Get Even More Bullish on the Dow, Part 1

American Express Headed to $72

American Express(AXP Quote): This company seems to put on a quiet 20% every year, at least, since Ken Chenault took it over. He's a quiet exec, doing his job, not seeking the limelight -- and what a remarkable job he's done. Next year will be still one more great year, because the credit-card cachet never abates and the company will find new ways to slice its brimming customer base. My price target on this one: $72.

AIG Now Mr. Clean

AIG(AIG Quote): I own American International Group for Action Alerts PLUS because people don't understand that the company is now Mr. Clean, certified by the new governor of New York before he left his state attorney general post for the governor's mansion. So what is this 12% grower with a terrific business in China doing still selling at 12 times earnings? Some of the cause is the perception that the regulation has hampered its business. Wrong! The other drawback: the perceived selling overhang of defrocked Maurice Hank Greenberg. I don't care about that, either. Three multiple points tacked on to the current price-to-earnings ratio plus an upside surprise owing to no major tsunami or hurricane payoffs should lift the stock to $95.

AT&T Knows how to do a deal

AT&T(T Quote): So AT&T finally gets to merge with BellSouth(BLS Quote) and the result is a firing binge that explodes earnings without denting customer service. Unlike Sprint(S Quote), AT&T knows how to do a deal. I see the combined company adding 6 points to T's price as the synergies flow through and the dividends increase.

Boeing Monopoly player?

Boeing(BA Quote): In 2007, I believe Airbus will admit the sad truth that it can't make the big planes it promised so many. That would allow Boeing to become something it has always wanted to be: a monopolist. And what a great time to be a monopolist! Labor costs are down, raw material costs have stabilized and prices can be raised. Some think this stock has peaked; they ain't seen nothing yet. I like the prospects for a 30% increase and a price of $120, made up in big increments at the reporting of each quarterly upside surprise.

Editor's note: This is Part 1 of Jim Cramer's review of the prospects for the stocks that make up the Dow 30. Read Part 2, Part 3 and Part 4.