4-Star Stocks Poised to Pop: Buffalo Wild Wings

Before you go, we thought you'd like these...
Before you go close icon

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, restaurant chain Buffalo Wild Wings (NAS: BWLD) has earned a respected four-star ranking.

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

Buffalo Wild Wings facts

Headquarters (founded)Minneapolis (1982)
Market Cap$1.06 billion
IndustryRestaurants
Trailing-12-Month Revenue$681.5 million
ManagementCEO Sally Smith (since 1996)
CFO Mary Twinem (since 1996)
Return on Equity (average, past 3 years)16.5%
Cash/Debt$86.1 million / $0
Competitors

Darden Restaurants (NYS: DRI)

Brinker International

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

On CAPS, 93.5% of the 4,606 members who have rated Buffalo Wild Wings believe the stock will outperform the S&P 500 going forward. These bulls include 703Hawks and All-Star XMFSamstevens, who is ranked in the top 10% of our community.

Just last week, 703Hawks tapped Buffalo as a tasty opportunity: "Quality fun/hang-out restaurant, should benefit from upcoming NFL season. Also has catchy marketing campaigns."

Over the next five years, in fact, Buffalo Wild Wings is expected to grow its bottom line at a brisk rate of 21% annually. That's much faster than other restaurant plays such as Darden (13%), McDonald's (NYS: MCD) (10%), and Yum! Brands (NYS: YUM) (13%).

CAPS member XMFSamstevens elaborates on the B-Wild bull case:

I love these growth stocks that look overvalued. This one sort of reminds me of upscale fast food joints [Panera Bread] and [Chipotle Mexican Grill], which develop a near cult-like following. Buffalo Wild Wings has been growing really fast and I hope they can keep it up. I've been trying to look for my favorite businesses recently and trying to ignore current price. ... [B]ased on having eaten there and looking at the chart/financials, I'll go ahead and green thumb this one.

What do you think about Buffalo Wild Wings, 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!

Interested in another easy way to track Buffalo Wild Wings?Add it to your watchlist.

At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Buffalo Wild Wings, McDonald's, Yum!, Panera, and Chipotle, as well as creating an iron condor position in Chipotle. The Motley Fool owns shares of Buffalo Wild Wings, Chipotle, and Yum!. 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.

Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners