4-Star Stocks Poised to Pop: France Telecom

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, French telecommunications giant France Telecom (NYS: FTE) has earned a respected four-star ranking.

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

France Telecom facts

Headquarters (founded)

Paris (1990)

Market Cap

$33.3 billion

Industry

Integrated telecom services

Trailing-12-Month Revenue

$56.8 billion

Management

Chairman/CEO Stephane Richard
CFO Gervais Pellissier

Return on Equity (average, past 3 years)

11.9%

Cash/Debt

$11.4 billion / $52.3 billion

Dividend Yield

13.1%

Competitors

Bouygues
Societe Francaise du Radiotelephone
Vodafone Group


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

On CAPS, 96% of the 810 members who have rated France Telecom believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those bulls, LadyFortune, tapped the stock as an attractive bargain opportunity:

[France Telecom's] hit some hard economic times on both the macro (euro-crisis) and micro (Iliad competition) levels. There's reason to believe that both these worries have been blown out of proportion, though, as Europe's economy begins to recover and Iliad fails to live up to clients' and analysts' expectations. With its expansion into new markets like Sub-Saharan Africa, [France Telecom] will only benefit from diversification in the years to come.

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, France Telecom may not be your top choice.

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

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of France Telecom. Motley Fool newsletter services have recommended buying shares of Vodafone Group and France Telecom. 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.

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