5-Star Stocks Poised to Pop: Body Central

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, women's clothing and accessories retailer Body Central (NAS: BODY) has earned a coveted five-star ranking.

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

Body Central facts

Headquarters (founded)

Jacksonville, Fla. (1972)

Market Cap

$141.2 million

Industry

Apparel retail

Trailing-12-Month Revenue

$305.2 million

Management

CEO Bruce Weinstein (since 2009)
CFO Thomas Stoltz (since 2011)

Trailing-12-Month Return on Equity

25.7%

Cash/Debt

$44.5 million / $0

Competitors

Aeropostale
Forever 21
Wal-Mart Stores


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

On CAPS, 96% of the 102 members who have rated Body Central believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those bulls, fellow Fool Thomas Engle (TMF1000), tapped Body Central as an attractive bargain opportunity:

[N]o debt company with $44 million in cash. They are cash flow positive. They have produced cash flow in each of their quarters since I started taking notes. Sames store sales were amazing for their few years since going public, then same stores sales crashed and so did their stock price starting recently. ... It has the qualities I look for in a small retailer. No debt, small store base and earnings and cash flow were going up. ...

The economy does seem to be struggling again. I think teen unemployment could be hurting this company who target teens and women in their mid twenties. ... There is an element of risk, but I believe they will have a fine holiday report.

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, Body Central may not be your top choice.

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The article 5-Star Stocks Poised to Pop: Body Central originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Aeropostale. Motley Fool newsletter services have recommended creating a diagonal call position in Wal-Mart. 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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