5-Star Stocks Poised to Pop: Westport Innovations

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, alternative fuel technologist Westport Innovations (NAS: WPRT) has earned a coveted five-star ranking.

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

Westport facts

Headquarters (Founded)

Vancouver, Canada (1995)

Market Cap

$1.34 billion

Industry

Auto parts

Trailing-12-Month Revenue

$203.6 million

Management

Founder/CEO David Demers
CFO William Larkin

Return on Equity (Average, Past 3 Years)

(49.7%)

Cash/Debt

$105.6 million / $87.3 million

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

On CAPS, 98% of the 787 members who have rated Westport believe the stock will outperform the S&P 500 going forward. These bulls include ctrivermouth and All-Star Chemdawg, who is ranked in the top 5% of our community.

Just last month, ctrivermouth touched on the trends working in Westport's favor: "Oil prices only going up, [natural gas] gradually becoming adopted for over-the-road use. Westport at the forefront of this move, with or without governmental action."

Over the next five years, in fact, Westport is expected to grow its bottom line at a brisk rate of 30% annually. That's faster than industry peers like Cummins (NYS: CMI) (18%), Eaton (NYS: ETN) (11%), and Fuel Systems Solutions (NAS: FSYS) (15%).

CAPS All-Star Chemdawg expands on the Westport outperform argument:

[W]hen natural gas gets the attention it deserves watch out ... the sky is the limit for those already in the business and successful. Westport will be one of the major players as far as creating value for those using their products. Cost savings alone over oil will justify switching over to Natural gas.

What do you think about Westport, 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!

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

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Westport and Cummins. 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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