowdown. The following 10 companies increased sales at an annualized rate of at least 34% in the past three years, which was marked by the worst business contraction since the Great Depression. They are ordered by growth rate, from fast to fastest. 10. Freeport-McMoRan FCX explores for copper and gold. Since 2007, it has expanded sales 34% a year. First-quarter revenue soared 68% and net profit multiplied to $945 million, or $2 a share, from $103 million, or 11 cents a share, a year earlier. The operating margin extended to 47% from 27%. Freeport's stock has risen 35% during the past 12 months, outpacing U.S. indices. It trades at a PEG ratio, a measure of value relative to predicted long-run growth, of 0.2, signaling an 80% discount to estimated fair value. 9. Salesforce.com CRM designs software to help companies manage customer and sales relationships. During the past three years, it has grown revenue 35% annually, on average. Fiscal first-quarter net income declined 3.8%, to $18 million, or 13 cents a share, as revenue gained 24%. The operating margin narrowed to 8.8% from 9.9%. The company completed its acquisition of Jigsaw Data on May 10. Salesforce trades at a premium to software peers based on all valuation measures. Still, analysts are bullish on the stock, with 65% rating its shares "buy." 8. CenturyLink CTL, formerly CenturyTel, is an integrated telecom company focused on rural areas and midsized cities. The company was created through the merger of CenturyTel and Embarq last year. In April, management announced a stock-for-stock merger with Qwest Q. Assuming deal approval, the new entity will be the third-largest U.S. telecom company. CenturyLink has grown sales 36% a year since 2007, inorganically. Its stock sells for a forward earnings multiple of 11, a 24% discount to its peer average, and pays a dividend yield of 8.3%. To see the remaining 7 stocks, head over to Market News and Data brought to you by Benzinga APIs

© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.