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General Electrics (GE:NYSE) $34.31

Fourth-quarter profits shot up 15% percent thanks to strong international sales of jet engines and power-plant turbines. More than half of the revenues came from outside the US, which suggests that GE has a strong hedge from a downturn in US economy. Peter Caldwell, equity analyst at Barclays Wealth, believes that in bull markets investors have worried about the impact on GE’s earnings of setbacks at individual divisions. The group can offset these single setbacks and is moving forward positively. From a technical point of view, the stock has bounced off the year-low, and on the downside, there is support at $32 as well.

ACTION: BUY General Electrics • Target $38 • Stop Loss $32

TIME TARGET: 6 WEEKS