We're in the 3rd inning of a massive multiyear aircraft replacement cycle for the world's airlines. Boeing's new 787 Dreamliner is wiping the floor with Airbus and the A-380, and the major US domestic carriers have not even placed their orders yet. They have no choice but to order Boeing. Passengers will want the vastly improved techonology of the 787, and airlines must have the 30% fuel economy savings of this aircraft.

This is the world's preeminent investment brokerage house. Name any large merger deal, and chances are Goldman is at the center of it taking a hefty fee for its services. Goldman is a hedge fund in itself; it invests its money wisely and makes money whether the market is up or down. Yet it trades at the same PE ratio of 10.5 times forward earnings as the brokerage cohort. Goldman is the best of the best, and it deserves to trade at a premium that reflects this.

It may be a dirty and deadly habit, but despite the fact that everyone in the world knows that tobacco kills, billions of smokers willingly throw their money at Altria on a daily basis. Smokers will choose buying cigarettes over food in times of economic hardship. The legal environment has shifted in favor of the corporations in the US. The KFT-MO breakup is past news, and everyone is looking for the breakup of Philip Morris International and Philip Morris Domestic, hopefully later this year. Pays you a 5% dividend while you wait, offers good protection against a market correction, and trades at a discount to its peers despite being best of breed.

Universal Display Corp is an R+D firm that is taking OLED technology from the drawing board to the devices we all use. OLED (organic light emitting diode) technology will cut power consumption in devices by 75% while offering paper thin and light displays. We've been told that this technology is "coming soon" for years, but it's finally happening. PANL is steadily commercializing the technology though R+D agreements with major manufacturers such as Samsung, and for the first time they have production agreements with Samsung, Sony, and AU Optronics. OLED displays are of amazing quality and devices featuring them will be on the market in the second half of 2007.

GSF is one of the best offshore drilling companies out there, and it's trading at just 7x forward earnings. They have 90% rig utilization and they're moving their assets to the hottest markets (outside of the GOM). Dayrates are skyrocketing--up 60% yoy, and demand for crude will soon outstrip supply. Even though rig build rates are escalating, any new rigs are being snapped up such that nearly all of GSF's rigs under construction are committed or in negotiations.