4-Star Stocks Poised to Pop: 8x8

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, VoIP business phone service specialist 8x8 (NAS: EGHT) has earned a respected four-star ranking.

With that in mind, let's take a closer look at 8x8's business and see what CAPS investors are saying about the stock right now.

8x8 facts

Headquarters (founded)Sunnyvale, Calif. (1987)
Market Cap$280.2 million
IndustryCommunication equipment
Trailing-12-Month Revenue$80.0 million
ManagementChairman/CEO Bryan Martin
CFO Daniel Weirich
Return on Equity (average, past 3 years)16.2%
Cash/Debt$21.9 million / $0
Vonage Holdings

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

On CAPS, 96% of the 285 members who have rated 8x8 believe the stock will outperform the S&P 500 going forward.  

A couple of months ago, one of those bulls, fellow Fool Anders Bylund (TMFZahrim), included 8x8 as sound way to get into the space:

I'm bullish on all four of the VoIP gurus, for somewhat different reasons. 8x8 is solidly profitable, and its business-class services are gaining traction beyond the itty-bitty biz segment. Cbeyond has the corporate focus down and is just waiting to turn the corner into profitability, making for an attractively priced stock. magicJack and Vonage cater to the consumer at different balances between price and convenience, and it's only a matter of time before a smartphone-infused America catches on to their advantages.

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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. 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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