Based on the aggregated intelligence of 120,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, power producer FPL Group (NYSE:FPL) has earned a coveted five-star ranking. Our data has shown that five-star stocks outperform the market by a significant margin; conversely, one-star stocks have woefully lagged the market average.
With that in mind, let's take a closer look at FPL's business and see what CAPS investors are saying about the stock right now.
FPL facts
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Headquarters (Founded) |
Juno Beach, Florida (1984) |
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Market Cap |
$17.08 billion |
|
Industry |
Electric utilities |
|
TTM Revenue |
$15.28 billion |
|
Management |
CEO Lewis Hay III (since June 2001) CFO Armando Pimentel Jr. (since April 2008) |
|
Return on Equity (average last three years) |
12.6% |
|
Dividend Yield |
4.3% |
|
Competitors |
The Southern Company (NYSE:SO) Progress Energy (NYSE:PGN) |
|
CAPS members bullish on FPL also bullish on |
Chesapeake Energy (NYSE:CHK) Transocean (NYSE:RIG) |
|
CAPS members bearish on FPL also bearish on |
IBM (NYSE:IBM) Citigroup (NYSE:C) |
Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.
Over on CAPS, 175 of the 181 All-Star members who have rated FPL -- 97% -- believe the stock will outperform the S&P 500. These bulls include PuddinHead42 and divagator, both of whom are ranked in the top 15% of our community.
Last week, PuddinHead42 gave Fools a heads-up about the power play: "Great dividend. Another bloody market of fear is giving you a bargain (10/15/08) at $37.5. Take it now."
In a pitch in August, divagator shared that sentiment, highlighting the stock's downturn-defending attributes:
I have followed this utility for a decade. Stock is up nearly 100% during the past 9 years with a steadily improved dividend over that time. Management is looking beyond [Florida] and beyond coal and gas fired plants to wind and nuclear. I think they [are] smart and patient in deciding when and how to grow. I'm jumping in now because it is trading near its 52-week low. Should the market tumble down to 10000, I think this one has a floor underneath it in the form of solid, predictable earnings and should outpace the S&P.
What do you think about FPL, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. CAPS is 100% free, so simply click here to get started.
