"GE is notably underweighted versus the S&P. That means portfolio managers, to this point, have decided the company is going to underperform. We don't think so...At a time when the economic cycle is getting a little old, this is a company with annual earnings growth of 9%. We have confidence around that number. Return on equity is about 16%. The current price-earnings multiple based on 2007 results is about 17 times earnings."

"This is not a budget cruise line. In this higher-income demographic, compensation and household incomes are rising. ...In '07 there could be a substantial increase in the company's revenue, on the order of 13% or 14%. Earnings, which were flattish in '06, could go up about 8%. At 13 times earnings, the stock sells at a discount to its competitors."

"the shares currently trade for about 18 times fiscal '07 earnings and 13 times the next fiscal year. It is reasonably priced and has good prospects for earnings and margins."

"MedImmune [MEDI] is a specialty pharmaceuticals company. It markets FluMist, which is distributed not only in the U.S., but increasingly overseas. It has been a significant player in the HPV [human papilloma virus] vaccine, which represents one of the truly dramatic changes in public health care. The vaccine has been seen to affect the virus, and therefore eliminate a form of cancer, which is quite extraordinary. The P/E is high, but earnings are about to grow dramatically. Long-term earnings growth is about 18%. "

"The P/E based on 2007 earnings is about 15...We estimate Barr will do $3.51 a share this year, versus $3.13 in '06. The consensus for '06 was $3.09, and for this year is $3.39, so we're above consensus."

"The stock is selling at a discount to some of its peers, like Schlumberger [SLB], in part because of some execution problems at Baker Oil Tools. Our analyst believes the problem will be rectified. The P/E based on this year's earnings is about 13. That is not an unreasonable price to pay for a good, long-term investment."

"The stock sells for about 18 times 2007 earnings. Clearly, P/Es are not what they used to be in this category. The stock performed roughly in line with the overall market in 2006, but longer-term earnings growth is on the order of 16%-17%, which is substantially better than the S&P 500. "