World's Most Admired Companies 2011

Apple
Top 50 rank: 1
Rank in Computers: 1 (Previous rank: 1)
Overall score: 8.16

Why it's admired

For the fourth straight year, Apple tops Fortune's Most Admired list. The company's blistering pace of new product releases has continued to set the bar high for tech companies across the board.

Apple took a stock hit when iconic CEO Steve Jobs announced in January that he'd be taking a second medical leave, two years after receiving a liver transplant during a six-month sabbatical. But Jobs assured the market in the company's recent earnings report that Apple was still "firing on all cylinders."

It certainly appears to be. Apple nearly doubled its quarterly profits vs. a year ago. The iPad 2 was introduced in March, marking the second generation of one of Apple's milestone product successes. And Jobs made a surprise appearance at the launch.

Another huge move by Apple was the announcement this January that the iPhone 4 would be available from Verizon, offering another option to consumers frustrated with dropped calls on AT&T. --By Shelley DuBois

Google
Top 50 rank: 2
Rank in Internet Services and Retailing: 1 (Previous rank: 1)
Overall score: 8.22

Why it's admired

Google, in second place after Apple, maintains its reign as the king of search. The company is also spreading through its deep dive into devices with its free, open-source operating systems.

Google says that it activates devices loaded with its Android operating system at a rate of over 10 million every month - a number that continues to explode. Outside of devices, the company has seen growth in YouTube, display advertising and even paid enterprise applications.

The other big change for the company comes in the executive suite. CEO Eric Schmidt, who has led the company's rapid ascent since 2001, will leave the position in April, allowing Google co-founder Larry Page to retake the position he once held in the company's early days. Back when it was all about search. --S.D.

Berkshire Hathaway
Top 50 rank: 3
Rank in Insurance: Property and Casualty: 1 (Previous rank: 1)
Overall score: 6.88

Why it's admired

Berkshire Hathaway maintains its third-place spot this year. CEO Warren Buffett remains an admired champ, both for his judgments about stocks and for having built a huge operating company besides.

One recent stock-market judgment: Berkshire Hathaway increased its stake in Johnson & Johnson in 2010, from about 28 million shares to around 45 million, despite J&J's neverending product recalls during the year. In buying, Buffett followed his usual practice of picking up stocks when they're out-of-favor, betting on them to rise when trouble recedes.

Berkshire's most dramatic investment in 2010 was its $26 billion purchase of Burlington Northern Santa Fe. The railroad went on to generate more than $1 billion of operating earnings per quarter for Berkshire, making it a large factor in the company's 2010 increase of 13% in book value.

In Buffett's annual letter to Berkshire investors, he emphasized that American business, despite the economic uncertainties that persist, will continue to thrive. Berkshire, Buffett said, is backing that opinion with cash. "In 2011," he wrote, "we will set a new record for capital spending -- $8 billion -- and spend all of the $2 billion increase in the United States." --S.D.

Southwest Airlines
Top 50 rank: 4
Rank in Airlines: 3 (Previous rank: 4)
Overall score: 6.17

Why it's admired

Since it started offering low-cost flights in the 1970s, Southwest Airlines has been a more consistent performer than most airline companies. Recently, airlines in general have been receiving bad press for tacking on fees to compensate for rising fuel prices, but Southwest has remained one of the world's most admired. Southwest generated strong earnings in its most recent quarter, with profits up 13% from a year earlier. The acquisition of AirTran will give the company more planes and should allow Southwest access to more markets. --S.D.

Procter & Gamble
Top 50 rank: 5
Rank in Soaps and Cosmetics: 1 (Previous rank: 1)
Overall score: 7.43

Why it's admired

Procter & Gamble has incredible reach. It's the world's largest consumer-products company, with annual sales around $79 billion.

P&G has a long history of earning the respect of its peers -- fifth on the overall list this year, it's been ranked first in its industry every year it's been in the survey since 1997.

With commodity prices rising, P&G says it will have to raise prices on some products. But P&G's products, including Tide, Crest and many other household staples, form a strong foundation to weather volatile prices down the supply chain. --S.D.

Coca-Cola
Top 50 rank: 6
Rank in Beverages: 1 (Previous rank: 1)
Overall score: 5.93

Why it's admired

When it comes to Coke, consumers still have a sweet tooth. The beverage beast has continued to expand across China, and has earned positive attention for its environmental efforts by conserving water.

CEO Muhtar Kent said in its latest earnings report that Coke "met or exceeded all of our long-term growth targets for both the quarter and the year."

Coca-Cola also continues to stand as one of the world's great brands, in a league with corporate giants like Nike and GE. --By Daniel Roberts

Amazon.com
Top 50 rank: 7
Rank in Internet Services and Retailing: 2 (Previous rank: 2)
Overall score: 7.95

Why it's admired

In December, Amazon announced that the 3G Kindle was its best-selling item ever. The tablet continues to dominate the e-reader market, despite initial fears that Apple's iPad would be a problem. Now, it seems many people are buying both, to serve different purposes.

In February, CEO Jeff Bezos directly targeted Netflix by offering streaming video to Amazon Prime members. It's all part an effort to strengthen the allure of this one-stop shop that is already top dog among online retailers.

Meanwhile, Amazon has invested in new technology and continues to see growth. Soon, Amazon.com will begin operating an app store for Android. --D.R.

FedEx
Top 50 rank: 8
Rank in Delivery: 2 (Previous rank: 2)
Overall score: 6.98

Why it's admired

FedEx hasn't bounced back from the recession as quickly as it would like. The shipping giant recently had to scale back its quarterly profit forecast due to a rise in fuel costs and expenses (blame the harsh winter).On the other hand, businesses continue to rely on FedEx for timely deliveries and high-quality service. In February, the company completed the acquisition of AFL Pvt. Ltd., expected to strengthen its efforts in India and China. Emerging markets such as these have kept FedEx growing in the recent past. --D.R.

Microsoft
Top 50 rank: 9
Rank in Computer Software: 3 (Previous rank: 5)
Overall score: 6.66

Why it's admired

In the past couple of years Microsoft has rolled out strong new products. Search engine Bing is a viable (though still vastly less popular) alternative to Google.

Xbox Kinect has successfully cut into the motion-sensor video game market in which Nintendo Wii and PlayStation Move compete. And its Windows Phone 7, according to early reports, is holding its own against Android, iPhone and BlackBerry.

Microsoft also says it has sold 300 million licenses for the Windows 7 operating system to date. --D.R.

McDonald's
Top 50 rank: 10
Rank in Food Services: 1 (Previous rank: 1)
Overall score: 7.97

Why it's admired

What makes McDonald's such an admired, recognizable brand, even amid an enduring fast-food backlash? New items on the menu have helped: salads (with Newman's Own low fat dressing!), wraps, oatmeal, and apple dippers.

In addition, the chain constantly adds to its Dollar Menu, catering to those who have felt the recession's crunch.

McDonald's also operates a wide range of charity programs, including teacher awards and youth basketball games. And financially, the company is doing fine. In January, McDonald's announced that sales were way up; since then, the stock has continued to rise, though shares overall are still down 2% year to date. --D.R.

11    Wal-Mart Stores
12    IBM
13    General Electric
14    Walt Disney
15    3M
16    Starbucks
17    Johnson & Johnson
18    Singapore Airlines
19    BMW
20    American Express
21    Nordstrom
22    Target
23    J.P. Morgan Chase
24    Nike
25    Goldman Sachs Group
26    PepsiCo
27    Caterpillar
28    Cisco Systems
29    Costco Wholesale
30    UPS
31    Nestlé
32    Intel
33    Toyota Motor
34    Exxon Mobil
35    Volkswagen
36    Best Buy
37    Marriott International
38    Samsung Electronics
39    Deere
40    Netflix
41    Wells Fargo
42    Honda Motor
43    DuPont
44    Yum Brands
45    eBay
46    Sony
47    General Mills
48    Oracle
49    Accenture
49    Lowe's
- money.cnn.com/magazines/fortune/mostadmired/2011