Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, entertainment content company Viacom (NAS: VIAB) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Viacom's business and see what CAPS investors are saying about the stock right now.
Movies and entertainment
CEO Philippe Dauman (since 2006)
Trailing-12-Month Return on Equity
$1.1 billion / $7.8 billion
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 97% of the 1,360 members who have rated Viacom believe the stock will outperform the S&P 500 going forward.
*This company has great brand names that are very popular and that brings ad dollars.
*Ten year summary ... constant revenue and income growth ... 6 billion in sales and 1.67 billion in EBIT in 2002, 15 billion in sales and 3.25 billion in EBIT in 2011.
*Key Ratios ... net margins over 12% on average ... ROE averaged over 17% last 9 years ...
*Earnings ... estimates are about 15% for the next 2 years and 14% over the next 5 years
*Forward P/E of less than 11 which would mean a earnings yield of over 9% ... ten year treasury gives you a yield of less than 2% and it also beat the S&P yield as a whole
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The article 4-Star Stocks Poised to Pop: Viacom originally appeared on Fool.com.
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