5-Star Stocks Poised to Pop: FormFactor

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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, wafer-probe card maker FormFactor (NAS: FORM) has earned a coveted five-star ranking.

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

FormFactor facts

Headquarters (founded)Livermore, Calif. (1993)
Market Cap$281.1 million
IndustrySemiconductor equipment
Trailing-12-Month Revenue$169.3 million
ManagementCEO Thomas St. Dennis (since 2010)
CFO Michael Ludwig (since 2011)
Return on Equity (average, past 3 years)(26.6%)
Cash/Debt$296.7 million / $0
CompetitorsAdvantest
Cascade Microtech
Everett Charles Technologies

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

On CAPS, 98% of the 1,455 members who have rated FormFactor believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, Thronzoid, tapped the stock as a turnaround opportunity worth considering:

As depressed as it's gonna get. Lots of cash -- key for [FormFactor] is to get costs to breakeven, and extend their product line for testing of other devices besides just RAM. Need higher margin sales, need sales of testing solutions that leverage [FormFactor's] technical/complexity advantage.  

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. Of course, despite its five-star rating, FormFactor may not be your top choice.

We've found another tech play we are incredibly excited about -- excited enough to dub it "The Only Stock You Need to Profit from the NEW Technology Revolution." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here 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. The Motley Fool owns shares of FormFactor. Motley Fool newsletter services have recommended buying shares of and creating a bull call spread position in FormFactor. 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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