5-Star Stocks Poised to Pop: Infinera

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, optical networking specialist Infinera (NAS: INFN) has earned a coveted five-star ranking.

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

Infinera facts

Headquarters (founded)

Sunnyvale, Calif. (2000)

Market Cap

$626.2 million

Industry

Communications equipment

Trailing-12-Month Revenue

$414.2 million

Management

CEO Thomas Fallon (since 2010)
CFO Ita Brennan (since 2010)

Return on Equity (average, past 3 years)

(17.1%)

Cash/Debt

$190.0 million / $0

Competitors

Alcatel-Lucent
Cisco Systems
Ericsson


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

On CAPS, 98% of the 1,854 members who have rated Infinera believe the stock will outperform the S&P 500 going forward.

Just last month, one of those bulls, All-Star coryjobe, succinctly summed up the bull case for our community:

Management is upbeat about the company's next-generation offering, the 500G PIC-based DTN-X platform. The product is already starting to make inroads, generating interest among potential and existing customers. Management reiterated that the platform would be ready to ship by the close of the current quarter and ought to start generating revenues in the 2nd half of 2012. They have already announced their first big DTN-X win with U.K based Cable&Wireless Worldwide, bringing the total number of outstanding orders to four. They look to be able to turn a profit in 2013, they are a relatively small and nimble player in a big pond, which should serve well in this dynamic industry.

If you want market-topping 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, Infinera may not be your top choice.

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

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