5-Star Stocks Poised to Pop: L.B. Foster

Brian D. Pacampara, The Motley Fool
Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, construction and rail products manufacturer L.B. Foster (NAS: FSTR) has earned a coveted five-star ranking.

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

L.B. Foster facts

Headquarters (founded)

Pittsburgh (1902)

Market Cap

$280.2 million

Industry

Industrial machinery

Trailing-12-Month Revenue

$592.4 million

Management

CEO Robert Bauer (since February 2012)
CFO David Russo (since July 2002)

Return on Equity (average, past 3 years)

8%

Cash/Debt

$67.8 million / $1.1 million

Dividend Yield

0.4%

Competitors

Alstom SA
Amsted Industries
Greenbrier Companies


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

On CAPS, 94% of the 466 members who have rated L.B. Foster believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those Fools, Monroe7, brought L.B. Foster's solid fundamentals to our community's attention: "Almost no debt, revenue and earnings are going higher fast, dividend is sure to grow over the next couple years. This should be a solid stock to own for the long term."

If you want market-thumping 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 five-star rating, L.B. Foster 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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