4-Star Stocks Poised to Pop: Verisk Analytics

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, insurance data specialist Verisk Analytics (NAS: VRSK) has earned a respected four-star ranking.

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

Verisk facts

Headquarters (founded)

Jersey City, N.J. (1971)

Market Cap

$7.8 billion

Industry

Research and consulting services

Trailing-12-Month Revenue

$1.3 billion

Management

Chairman/CEO Frank Coyne
President/COO Scott Stephenson

Return on Equity (average, past 3 years)

84.2%

Cash/Debt

$196.7 million / $1.1 billion

Competitors

Deloitte Consulting
DMG Information
LexisNexis Group


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

On CAPS, 93% of the 89 members who have rated Verisk believe the stock will outperform the S&P 500 going forward.

Earlier this month, one of those Fools, 3Fairfield, summed up the bull case for our community:

Verisk Analytics is an unusual company in that its Property & Casualty Insurance clients are contracted for the long term and [Verisk's] services are a recurring and insatiable need for these companies. In fact it originated as a kind of collective of P&C insurers (known as the 'ISO' or 'Insurance Services Office') who wanted research on risk assessment and policy wording. ...

So what goes around comes around and I think this stock has been and will continue to be a very sound and profitable investment.

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 a strong four-star rating, Verisk may not be your top choice.

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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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