Kevin O'Marah, chief strategist at AMR Research, has developed a unique "supply-chain strategy" -- and uses it to compile a Top 25** stocks list that beats the market hands-down.
O'Marah bases his picks on how well a firm maintains its supply chain, pin-pointing the firms that are most successful in meeting demand.
The average total return of the Supply Chain Top 25** portfolio for 2007 is 17.89% -- compared with returns of 6.43% for the Dow and 3.53% for the S&P 500.
The complete** list:
Apple
Nokia
Cisco Systems
Wal-Mart Stores
Coca-Cola
IBM
Anheuser-Busch
Motorola
GlaxoSmithKline
Procter & Gamble
Toyota Motor
Tesco
Best Buy
Johnson & Johnson
PepsiCo
Johnson Controls
Texas Instruments
Nike
Lowe's
Hewlett-Packard
Lockheed Martin
Paccar
AstraZeneca
** Two of the companies cited for supply excellence, Samsung Electronics and Publix Super Markets, are not factored into the average return: Samsung is not traded on U.S. exchanges and Publix is not publicly traded.