5-Star Stocks Poised to Pop: ABB

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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, Swiss electrical-engineering giant ABB (NYS: ABB) has earned a coveted five-star ranking.

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

ABB facts

Headquarters (founded)Zurich (1883)
Market Cap$44.6 billion
IndustryHeavy electrical equipment
Trailing-12-Month Revenue$38.0 billion
ManagementCEO Joseph Hogan (since 2008)
CFO Michel Demare (since 2005)
Return on Equity (average, past 3 years)20.9%
Cash/Debt$5.8 billion / $4.0 billion
Dividend Yield3.4%
CompetitorsAREVA
Schneider Electric
Siemens

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 1,798 members who have rated ABB believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those bulls, bdbcalm, highlighted ABB as a solid income opportunity:

Emerging markets are in high need of electricity infrastructure and are in an easing cycle in fears of a slowdown. This should be a catalyst for growth in share price. Reasonable dividend. Being held back by the Swiss Franc -- doubt this will get worse.

Of course, despite its five-star rating, ABB may not be your top choice. If that's the case, we've compiled a special free report for investors called "Secure Your Future With 11 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

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 ABB. 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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