Stock Picks: Top Five Mid-Caps for Aug. 7

Our buy rating for Amphenol has been in place since June 2003. The company reported record EPS growth of 33% year-over-year for the second quarter of fiscal 2008, along with record sales that rose 23% to $846.8 million. The global communications, military and commercial aerospace markets performed particularly well for the company, although growth was broad based. Net income for the second quarter rose to $110 million from $84 million a year ago.

During the quarter, Amphenol broadened its technology offering in the military market by completing the acquisition of a U.S. manufacturer of audio interconnect products for that market. Additionally, the company's profitability and cash flow remained strong in the second quarter.

Looking ahead, Amphenol forecasts revenue for the fiscal third quarter in the range of $825 million to $840 million. In addition, EPS is expected to be in the range of 59 cents to 61 cents a share. The company raised its full-year 2008 revenue growth guidance to a range of 15% to 16% year-over-year, or $3.28 billion to $3.31 billion. Management reported continued strength in its business despite economic uncertainties and a generally moderate demand in certain markets. However, low profit margins could be a concern, as could any unfavorable changes, particularly in the communication and defense markets, which are the company's highest revenue contributors.

The Buckle (BKE Quote) markets casual apparel such as denim, sportswear, outerwear, accessories and footwear under the brand names Buckle and The Buckle. The company operates more than 370 retail stores targeted at young men and women throughout the central, northwestern, southeastern, and southwestern U.S. Along with the company's own brand, its retail stores also offer popular brands such as Lucky Brand Dungarees, Ecko and LeTigre. The Buckle is headquartered in Kearney, Neb.