Why These 7 Stocks Are Worth the Big Bucks

Stock #1 – Apple (AAPL)

With shares pushing $200 a piece, many investors think tech icon Apple (AAPL) is out of their league. But for my money, I would much rather own five shares of Apple than 500 shares of a two-buck dud. This company has real staying power and huge profit potential.

In October, Apple reported a 46% increase in its fiscal fourth-quarter earnings, thanks to strong sales of iPhones, Mac computers and iPods. AAPL earned $1.67 billion, or $1.82 per share, on revenue of $9.87 billion. During the same period a year ago, Apple earned $1.14 billion, or $1.26 per share on $7.9 billion in sales. Apple’s results topped forecasts of $1.42 per share on revenue of $9.2 billion with a stunning 28% earnings surprise and a 25% sales surprise.

It’s easy to see why Apple is leading the tech revolution, from digital media distribution to smart phones to personal computing. The company’s iPod and iTunes lead the digital music industry, and the iPhone is one of the hottest smart phones out there. AAPL also hasn’t forgotten its personal computing roots and has cut into the dominance of Windows with its OS X operating system and fleet of Mac computers.

Sales of the iPhone have accelerated recently, so I expect Apple’s earnings to gain momentum going forward. Even at almost $200, AAPL shares are a bargain right now.

See also: Apple to Soar Behind 3GS Momentum

NEXT – Alcon (ACL)