5-Star Stocks Poised to Pop: Terra Nitrogen

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, nitrogen products producer Terra Nitrogen Company, L.P. (NYS: TNH) has earned a coveted five-star ranking.

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

Terra Nitrogenfacts

Headquarters (founded)

Deerfield, Ill. (1991)

Market Cap

$4.1 billion

Industry

Fertilizers and agricultural chemicals

Trailing-12-Month Revenue

$796.8 million

Management

Chairman/CEO Dr. Stephen Wilson

CFO Dennis Kelleher

Return on Capital (average, past 3 years)

86.8%

Cash/Debt

$172.7 million / $0

Dividend Yield

7.8%

Competitors

Agrium (NYS: AGU)

Koch Industries

PCS Nitrogen


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

On CAPS, 97% of the 1,378 members who have rated Terra Nitrogen believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those bulls, Trololololo, tapped the stock as a particularly attractive income opportunity:

Terra Nitrogen appears to be undervalued. It's a Master Limited Partnership with a significant dividend yield and a strong five-year total return. It's a different type of investment for me, but one I find promising as long as natural gas prices are moderate.

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, Terra Nitrogen may not be your top choice.

If that's the case, we've compiled a special free report for investors called "Secure Your Future With 9 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

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

Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. 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.

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