Volatility is back with a vengeance, as uncertainty reigns the markets. Europe's sovereign-debt woes have sharply curbed the steady climb the market made over the first few months of this year. The new ups and downs will probably persist until the European Union can convince the markets that it can pay off its debt and complete difficult austerity measures.

Meanwhile, rocky economic data on the domestic front has brought its own twists and turns to the market. Add it all up, and there's a strong likelihood of continued volatility for the foreseeable future.

But environments such as these present the greatest opportunities for investors with serious stock watch lists. Pullbacks create more attractive entry points. If you research and build a list of stocks you want to own, you need only wait to pounce until each stock reaches your preferred price. The stock market's current turbulence should provide you with opportunities to do exactly that.

To start assembling my very own stock wish list, I used the Fool's CAPS screener to find premium companies such as ExxonMobil, which has outperformed the S&P 500 by 9.8% per year on average for the past 10 years.

To help you find some of the market's best stocks for your watch list, I used the following criteria:

  • A market cap greater than $10 billion, which suggests stability.
  • A current ratio of at least 1, to ensure sufficient liquidity to meet current liabilities.
  • A return on equity north of 15%, to demonstrate efficiency and profitability.
  • Four- and five-star ratings (out of five) from our 165,000-member CAPS community.                

I particularly liked these eight companies that passed the screen. Consider looking into them further, to see whether they warrant your investment dollars:


Return on Equity (TTM)

Market Cap (in Billions)

Current Ratio

CAPS Rating (out of 5)






Celgene (Nasdaq: CELG)





Cisco Systems (Nasdaq: CSCO)





Corning (NYSE: GLW)










Freeport-McMoRan Copper & Gold (NYSE: FCX)





Oracle (Nasdaq: ORCL)





Waste Management (NYSE: WM)





Data from Motley Fool CAPS as of May 28.

The CAPS screener can suggest all kinds of promising companies, but running a screen should be only the first step in your stock research. Come and join our CAPS online investing community (it's totally free!) to delve further into these companies, and see whether they're right for your portfolio.

Further Foolishness:

Fool contributor Jennifer Schonberger owns shares of Oracle and Celgene but of no other company mentioned in this article. You can follow her on Twitter. Waste Management is a Motley Fool Inside Value pick. ABB is a Motley Fool Global Gains choice. Waste Management is a Motley Fool Income Investor recommendation. The Fool owns shares of and has written puts on Oracle and has a disclosure policy.