5-Star Stocks Poised to Pop: Synaptics

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, touchscreen technology specialist Synaptics (NAS: SYNA) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Synaptics' business and see what CAPS investors are saying about the stock right now.

Synaptics facts

Headquarters (Founded)Santa Clara, Calif. (1986)
Market Cap$858.7 million
IndustryComputer storage and peripherals
Trailing-12-Month Revenue$600.9 million
ManagementInterim CEO Russell Knittel
CFO Kathleen Bayless
Return on Equity (Average, Past 3 Years)22.4%
Cash/Debt$246.3 million / $2.3 million
CompetitorsCypress Semiconductor (NAS: CY)
Atmel (NAS: ATML)

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 96% of the 836 members who have rated Synaptics believe the stock will outperform the S&P 500 going forward. These bulls include there4im and TMFElleMoran.

Late last week, there4im helped Fools stay in touch with Synaptics:

I see this company not just as the TouchPad company, but as a human interface company, and I don't think they are done tinkering with the human interface. Thus, I think there is room for growth. Innovation = Growth ... and these guys have proven that they are good at it.

Currently, Synaptics even sports a cheapish forward P/E of 9.9. That represents a discount to touch interface rivals Cypress (13.5) and Atmel (12.9).

CAPS member TMFElleMoran expands on the Synaptics outperform argument:

Touch screens are the future (I carry more screens around with me than anyone justifiable should). Synaptics uses the best technology that delivers better performance. But tech aside, I see the company building out its ecosystem through PR and marketing efforts. Building the brand will preserve SYNAs stance as a leader, and that's what will drive the stock higher long term.

What do you think about Synaptics -- or any other stock, for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!

At the time this article was published Fool contributor Brian Pacampara holds no position in any of the companies mentioned. Motley Fool newsletter services have recommended writing covered calls in Synaptics and buying shares of Cypress Semi. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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