Johnson Controls ( JCI), which makes building heating and cooling systems, has been rated a buy since August 2005, on the basis of its impressive growth in revenue and net income.

Fiscal year fourth-quarter profit increased 29.4% from a year ago to $469 million, or 77 cents a share, while revenue climbed 11% to $9.01 billion, driven by strong growth in the building-efficiency and power-solutions segments. Building efficiency rose by 15.4% to $3.61 billion in the quarter, mainly due to strong commercial building markets globally and higher demand for its products to improve energy efficiency and lower operating costs in nonresidential buildings.

During the quarter, the company appointed its executive vice president and vice chairman Stephen Roell as chief executive officer, effective Oct. 1, succeeding John Barth. For 2007, net income increased 21.8% to $1.25 billion, or $2.09 a share. Revenue rose 7.4% to $34.62 billion for the year. Johnson Controls' performance largely depends on its ability to drive higher sales from its building efficiency and automotive experience segments. A sluggish housing sector and rising fuel prices hurting the automobile industry might restrict revenue growth in both segments.

Total S.A. ( TOT), an integrated oil and gas company, has been rated buy since September 2005. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, EPS growth, increase in net income and attractive valuation level.

Total's revenue growth outpaces that of the industry average, driving higher earnings. Total has demonstrated a pattern of positive EPS growth over the past year, a trend that should continue. Third-quarter net profit climbed 29% to $4.54 billion, while sales rose 3% to $57.36 billion. Even though it has already enjoyed a nice gain the past year, Total's stock should continue to move higher. The company has demonstrated a pattern of positive earnings per share growth over the past year, and this trend is expected to continue. These strengths are expected to outweigh the company's low profit margins.

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