4-Star Stocks Poised to Pop: BP
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, integrated oil giant BP (NYS: BP) has earned a respected four-star ranking.
With that in mind, let's take a closer look at BP's business and see what CAPS investors are saying about the stock right now.
BP facts
Headquarters (founded) | London (1889) |
Market Cap | $133.6 billion |
Industry | Integrated oil and gas |
Trailing-12-Month Revenue | $376.6 billion |
Management | CEO Robert Dudley (since October 2010) CFO Brian Gilvary (since January 2012) |
Return on Equity (average, past 3 years) | 12.0% |
Cash/Debt | $15.2 billion / $47.7 billion |
Dividend Yield | 4.6% |
Competitors | Chevron (NYS: CVX) ConocoPhillips (NYS: COP) ExxonMobil (NYS: XOM) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 94% of the 5,233 members who have rated BP believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those bulls, fellow Fool John Divine (TMFDivine), tapped BP as a particularly solid bargain pick:
Still suffering from negative PR due to Gulf spill fiasco a few years back. Even though the company was forced to cut its dividend, it still stands pretty high at 4.6%, and trades at a humble sub-8 P/E. With relatively low levels of institutional ownership (~11%), a low payout ratio (sub 30%), the company has a lot of room to grow its dividend and plenty of runway for when institutions quit being spooked by the company name. Not to mention the fact that the company itself operates in a famously lucrative industry with growing demand. Long-term winner.
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 a strong four-star rating, BP may not be your top choice.
If that's the case, we've compiled a special free report for investors called "The 3 Dow Stocks Dividend Investors Need," which uncovers a few other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.
Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
The article 4-Star Stocks Poised to Pop: BP originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of ExxonMobil. Motley Fool newsletter services recommend Chevron. 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 Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.
