4-Star Stocks Poised to Pop: STEC

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, solid-state storage device specialist STEC (NAS: STEC) has earned a respected four-star ranking.

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

STEC facts

Headquarters (founded)

Santa Ana, Calif. (1990)

Market Cap

$320.7 million

Industry

Data storage devices

Trailing-12-Month Revenue

$263.5 million

Management

Co-Founder/Chairman/CEO Manouch Moshayedi
Co-Founder/President/COO Mark Moshayedi

Return on Equity (average, past 3 years)

5.6%

Cash/Debt

$205.8 million / $0

Competitors


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

On CAPS, 92% of the 742 members who have rated STEC believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star TSIF, tapped STEC as a possible takeover target:

[V]olume and float are fairly low and STEC fills a niche that might be of interest to other players. I sense management is "tired" and if another player is interested the premium might not be excessive. Overall, one should NEVER bank on a buyout option, but it may present some resistance to further share price erosion in the the short run.

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

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Western Digital. 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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