Deutsche Bank’s U.S. equity strategy team, with David Bianco at the helm, released a report on Monday with an instructive title: “Use dip to buy global growth stocks.”
To this end, they shot off a list of 27 stocks with market capitalizations below $10 billion, net debt to market cap ratios of under 30 percent (for non-financials), and projected 2013 EPS growth of over 5 percent.
Although 3Q earnings reports have been disappointing, the team is encouraged by year-over-year sales growth numbers and believe the foreign exchange headwinds impacting profit margins will fade.
McDonald's
Ticker: MCD
Target Price: $97
Net Debt/Mkt Cap: 0%
'13 EPS Growth: 9%
After its founding in 1955, McDonald's now operates in over 119 countries and serves approximately 68 million people per day. The company's headquarters are in Oak Brook, Illinois.
Source: Deutsche Bank
CBS Corp
Ticker: CBS
Target Price: $40
Net Debt/Mkt Cap: 25%
'13 EPS Growth: 12%
CBS is a media company whose operations include cable, publishing, radio, local TV, film, advertising, and social media. The CBS logo -- "the Eye" -- is among the most recognized brands on TV.
Source: Deutsche Bank
News Corp
Ticker: NWSA
Target Price: $26
Net Debt/Mkt Cap: 15%
'13 EPS Growth: 17%
News Corp, best known as the parent company to Fox, is a mass media company engaged in television, film, publishing, and a variety of other areas. The company is headquartered in New York City, on Avenue of the Americas.
Source: Deutsche Bank
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