Raytheon Co.

Companies highlighted in this weekly wrap include Raytheon Co. (RTN - Analyst Report), Family Dollar Stores, Inc.( FDO - Analyst Report), Yum Brands (YUM - Analyst Report), Giant Interactive Group Inc. (GA - Snapshot Report) and Strayer Education, Inc. (STRA - Analyst Report).

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Raytheon Co. (RTN - Analyst Report) has seen a swift rebound off recent multi-year lows and compares favorably to the market over the past year. Analysts are bullish on RTN’s earnings for both 2009 and 2010, calling for annual growth of 16% and 6%, respectively.

Bullish Forecasts

Current full-year earnings estimates of $4.71 per share were boosted by 16 out of 20 covering analysts from last month’s projections of $4.63 per share. For the following year, 9 out of 19 covering analysts hiked earnings forecasts by a penny from last month’s $5.00 per share.

The company boasts an outstanding track record of topping analysts’ estimates since July 2004. During the past 4 consecutive quarters, earnings were, on average, 7% above forecasts.

A Recent Contract

The company most recent contract announcement was a $7.3 million deal for the continued production of ALR-69A(V) radar warning receiver systems for the Warner Robins Air Logistics Center in Robins Air Force Base, Georgia.

Solid Earnings

In late April, Raytheon posted first-quarter earnings of $1.11 per share, beating the previous year’s 93 cents and exceeding the consensus estimate by 11%. Net sales of $5.9 billion increased 10% on a year-over-year basis.

Shares of RTN are on a rebound after falling with the market. Shares received an extra boost on strong first-quarter results and have traded ahead of the broader market over the past year.

Read our Dec 29 commentary.

Last Week's Growth and Income Zacks Rank Buy Stocks

Family Dollar Stores, Inc.( FDO - Analyst Report) continues to perform well as analysts boost earnings forecasts. Brokerage analysts lifted estimates over the past month, projecting earnings growth of 19% for the fiscal year ending August 2009. Read the full analysis on FDO.

Yum Brands (YUM - Analyst Report) is beating the broader market on strong first-quarter results. The company delivered an upside surprise of 20% on first-quarter earnings. Analysts remain bullish on Yum’s earnings for this year. Read the full analysis on YUM.

Giant Interactive Group Inc. (GA - Snapshot Report) is seeing upbeat earnings forecasts ahead of reporting tomorrow. The company has done well in the past, exceeding analysts’ estimates by an average of 10% over the past 4 straight quarters. Read the full analysis on GA.

Strayer Education, Inc. (STRA - Analyst Report) recently posted record results in the first quarter. Revenues jumped 28% year-over-year, while earnings per share of $2.08 came in 6% ahead of the consensus estimate and topped the year-prior $1.64. Read the full analysis on STRA.

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