4-Star Stocks Poised to Pop: BE Aerospace

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, commercial aircraft manufacturer BE Aerospace (NAS: BEAV) has earned a respected four-star ranking.

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

BE Aerospace facts

Headquarters (Founded)

Wellington, Fla. (1987)

Market Cap

$3.31 billion

Industry

Aerospace and defense

Trailing-12-Month Revenue

$2.25 billion

Management

Co-Founder/Chairman/CEO Amin Khoury

President/COO Werner Lieberherr

Return on Equity (Average, Past 3 Years)

3.8%

Cash/Debt

$193.2 million / $1.25 billion

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

On CAPS, 96% of the 589 members who have rated BE Aerospace believe the stock will outperform the S&P 500 going forward. These bulls include robertshrestha and fellow Fool Alex Planes (TMFBiggles).

Just last week, robertshrestha listed several of BE Aerospace's positives: "Reasonable forward valuation, growing revenues and operating income, record bookings, recovering global passenger traffic. Lots of things to like here."

Over the next five years, in fact, BE Aerospace is expected to grow its bottom line at a solid rate of 13% annually. That's faster than other aerospace and defense plays like Lockheed Martin (NYS: LMT) (9.5%), Northrop Grumman (NYS: NOC) (8%), and Raytheon (NYS: RTN) (9%).

Alex elaborates on the BE Aerospace bull case:

There aren't a lot of companies (except maybe Spirit AeroSystems) that stand to benefit more from the huge backlog of plane orders that both Boeing and Airbus are carrying. Well north of 10,000 commercial airplanes (I forget the exact combined number, but you can find it on their websites) that nee d to be built, and a lot of them will need upmarket seats, and nearly all of them will need food and beverage systems. The faster Boeing and Airbus roll out new planes, the better it is for B/E.

What do you think about BE Aerospace, 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 BE Aerospace?Add it to your watchlist.

At the time thisarticle was published Fool contributorBrian Pacamparaowns no position in any of the companies mentioned. The Motley Fool owns shares of Lockheed, Northrop, and Raytheon. Try any of our Foolish newsletter servicesfree for 30 days.We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Fool'sdisclosure policyalways gets a perfect score.

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