Why Smith & Nephew Will Outperform in 2013
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, British medical technology company Smith & Nephew has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Smith & Nephew and see what CAPS investors are saying about the stock right now.
Smith & Nephewfacts
Headquarters (founded) | London (1856) |
Market Cap | $9.8 billion |
Industry | Health care equipment |
Trailing-12-Month Revenue | $4.2 billion |
Management | CEO Olivier Bohuon (since 2011) |
Return on Equity (average, past 3 years) | 23.1% |
Cash/Debt | $445.0 million / $69.0 million |
Dividend Yield | 1.8% |
Competitors | Johnson & Johnson |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 92% of the 125 members who have rated Smith & Nephew believe the stock will outperform the S&P 500 going forward.
Just last week, one of those Fools, dreamjob, succinctly summed up the bull case for our community:
Management at [Smith & Nephew] has achieved very strong [return on invested capital] and Cash ROIC numbers. Sales, earnings, and book value are all growing at a healthy clip. There are positive, stable, and growing owner earnings and free cash flow. There is also manageable debt here. I believe this is priced slightly below intrinsic value. I also like that this has recently become a 5 Star CAPS stock.
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, Smith & Nephew may not be your top choice.
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The article Why Smith & Nephew Will Outperform in 2013 originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of Johnson & Johnson and Zimmer Holdings. Motley Fool newsletter services recommend Johnson & Johnson. 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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