Why Beam Looks Tasty for the Long Term

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, premium spirits specialist Beam has earned a respected four-star ranking.

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

Beam facts

Headquarters (Founded)

Deerfield, Ill. (1904)

Market Cap

$9.8 billion

Industry

Distillers and vintners

Trailing-12-Month Revenue

$2.5 billion

Management

CEO Matthew Shattock (since 2011)
CFO Robert Probst (since 2008)

Return on Equity (Average, Past 3 Years)

5.8%

Cash / Debt

$365.7 million / $2.5 billion

Dividend Yield

1.5%

Competitors

Brown-Forman
Diageo


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

On CAPS, 97% of the 179 members who have rated Beam believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star greedwhenfearful, succinctly summed up the Beam bull case for our community:

[A] simple, high margin business model that's consumed daily worldwide that I'm a big fan of. About a year ago BEAM was spun off from Fortune Brands to be a pure-play spirits company. That means I get focus, strong brands (Jim Beam, Skinny Girl, Courvoisier, Pucker, Maker's Mark, Pinnacle, etc.) a small market cap ($9.8 billion), with a 1.46% [dividend yield] that I believe will be constantly raised throughout the decades as the company grows and compounds.

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

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The article Why Beam Looks Tasty for the Long Term originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Beam and Diageo. 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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