4-Star Stocks Poised to Pop: The Pantry

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, convenience store chain Pantry (NAS: PTRY) has earned a respected four-star ranking.

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

Pantry facts

Headquarters (founded)

Cary, N.C. (1967)

Market Cap

$280.1 million

Industry

Food retail

Trailing-12-Month Revenue

$7.4 billion

Management

CEO Dennis Hatchell
CFO Mark Bierley

Return on Equity (average, past 3 years)

(12.4%)

Cash/Debt

$150.7 million / $1.2 billion

Competitors

7-Eleven
Alimentation Couche Tard
RaceTrac Petroleum

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

On CAPS, 92% of the 225 members who have rated Pantry believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those Fools, jed71, took a cautiously bullish stance on the stock:

Cash flows look pretty good, and their anticipated growth for 2012 and beyond seems strong. I just wish they would stop buying businesses and focus on continuing to improve cash flows. A dividend for shareholders would also be quite nice. ... I plan to keep a close eye on free cash flows and future M&A activity. I am hoping they spend more time strengthening their balance sheet than looking for new acquisition targets, but I am not holding my breath.

What do you think about Pantry, 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. 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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