4-Star Stocks Poised to Pop: Mitcham Industries

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, seismic equipment specialist Mitcham Industries (NAS: MIND) has earned a respected four-star ranking.

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

Mitcham facts

Headquarters (founded)

Huntsville, Texas (1987)

Market Cap

$227.1 million

Industry

Oil and gas equipment and services

Trailing-12-Month Revenue

$121.0 million

Management

CEO Billy Mitcham (since 1987)
CFO Robert Capps (since 2006)

Return on Equity (average, past 3 years)

10.7%

Cash/Debt

$17.4 million / $19.5 million

Competitors

Baker Hughes
Dawson Geophysical
Petroleum Geo-Services


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

On CAPS, 98% of the 329 members who have rated Mitcham believe the stock will outperform the S&P 500 going forward.

Earlier this month, one of those Fools, troym72, tapped Mitcham as a timely bargain opportunity:

[Mitcham's] stock has been punished severely after their earnings miss for 1Q2012. ... This creates a great buy opportunity for the smart investor who does not just react to negative news. If you look at [Mitcham's] EPS estimates ($2.44/share) for 2012. Even if [Mitcham] maintains a modest P/E of 10, the stock is valued at $24 per share. ... Most analysts have the 1yr target for [Mitcham] in the [$30s]. I just don't see how you can't pick up this stock at $17/share.

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

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The article 4-Star Stocks Poised to Pop: Mitcham Industries originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Dawson. Motley Fool newsletter services have recommended buying shares of Dawson. 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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