Why LeapFrog Is Poised to Leap Forward

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, educational toy maker LeapFrog Enterprises has earned a respected four-star ranking.

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

LeapFrog facts

Headquarters (founded)

Emeryville, Calif. (1995)

Market Cap

$580.4 million

Industry

Leisure products

Trailing-12-Month Revenue

$581.3 million

Management

CEO John Barbour (since 2011)

COO Michael Dodd (since 2010)

Return on Equity (average, past 3 years)

14.1%

Cash/Debt

$120.0 million/$0

Competitors

Hasbro

Mattel

VTech Holdings


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

On CAPS, 89% of the 456 members who have rated LeapFrog believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, TMFCQuader, offered some insight into the LeapFrog bull case for our community:

This is a company that has proven time and time again ... when you align your goals on a corporate level to precisely what you want to produce, then your product will be precisely that.

Reading their Annual Report 2012, you can tell that their entire focus is geared toward making children happy educationally, and doing so with a product that stands up to them!

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

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2013." 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 LeapFrog Is Poised to Leap Forward originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Hasbro and LeapFrog Enterprises. It also recommends Mattel. 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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