Why Polypore Is Poised to Plunge

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, filtration process specialist Polypore International has received a distressing two-star ranking.

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

Polyporefacts

Headquarters (Founded)

Charlotte, N.C.

Market Cap

$2.1 billion

Industry

Industrial equipment and components

Trailing-12-Month Revenue

$728.1 million

Management

Chairman/CEO Robert Toth
CFO Lynn Amos

Return on Equity (Average, Past 3 Years)

5.6%

Cash/Debt

$52.6 million / $711.3 million

Competitors

Asahi Kasei
Nippon Sheet GlassUbe Industries


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

On CAPS, 10% of the 256 members who have rated Polypore believe the stock will underperform the S&P 500 going forward.

Just yesterday, one of those bears, fellow Fool Rich Smith (TMFDitty), succinctly summed up the underperform case for our community:

I'm hearing bad, bad rumblings on this one. Looking into it myself, I see increasing [capital expenditures], and two years of (rising) negative free cash flow -- even as Polypore reports GAAP "profits." Doesn't look good.

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The article Why Polypore Is Poised to Plunge originally appeared on Fool.com.

Fool contributor Brian Pacampara and The Motley Fool have no positions in the stocks mentioned above. Motley Fool newsletter services recommend Polypore International. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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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