Top Five Mid-Cap Stocks for Oct. 9

While no company is perfect, we currently do not see any significant weaknesses that are likely to detract from this company's generally positive outlook. It is important to bear in mind, however, that the specialty retail industry as a whole could face pressures from a continued housing market contraction or a slowing economy. Such events could lead to a more challenging business environment that could potentially affect The Buckle's results and therefore our buy rating.

Landauer(LDR Quote) offers personnel radiation monitoring to measure the dosages of X-rays, gamma radiation and other penetrating ionizing radiation to which a person has been exposed. Our buy rating, which has not changed since November 2001, is supported by the company's revenue growth, largely solid financial position and increases in net income and EPS.

For the third quarter of fiscal 2008, Landauer reported that its revenue rose 6.4% year over year. This appears to have helped boost EPS, which improved by 47.6% when compared with the same quarter a year ago. Net income also increased for the third quarter, rising 48.3% from $3.91 million to $5.79 million.

Landauer has no debt to speak of, and with a quick ratio of 1.69, it should be able to cover its short-term liquidity needs. Additionally, Landauer also increased its net operating cash flow slightly by 5.24% when compared with the same quarter last year.

Management announced that it was pleased with the revenue and earnings growth during the third quarter and expressed confidence in the company's ability to continue generating strong cash flow. Landauer now anticipates full-year fiscal 2008 results at the upper end of previously announced ranges of 4% to 5% growth in revenue and 6% to 8% growth in net income.