4-Star Stocks Poised to Pop: SXC Health Solutions

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, pharmacy benefits manager SXC Health Solutions (NAS: SXCI) has earned a respected four-star ranking.

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

SXC facts

Headquarters (founded)

Lisle, Ill. (1993)

Market Cap

$5.8 billion

Industry

Health-care technology

Trailing-12-Month Revenue

$5.0 billion

Management

Chairman/CEO Mark Thierer
CFO Jeffrey Park

Return on Equity (average, past 3 years)

14%

Cash/Debt

$341.4 million / $56 thousand

Competitors

Allscripts Healthcare Solutions
Cerner
NovoLogix


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

On CAPS, 95% of the 320 members who have rated SXC believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star dvena, succinctly summed up the bull case for our community:

Pharmacy Benefit Management is the wave of the future and [SXC] is at the forefront. They are in the sweet spot. They are the up and comer in an industry dominated by old-school rules. ... By providing a better price, better service and transparency, they have carved out a [niche] for themselves and tend to profit greatly as firms look to save money. They also have the silver tsunami of the baby boomers retiring in mass to drive future business opportunties.

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, SXC may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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 SXC Health Solutions. The Motley Fool has a disclosure policy.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement