Why DIRECTV Is Poised to Keep Poppin'

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, digital television entertainment company DIRECTV has earned a respected four-star ranking.

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

DIRECTV facts

Headquarters (founded)

El Segundo, Calif. (1990)

Market Cap

$36.8 billion

Industry

Cable and satellite

Trailing-12-Month Revenue

$30.3 billion

Management

Chairman/CEO Michael White

CFO Patrick Doyle

21.3%

Cash / Debt

$1.7 billion / $18.4 billion

Competitors

Comcast

Dish Network


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

On CAPS, 91% of the 860 members who have rated DIRECTV believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, All-Star vitrified, succinctly summed up the DIRECTV bull case for our community:

1) DTV is very successful in Latin America, with a long growth runway and potential synergies with bundled broadband Internet and satellite TV. Note that I would never buy it based on the US business.

2) I have never seen buybacks at the rate DTV has pursued since 2004 (thus far, it seemingly has paid off).

3) Todd Combs and Ted Weschler at [Berkshire Hathaway] both love it; and Buffett is shoveling more and more cash into their portfolios.

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

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The article Why DIRECTV Is Poised to Keep Poppin' originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Berkshire Hathaway. It also recommends DIRECTV. 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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