Why Infinera Is Poised to Outperform

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, optical networking company Infinera has earned a coveted five-star ranking.

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

Infinera facts

Headquarters (founded)

Sunnyvale, Calif. (2000)

Market Cap

$740.0 million

Industry

Communications equipment

Trailing-12-Month Revenue

$438.4 million

Management

CEO Thomas Fallon

Co-Founder/Chief Marketing and Strategy Officer Dr. David Welch

Return on Equity (average, past 3 years)

(16.9%)

Cash/Debt

$180.8 million / $0

Competitors

Alcatel-Lucent

Cisco Systems

Ericsson


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

On CAPS, 98%of the 1,853 members who have rated Infinera believe the stock will outperform the S&P 500 going forward.

Just last month, one of those bulls, JoeArizona, succinctly summed up the Infinera bull case for our community:

Faster optical networks are coming, but big players are careful about upgrades. Once the Infinera DTN-X platform gains a track record at small communication providers, the big telecoms will place big orders. When that happens, the stock will skyrocket.

If you want market-topping returns, you need to put together the best portfolio you can. Of course, despite its perfect five-star rating, Infinera 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 Infinera Is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Cisco Systems and Infinera. The Motley Fool owns shares of Infinera . 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement