Why MSC Industrial Is Poised to Bounce Back

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, metalworking products distributor MSC Industrial Direct has earned a coveted five-star ranking.

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

MSC facts

Headquarters (founded)

Melville, N.Y. (1941)

Market Cap

$5.0 billion

Industry

Trading companies and distributors

Trailing-12-Month Revenue

$2.4 billion

Management

CEO/COO Erik Gershwind

CFO Jeffrey Kaczka

Return on Equity (average, past 3 years)

21.9%

Cash/Debt

$244.0 million/$3.3 million

Dividend Yield

1.5%

Competitors

Applied Industrial Technologies

W.W. Grainger


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

On CAPS, 98% of the 502 members who have rated MSC believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, TMFTheRealDeal, succinctly summed up the MSC bull case for our community: "Boring, industrial distributor that operates in a business with great economics. ROIC over 18% for past 15 years. Highly fragmented industry with an opportunity to gain market share."

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

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The article Why MSC Industrial Is Poised to Bounce Back originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends and owns shares of MSC Industrial Direct. 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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