Why CA Technologies Is Poised to Outperform
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, IT management software specialist CA Technologies has earned a respected four-star ranking.
With that in mind, let's take a closer look at CA Tech and see what CAPS investors are saying about the stock right now.
CA Tech facts
Headquarters (Founded) | Islandia, N.Y. (1974) |
Market Cap | $10.8 billion |
Industry | Systems software |
Trailing-12-Month Revenue | $4.8 billion |
Management | CEO Michael Gregoire (since January 2013) |
Return on Equity (Average, Past 3 Years) | 16% |
Cash/Debt | $2.3 billion / $1.5 billion |
Dividend Yield | 4.3% |
Competitors | Hewlett-Packard |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 77% of the 295 members who have rated CA Tech believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those Fools, NovaTodd, succinctly summed up the CA Tech bull case for our community:
The mainframe solutions segment is a veritable cash cow, albeit one with dwindling sales figures. The key will be driving growth in other, lower margin segments. Free cash flow routinely exceeds 1 billion dollars, and easily covers the dividend and share repurchases.
If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, CA Tech may not be your top choice.
We've found another growth play we are incredibly excited about -- excited enough to dub it "The Only Stock You Need to Profit From the NEW Technology Revolution." 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.
Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
The article Why CA Technologies Is Poised to Outperform originally appeared on Fool.com.
Brian Pacampara has no position in any stocks mentioned. The Motley Fool owns shares of IBM and Oracle. 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.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.
