Why CARBO Ceramics Is Ready to Rebound

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, ceramic proppants provider CARBO Ceramics has earned a coveted five-star ranking.

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

CARBO facts

Headquarters (founded)

Houston, Texas (1987)

Market Cap

$1.8 billion

Industry

Oil and gas equipment and services

Trailing-12-Month Revenue

$650.0 million

Management

CEO Gary Kolstad (since 2006)

CFO Ernesto Bautista III (since 2009)

Return on Equity (average, past 3 years)

18.3%

Cash/Debt

$52.0 million / $0

Dividend Yield

1.3%

Competitors

Fairmount Minerals

Compagnie de Saint-Gobain

Unimin


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

On CAPS, 94% of the 444 members who have rated CARBO believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star Googlespooch, succinctly summed up the CARBO bull case for our community:

They make some of the highest quality proppant in the industry. With fracking solutions to domestic energy problems seeming to be one of the most likely picked, companies that have invested themselves in fracking should do well. ... [I]ndustry should continue to grow despite rig counts going down as each rig is drilling more wells.

If you want market-topping returns, you need to put together the best portfolio you can. Of course, despite its five-star rating, CARBO may not be your top choice.

We've found another energy play we are incredibly excited about -- excited enough to dub it "The Only Energy Stock You'll Ever Need." 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.

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The article Why CARBO Ceramics Is Ready to Rebound originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool owns shares of CARBO Ceramics. 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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