TheStreet.com Ratings provides exclusive stock, ETF and mutual fund recommendations using proprietary tools. Our "safety first" approach aims to reduce risk while achieving total return performance.

BOSTON (

TheStreet

) -- The following companies have market values of more than $10 billion and receive "buy" ratings from our proprietary quantitative model, which considers more than 60 factors. They're ordered by their potential to appreciate, starting with the company with the best growth prospects.

Oracle

(ORCL) - Get Report

sells computer software worldwide.

The numbers

: Fiscal fourth-quarter net income fell 7% to $1.9 billion and earnings per share decreased 3% to 38 cents, cushioned by a lower share count. Revenue declined 5% to $6.9 billion. Its gross margin rose from 82% to 84% and its operating margin remained steady at 43%. The company holds $13 billion of cash reserves, amounting to a quick ratio of 1.9. A debt-to-equity ratio of 0.4 indicates conservative leverage.

The stock

: Oracle has increased 24% in 2009, outpacing the

Dow Jones Industrial Average

and

S&P 500

. The stock trades at a price-to-earnings ratio of 20, indicating parity with the market, but a discount to software peers. The shares offer a dividend yield of less than 1%.

McDonald's

(MCD) - Get Report

sells hamburgers, soft drinks and other food products.

The numbers

: Second-quarter net income fell 8% to $1.1 billion and earnings per share dropped 6% to 98 cents, cushioned by a lower share count. Revenue declined 7% to $5.6 billion. Its gross margin climbed from 42% to 44% and its operating margin widened from 27% to 29%. A quick ratio of 1.1 and debt-to-equity ratio of 0.8 demonstrate fiscal stability. We give McDonald's a financial strength score of 8.5 out of 10, higher than the "buy"-list average of 7.

The stock

: McDonald's is down 10% in 2009, trailing major U.S. indices. The stock trades at a price-to-earnings ratio of 15, a discount to restaurant peers and the market. The shares pay a 3.6% dividend yield.

Medco Health Solutions

(MHS)

is one of the largest pharmacy benefit managers in the U.S.

The numbers

: Second-quarter net income rose 19% to $312 million and earnings per share jumped 26% to 64 cents, boosted by a lower share count. Revenue increased 17% to $15 billion. Its gross margin was little changed at 7% and its operating margin remained steady at 4%. Medco has less-than-ideal liquidity, reflected in its quick ratio of 0.9. A debt-to-equity ratio of 0.8 indicates reasonable leverage.

The stock

: Medco has advanced 30% in 2009, beating major U.S. indices. The stock trades at a price-to-earnings ratio of 23, a premium to health-care peers and the market. The company doesn't pay dividends.

Baxter

(BAX) - Get Report

sells health-care equipment.

The numbers

: Second-quarter revenue declined 2% to $3.1 billion, but net income ascended 8% to $587 million and earnings per share climbed 13% to 96 cents, boosted by a lower share count. Its gross margin inched up from 56% to 57% and its operating margin rose from 22% to 24%. A quick ratio of 1.2 indicates ample liquidity and a debt-to-equity ratio of 0.6 demonstrates conservative leverage.

The stock

: Baxter has climbed 4% in 2009, less than major U.S. indices. The stock trades at a price-to-earnings ratio of 16, a discount to health-care-equipment peers and the market. The shares pay a 1.9% dividend yield.

PG&E

(PCG) - Get Report

sells electricity in California.

The numbers

: Second-quarter revenue fell 11% to $3.2 billion, but net income increased 32% to $392 million and earnings per share climbed 30% to $1.01, restrained by a higher share count. Its gross margin jumped from 28% to 33% and its operating margin increased from 16% to 21%. PG&E has a poor financial position, evident in its quick ratio of 0.6 and debt-to-equity ratio of 1.2.

The stock

: PG&E is up 4% this year, less than major U.S. indices. The stock trades at a price-to-earnings ratio of 11, a discount to utility peers and the market. The shares pay a 4.2% dividend yield, higher than the S&P 500 average of 3.6%.

TSC Ratings was given an award this year for "Best Stock Selection" among independent research providers by BNY ConvergEx Group. A rating can be viewed for any stock through our

screener

. Ratings are derived from a variety of fundamental and pricing figures and represent our opinion of risk-adjusted performance. However, the rating doesn't incorporate all factors that can alter a stock's performance.

-- Reported by Jake Lynch in Boston.