STOCK PICKS: Top 5 Fast-Growth for Aug. 11

Management was overall pleased with the year-to-date results, as the company's performance for the first half of fiscal 2008 was positive. The company anticipates steady returns for the year from its various businesses, with TAMCO and the Fiberglass-Composite-Pipe Group expected to continue performing at record levels. However, weak market conditions will most likely continue to negatively affect the Infrastructure Products Group. Bear in mind that the Building Products industry's performance is cyclical, depending on the overall health of the U.S. economy. The state of the housing and auto markets in particular could impact this industry and, therefore, this stock.

Airgas(arg Quote) distributes industrial, medical and specialty gases (delivered in packaged or cylinder form) and welding, safety and related products (hardgoods). Airgas is the largest producer of nitrous oxide in the U.S., a producer and supplier of dry ice and a supplier of liquid carbon dioxide in the southeastern U.S.

We have rated Airgas a buy since May 2006 based on several positive investment measures, such as the company's robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and reasonable valuation levels. On July 23, the company reported that its net earnings in the first quarter of fiscal year 2009 surged 33.2%, driven by acquisition and organic growth in its key end-markets. Net income rose to $68.88 million or 81 cents per share in the quarter from $51.72 million or 63 cents per share in the same quarter last year. During the first quarter, revenue ascended 22% to $1.12 billion from $915.10 million a year ago, helped by a 15% contribution from acquisitions, and 7% growth in same-store sales. Moreover, ARG's strategic product categories, which contribute 40% of total revenue, grew 10% organically. Segment-wise, revenue from Gas and Rent rose 21.1% to $656.91 million from $542.25 million; while revenue from Hardgoods increased 23.3% to $459.79 million from $372.85 million in prior-year's quarter. During the quarter under review, Airgas completed the acquisition of the packaged gas operations of Linde Gas USA LLC for $310.00 million. As per the deal, the acquisition involved 130 locations, including branches, warehouses, packaged gas fill plants, and other operations involved in distributing packaged industrial and specialty gases and related equipment.