4-Star Stocks Poised to Pop: AmerisourceBergen

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, national pharmaceutical distributor AmerisourceBergen (NYS: ABC) has earned a respected four-star ranking.

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

AmerisourceBergen facts

Headquarters (founded)

Chesterbrook, Pa. (1985)

Market Cap

$9.4 billion

Industry

Healthcare distributors

Trailing-12-Month Revenue

$80.6 billion

Management

CEO Steven Collis (since July 2011)
CFO Tim Guttman (since May 2012)

Return on Equity (average, past 3 years)

22.5%

Cash / Debt

$1.7 billion / $1.9 billion

Dividend Yield

1.4%

Competitors

Cardinal Health
Express Scripts
McKesson


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

On CAPS, 90% of the 286 members who have rated AmerisourceBergen believe the stock will outperform the S&P 500 going forward.

Earlier this year, one of those bulls, dreamjob, brought AmerisourceBergen's solid fundamentals to our community's attention: "Producing cash with a high [cash return on invested capital] and [return on invested capital]. This looks to be a well managed company ... and [free cash flow] is out-pacing [net income]. ... Looks cheap, and profitable."

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, AmerisourceBergen may not be your top choice.

If that's the case, we've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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

Fool contributorBrian Pacamparaowns no position in any of the companies mentioned. The Motley Fool owns shares of Express Scripts.Motley Fool newsletter serviceshave recommended buying shares of Express Scripts and McKesson. Try any of our Foolish newsletter servicesfree for 30 days.We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Fool'sdisclosure policyalways gets a perfect score.

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