YUM! Brands (NYSE: YUM) operates the greatest number of fast-food locations in the world, with more than 34,500 stores in over 100 countries. Its flagship chains include chicken specialist KFC, pizza server Pizza Hut, and quick-service Mexican leader Taco Bell. YUM! also operates the Long John Silver's seafood chain, along with several hundred A&W root beer and burger stands. The company operates just over 20% of its restaurants. The rest are either franchised, or licensed locations. Burger King (NYSE: BKC) and McDonald's (NYSE: MCD) are major competitors.

The firm surprised the Street earlier in the week when it announced Q3 EPS of 50 cents and revenues of $2.56 billion. Analysts had been expecting 45 cents and $2.46 billion. Management also raised FY07 EPS guidance from $1.63 to $1.65, versus Street consensus of $1.64. The Board authorized the repurchase of an additional $1.25 billion of common stock, boosting the total repurchase plan to $4 billion over the next two years. The stock popped on the news and has since passed into the initial stage of a bullish "flag" consolidation pattern. Prices frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

As business has discovered, successful methods of advertising on the Internet are constantly changing and keeping up requires expert help. There is an outfit in Reston, Virginia that stays abreast of the latest trends by constantly surveying a very large group of online consumers.

comScore (NASDAQ: SCOR) quantifies behavior in the digital world, on the basis of responses from a global cross-section of more than two million consumers. These panelists have given comScore permission to confidentially capture their browsing and transaction behavior. They also participate in survey research that captures and integrates their attitudes and intentions. Company analysts use the information so obtained to help corporate customers enhance their marketing initiatives. comScore serves more than 700 clients, including Best Buy (NYSE: BBY), Merck (NYSE: MRK) and Expedia (NASDAQ: EXPE).

The firm pleased investors earlier in the week, when it issued upside guidance for Q3 results. Management now sees EPS of 15-17 cents and revenues of $22.1-22.5 million. On average, analysts had been looking for 12 cents and $21.89 million. The company expects adjusted EBITDA to be in the range of $4.2-4.6 million, compared to previous guidance of $3.4-3.5 million.

Passing through a store check-out line is no longer a simple matter of handing the clerk some cash and waiting for your change. Nowadays, the process involves an array of technical devices for identification, scanning, printing, data transmission and security evaluation. There is a Greenville, South Carolina firm that knows all the equipment and distributes systems to some 18,000 resellers.

ScanSource (NASDAQ: SCSC) is a distributor of specialty technical products for automatic identification/data capture, point of sale, and communications applications. It provides such devices as bar code scanners, receipt/label printers, PC-based terminals, pole displays, call center equipment and electronic security products. The firm sells equipment from such manufacturers as Cisco Systems (NASDAQ: CSCO), IBM (NYSE: IBM) and Microsoft (NASDAQ: MSFT).

ScanSource got the Street's attention earlier in the week, when it guided fiscal Q1 revenues to $546-$554 million. That range was up from prior guidance of $525-$545 million and topped the consensus Street estimate of $535.5 million. SCSC shares popped on the news and have begun defining a bullish "flag" consolidation pattern. Stocks frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

Brokers recommend the issue with one "strong buy," one "buy," four "holds" and one "sell." Analysts see a 17% average annual growth rate, through the next five years. The SCSC P/E ratio (19.78), PEG ratio (1.13), Price to Sales ratio (0.42), Price to Book ratio (2.56), Sales Growth rate (21.47%) and Revenue per Employee ($2.01M) compare favorably with industry, sector and S&P 500 averages. Institutions hold about 95% of the outstanding shares. The stock is one of those used to calculate the S&P 600 SmallCap Index. Over the past 52 weeks, it has traded between $25.22 and $34.14. A stop-loss of $27.75 looks good here. Note that the company is expected to report Q1 results on October 25, after the close.

Larry Schutts is a contributing editor for Theflyonthewall.com and the Vice-President of Stockwinners.com.

Research In Motion (NASDAQ: RIMM) is engaged in the design, manufacture and marketing of wireless devices for the mobile communications market. Its popular line of BlackBerry smart phones handle voice, email and text message communications, as well as internet access. The firm also makes radio-based modems that other manufacturers incorporate into portable devices. The company sells to corporations, resellers, and wireless carriers. BlackBerry units are offered by a variety of service providers, including Alltel (NYSE: AT) and Verizon Communications (NYSE: VZ).

The firm pleased investors last week when it reported Q2 EPS of 50 cents and revenues of $1.37 billion. Analysts had been expecting 49 cents and $1.36 billion. The CEO said that recent product and market initiatives are expected to extend business momentum through the remainder of the fiscal year. Management guided Q3 EPS to 59-63 cents (55 cent consensus) and Q3 revenues to $1.60-$1.67 billion ($1.52B consensus). Officials anticipate third quarter subscriber account additions of about 1.65 million. The stock popped on the news and has since passed into a bullish "flag" consolidation pattern. Prices frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

So far this year, brokers have recommended the shares with one "strong buy," nine "buys" and four "holds." Analysts see a 34% average annual growth rate, through the next five years. The stock's Sales Growth rate (26.84%), EPS Growth rate (100.00%), Operating Margin (27.07%), Net Profit Margin (20.70%), Return on Assets (26.94%), Return on Investment (33.09%), Return on Equity (33.82%) and Net Income per Employee ($140k) compare favorably with industry, sector and S&P 500 averages. Institutional investors hold about 76% of the outstanding shares. The issue is one of those used to calculate the NASDAQ 100 Index. Over the past 52 weeks, it has traded between $36.00 and $118.80. A stop-loss of $99.00 looks good here.

Larry Schutts is a contributing editor for Theflyonthewall.com and the Vice-President of Stockwinners.com.

The user-programmable integrated circuit allows electronics manufacturers to fine-tune its properties to suit themselves. Such devices were pioneered in 1984, by a San Jose, California outfit that still sells a lot of them.

Altera Corporation (NASDAQ: ALTR) makes high-density programmable logic devices and associated development tools. PLDs are integrated circuits that clients can program themselves, using software that Altera also provides. This allows clients to provide their customers with special-purpose chips that cost less than equivalent custom-designed devices. Altera's circuits are used by thousands of customers in computing, telecommunications, industrial, and automotive applications. Clients include Honeywell (NYSE: HON), Johnson Controls (NYSE: JCI) and Motorola (NYSE: MOT).

The stock has been a steady gainer, since mid-August, moving higher in response to such issues as solid third quarter revenue guidance ($319.7-329.3M vs. $325.1M consensus) and last week's upgrade to overweight by Morgan Stanley. In fact, the price is cycling through a positive eight-week trading channel.

When it comes to global positioning system hardware, there is a firm in the Cayman Islands that can tell you just where you stand.

Garmin Ltd. (NASDAQ: GRMN) manufactures products enabled by global positioning system (GPS) technology. The firm's Consumer segment offers instruments used in automotive navigation, general recreation and business applications. The Aviation segment provides a panel-mounted product line that enables flight navigation, very high frequency communications and instrument landings. Boat manufacturer Ranger and airplane maker New Piper use Garmin equipment in their vehicles. The company's consumer products are sold through such retailers as Best Buy (NYSE: BBY) and Wal-Mart (NYSE: WMT).

The stock passed through late July, August and September cycling upward through a positive trading channel. It was sustained in that move by such issues as a better than expected Q2 report, solid upside guidance for FY07 and generally favorable analyst remarks (price targets to $130). Prices fell briefly below the base of the channel last week, on word Nokia (NYSE: NOK) had made a bid for digital map database firm Navteq (NYSE: NVT). Analysts had expected that Garmin would make such a move, as it relies heavily on NVT information.

Given the steady need for emergency and surgical transfusions, it's imperative that routine blood bank tests be performed quickly and accurately. A leading maker of systems that automate such work is headquartered in Norcross, Georgia.

Immucor (NASDAQ: BLUD) provides automated systems used by hospitals, clinical laboratories and blood banks to detect and identify certain properties of the cell and serum components of human blood, prior to transfusion. Products are primarily used to type blood and detect foreign antibodies. The firm received FDA clearance for its third-generation automated analyzer, the Galileo Echo, in June of this year.

There is a Shanghai firm that has established itself as an advertising powerhouse by recognizing that innovation generates profits. The company conveys clients' messages by way of 200,000 flat panel TVs.

Focus Media Holding (NASDAQ: FMCN) operates an advertising network of public television displays in China. The devices are placed in high-traffic areas, such as office buildings, hotels, airports, retail chain stores and the public areas of residential complexes. In all, the company runs nearly 200,000 display units. It also operates an advertising network for the Chinese mobile telecommunications market and recently acquired China's largest Internet advertising agency. Clients include Coca-Cola (NYSE: KO), Yum! Brands (NYSE: YUM) and Procter & Gamble (NYSE: PG).

FMCN investors were pleased late last month, when the company said that an internal investigation did not find evidence of alleged undisclosed rebate payments to a third-party advertising agency through a related party. Focus Media filed its annual report and audited financial statements for 2006, which had been delayed as a result of the investigation. Susquehanna Financial initiated coverage of the shares with a "positive" rating. Then, management reported fiscal Q2 EPS of 38 cents and revenues of $113.3 million. Analysts had been expecting 34 cents and $102.2 million. Officials also guided Q3 EPS to 41-43 cents (43 cent consensus), Q3 revenues to $132-$135 million ($115.51M consensus) and full-year 2007 revenues to $440-$450 million ($409.65M consensus). CIBC World Market and WR Hambrecht reiterated "buy" recommendations and boosted their price targets to $70. The stock popped into a bullish "flag" consolidation pattern on the news. Prices frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

When it comes to O.T.C. drug products, folks are often surprised to learn that a single Tennessee outfit is responsible for nearly thirty of the best known names. It was founded 128 years ago, as the Chattanooga Medicine Company.

Chattem (NASDAQ: CHTT) provides over-the-counter drugs, personal care products and dietary supplements. Offerings include such pain treatments as dental analgesic Benzodent, topical analgesic Aspercreme, muscle pain reliever Flexall, menstrual symptom reliever Pamprin and analgesic Icy Hot. The company also makes sleep aid Melatonex, medicated powder Gold Bond and Mudd facial masks. Chattem sells its products in eighty countries, through such merchandisers as CVS Caremark (NYSE: CVS), Safeway (NYSE: SWY) and Walgreen (NYSE: WAG).

The company surprised investors last week, when it reported Q3 EPS of 83 cents and revenues of $109 million. Analysts had been expecting 74 cents and $106 million. Management also guided FY07 EPS to $2.96-3.06 ($2.95 consensus) and FY08 EPS to $3.69-3.89 ($3.56 consensus).

If you use a credit card, the chances are pretty fair that you have done some business with an Atlanta outfit that facilitates electronic transactions around the world.

Global Payments (NYSE: GPN) is a high-volume payments processor of electronic transactions and related money transfers. It performs point-of-sale credit card, debit card and check authorization functions for merchants and financial institutions and offers corporate and government clients benefit transfer processing and electronic tax payment services. The firm also facilitates money transfers from the US and Europe, primarily targeting immigrants who send funds to their home countries. MasterCard (NYSE: MA) is a client. Western Union (NYSE: WU) is a competitor.

The firm had good news for investors last week, when it announced fiscal Q1 EPS of 54 cents and revenues of $311 million. Wall Street has been expecting 50 cents and $294.6 million. The company attributed the successful quarter to a solid increase in merchant service revenues, continued organic expansion and favorable results from an Asia-Pacific joint venture with HSBC. Management also guided FY08 EPS to $1.87-1.96 ($1.91 consensus) and FY08 revenues to $1.20-$1.25 billion ($1.19B consensus). Barrington Research subsequently reiterated its "outperform" on the shares.

When they are in the market for electrical and industrial construction products and MRO supplies, many of the biggest firms around go to an outfit that represents some 29,000 suppliers and offers more than a million products. It serves about 110,000 customers worldwide.

WESCO International (NYSE: WCC) is a leading distributor of electrical construction products and electrical/industrial maintenance, repair and operating (MRO) supplies. The firm operates seven automated distribution centers and approximately 400 full-service branches around the world. Clients include ConAgra Foods (NYSE: CAG), Goodyear Tire & Rubber (NYSE: GT) and Tyson Foods (NYSE: TSN).

The company pleased investors last week, when it announced that it had completed a $400 million stock repurchase program and had authorized a new program for the same amount. CIBC World Markets and Bank of America Securities subsequently initiated coverage of the stock with "buy" ratings. The stock popped on the news and has since moved into a bullish "flag" consolidation pattern. Prices frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

Manufacturing processes that were unimaginable a generation ago are now commonplace, thanks to the development of laser technology. A leader in the art of fabricating lasers for the broad spectrum of current industrial applications is headquartered in Billerica, Massachusetts.

GSI Group (NASDAQ: GSIG) supplies precision technology components, lasers, and laser-based manufacturing systems to the electronics, semiconductor, medical, aerospace and industrial markets. Its Precision Technology segment offers air bearing spindles; encoders; optical scanners; thermal printers; general optics; and lasers that are used for welding, cutting, drilling, surface marking and engraving of metal and plastic parts. The company's Semiconductor Systems segment designs, develops and supplies production systems that enable the manufacturing of semiconductor chips. Hitachi (NYSE: HIT) is a competitor.

The company pleased investors last week, when it guided Q3 EPS to 16-18 cents and Q3 revenues to $82-84 million. Its previous predictions had been for 9-13 cents and $77-82 million. Analysts were expecting 11 cents and $80.6 million. Management cited follow-on orders from an existing customer and final acceptance of a multi-system order from a new customer for the improved view.

An Orlando outfit became the number one casual dining operator in North America by offering multiple dining experiences to the critical family crowd.

Darden Restaurants (NYSE: DRI) operates more than 1,300 casual dining restaurants in the United States and Canada. Its Red Lobster (seafood), Olive Garden (Italian cuisine) and Bahama Breeze (Caribbean items) chains cater to families, with mid-priced menu items and suburban locations. A small group of Seasons 52 restaurants feature a casual grill and wine bar concept. Brinker International (NYSE: EAT) and Chipotle Mexican Grill (NYSE: CMG) are competitors.

The company pleased investors last month, when it reported fiscal Q1 EPS of 73 cents and revenues of $1.47 billion. Analysts had been expecting 70 cents and $1.45 billion. Management also guided FY08 revenues to about $6.25-6.31 billion, versus consensus of $6.08 billion. The company confirmed that it plans to buy back $125-175 million of its common stock in FY08.

There is an outfit in Fort Worth that is best known for its operations in the heavy industry electronic products arena. It has an interest sideline, though. Being mindful of the benefits of diversification, the company also operates a nationwide chain of plants that galvanize big industry steel.

AZZ Incorporated (NYSE: AZZ) makes electrical products that distribute power to and from generators, transformers, switching devices and other electrical configurations. It also offers lighting products for the petroleum, food processing, and power generation industries. Its Galvanizing Services segment provides hot dip galvanizing to the steel fabrication industry. Competitors include General Electric (NYSE: GE) and Eaton Corporation (NYSE: ETN).

The company pleased investors last week, when it reported fiscal Q2 EPS of 66 cents and revenues of $81.6 million. Analysts had been expecting 48 cents and $78.5 million. Management also guided FY08 EPS to $1.95-$2.05 ($1.82 consensus) and FY08 revenues to $315-$325 million ($316.31M consensus). The CEO noted that the firm is operating with a record backlog. The stock popped on the news and has since moved into a bullish "pennant" consolidation pattern. Prices frequently exit pennants moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

In biotechnology, corporate success is a function of approved drugs, pipeline activity and positive cash flow. By those standards, one of the most successful firms in the industry is a 27-year-old Thousand Oaks, California outfit that was among the first developers of blockbuster biopharmaceuticals.

Amgen (NASDAQ: AMGN) is a biotechnology firm engaged in the discovery and manufacture of human therapeutics. It markets products in the areas of supportive cancer care, nephrology, inflammation, and oncology. Principal offerings include anemia treatments Aranesp and Epogen, rheumatoid arthritis drug Enbrel, and white blood cell stimulator Neupogen. Amgen has marketing alliances with Hoffmann-La Roche and Kirin. Competitors include Baxter International (NYSE: BAX) and Novartis (NYSE: NVS).

The stock popped last month on word an FDA advisory panel had rejected a proposal to set a specific target for red blood-cell levels in kidney-failure patients being treated with Aranesp, Epogen and Procrit. The latter is manufactured by Amgen, but sold by Johnson & Johnson (NYSE: JNJ). The panel's decision, if accepted by the FDA, could boost sales of the medications. Since the initial gain, the AMGN share price has been defining a bullish "flag" consolidation pattern. Prices frequently exit flags moving in the same direction they were traveling when they entered them. In this case, that would be to the upside.

Brokers recommend the stock with six "strong buys," six "buys," 18 "holds" and one "sell." The AMGN P/E ratio (16.19), PEG ratio (1.50), Price to Book ratio (3.73), Price to Cash Flow ratio (12.07), Price to Free Cash Flow ratio (16.98), Operating Margin (32.57%), Net Profit Margin (27.35%), Return on Assets (12.65%), Return on Investment (15.02%), Return on Equity (24.41%) and Net Income per Employee ($203.25k) compare favorably with industry, sector and S&P 500 averages. Institutions hold about 76% of the outstanding shares. The stock is one of those used to calculate the S&P 100, S&P 500 and Nasdaq 100 Indexes. Over the past 52 weeks, it has traded between $48.30 and $77. A stop-loss of $48.65 looks good here. Note that the firm is expected to release third quarter results on October 25, after the close.

Larry Schutts is a contributing editor for Theflyonthewall.com and the Vice-President of Stockwinners.com.