Why International Speedway Will Keep Zooming
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, motorsports entertainment promoter International Speedway has earned a coveted five-star ranking.
With that in mind, let's take a closer look at International Speedway, and see what CAPS investors are saying about the stock right now.
International Speedway facts
Daytona Beach, Fla. (1953)
CEO Lesa France Kennedy (since 2009)
CFO Daniel Houser (since 2008)
Return on Equity (average, past 3 years)
Cash / Debt
$162.6 million / $276.6 million
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 89% of the 169 members who have rated International Speedway believe the stock will outperform the S&P 500 going forward.
- Just landed a the "largest media rights deal in NASCAR's history" with a 10 year deal with NBC starting in 2015
-This is only months removed after landing an 8 year-$2.4 billion deal with FOX
-Essentially a content provider to whomever would like to pay them, allowing strong positioning regardless of cable's future
-Dropped its share count from 53 million in 2007 to 46 in 2012, is eyeing future buybacks with a solid balance sheet
Long story short, International Speedway Corp. hasn't been given enough credit for essentially raising its media rights revenue by 50% or more with its new NBC deal. Did I mention media rights account for 46-50% of the company's overall revenues?
I see this one as a special situation type buy and will hold it until the market realizes the value of its new media contracts correctly.
If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong five-star rating, International Speedway may not be your top choice.
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The article Why International Speedway Will Keep Zooming originally appeared on Fool.com.Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends International Speedway. The Motley Fool owns shares of International Speedway. 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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