4-Star Stocks Poised to Pop: L-3 Communications
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, military contractor L-3 Communications Holdings (NYS: LLL) has earned a respected four-star ranking.
With that in mind, let's take a closer look at L-3's business and see what CAPS investors are saying about the stock right now.
L-3 facts
Headquarters (founded) | New York (1997) |
Market Cap | $7.2 billion |
Industry | Aerospace and defense |
Trailing-12-Month Revenue | $15.2 billion |
Management | Chairman/CEO Michael Strianese CFO Ralph D'Ambrosio |
Return on Equity (average, past 3 years) | 14.2% |
Cash/Debt | $493.0 million / $4.1 billion |
Dividend Yield | 2.7% |
Competitors | Boeing |
Source: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 947 members who have rated L-3 believe the stock will outperform the S&P 500 going forward.
Just last month, one of those bulls, All-Star JBouchard, tapped L-3 as a solid bargain opportunity:
Long-term contrarian pick. ... Get a nice $2 dividend every year (2.9% yield) while waiting.
Currently depressed because of military spending cuts in the U.S. and elsewhere, but this won't last forever so it seems like a good opportunity to add this while prices are depressed. Existing aircraft will still need to be maintained and upgraded.
If you want market-beating returns, 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 its four-star rating, L-3 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. The Motley Fool owns shares of L-3, Lockheed, and Northrop. Motley Fool newsletter services have recommended buying shares of L-3. 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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