Father's Day is a special occasion for many of us, a day to show our daddies how much we love them. We give dad some extra attention that day and usually also a present that could make him happy. Kiplinger.com has an interesting idea -- one that I really like -- for a Father's Day present you may want to consider: Find a good stock that could bring him a lot of money.Let's look at some of the companies Kiplinger's Anne Kates Smith believes would be good options this year:
- O'Reilly Automotive (NASDAQ: ORLY) is an auto parts retailer that is facing weak demand as a result of soaring crude oil prices. However, analysts believe the company's strategy to buy CSK Auto will bring a lot of national success. ORLY is expected to show earnings of $1.76 per share this year and $2.02 next year.
- Stanley Works (NYSE: SWK), headquartered in New Britain, Conn., has the advantage of being one of only two companies offering a complete line of hand tools for consumers. The company focuses its performance on both its industrial tool division and a security business. Analysts forecast a profit of $4.18 this year, and $4.63 a share for next year.
- Diageo (NYSE: DEO) is a spirits maker that benefits from strong sales in Latin America and Asia. Analysts expects to see an annual earnings increase of about 10% for the company's sales.
- Dick's Sporting Goods (NYSE: DKS) disappointed analysts when it recently reported its same-store sales. Taking into account the current weak market conditions, the retailer also warned earnings would likely come in between $1.22 and $1.36 a share for the year ending January '09, compared with its previous forecast of $1.49 to $1.54 a share. However, the company is still considered as one of the best-managed retailer, and analysts estimate a significant earnings growth rate over the next five years.
- Best Buy (NYSE: BBY) is enjoying good times even amid tough market conditions that has other retailers worry that consumers may continue to cut back on their spending. The company is maintaining its dominance in the market by launching new products and services that capture people's attention such as Geek Squad or Best Buy Mobile.
Eliza Popescu is a financial writer for the online investment advisory service Investor's Observer.
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