Home Depot, Whole Foods Hit Highs - TheStreet

BOSTON (

TheStreet

) -- Stocks fell Tuesday after a measure of consumer confidence fell to a 10-month low. Here are three stocks that hit 52-week highs amid pessimism.

3. Willis Group

(WSH)

climbed 1.4% to $29.26, hitting a high of $29.90 earlier today. Shares of the insurer have advanced 8.5% during the past month.

The numbers

: Fourth-quarter profit rose 27% to $79 million, or 47 cents a share, as revenue increased 3.1% to $824 million. The company's operating margin widened from 17% to 21%. Willis Group holds $1.9 billion of cash and $2.4 billion of debt.

The stock

: We rate Willis Group "hold." It has returned 41% in the past year, trailing U.S. indices. The stock looks cheap at a price-to-earnings of 11. But a PEG ratio of 4.1 indicates that it is expensive relative to growth expectations. A PEG ratio over 1 signifies overpriced shares.

2. Whole Foods Market

(WFMI)

rose 2.8% to $29.26, touching a high of $35.15 during the session. Shares of the food retailer have increased 23% during the past month.

The numbers

: Fiscal first-quarter profit surged 71% to $55 million, or 32 cents a share, as revenue increased 7% to $2.6 billon. The company's operating margin extended from 3.2% to 3.9%. Its balance sheet houses $570 million of cash and $734 million of debt.

The stock

: We rate Whole Foods Market "hold." The shares have almost tripled in the past year, beating U.S. indices. The stock appears expensive at a price-to-earnings ratio of 35 and a price-to-projected-earnings ratio of 24. But its PEG ratio of 0.8 represents a discount to the industry average.

1. Home Depot

(HD) - Get Report

jumped 1.4% to $30.75, reaching $31.03 during the day, helped by better-than-expected quarterly earnings. Shares of the home improvement company have increased 11% during the past month.

The numbers

: Home Depot swung to a fourth-quarter profit of $342 million, or 20 cents a share, from a loss of $54 million, or 3 cents, a year earlier. Revenue hovered beneath $15 billion. Home Depot holds $1.4 billion of cash and $8.7 billion of debt.

The stock

: We rate Home Depot "hold." The shares have climbed 71% during the past year. Its stock is fairly-valued based on most valuation measures. A PEG ratio of 1.5 represents a discount to the industry average, but confirms that the shares are expensive based on growth expectations.

-- Reported by Jake Lynch in Boston.