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5-Star Stocks Poised to Pop: EnCana

Based on the aggregated intelligence of 120,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Canadian oil and gas giant EnCana (NYSE: ECA  ) 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 EnCana's business, and see what CAPS investors are saying about the stock right now.

EnCana facts

Headquarters (founded)

Calgary, Canada (1971)

Market Cap

$33.16 billion

Industry

Independent Oil & Gas

TTM Revenue

$30.47 billion

Management

CEO Randall Eresman

CFO Brian Ferguson

Return on Equity (average last three years)

28.1%

Dividend Yield

3.6%

Competitors

EOG Resources (NYSE: EOG  ) ,

Marathon Oil (NYSE: MRO  )

CAPS members bullish on ECA also bullish on

Vale (NYSE: RIO  ) ,

Apple (Nasdaq: AAPL  )

CAPS members bearish on ECA also bearish on

ExxonMobil (NYSE: XOM  ) ,

Chevron (NYSE: CVX  )

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 846 of the 865 members who have rated EnCana -- some 98% -- believe the stock will outperform the S&P 500 going forward. These bulls include richmunro and jrich0591.

Last month, richmunro noted a few of the stock's strong points: "good mnagement, excellent profit and profit potential, positioned right for future big returns."

In a pitch from a week later, jrich0591 shared that bullish attitude, elaborating on EnCana's untapped value:

Exceptionally well positioned in the energy sector. Vast energy reserves. Undervalued by any measurement. Decent yield and dividend growth history; low payout ratio. Positioned to split into separate companies -- natural gas and oil -- when global economic conditions strengthen, thus unlocking further shareholder value.

What do you think about EnCana, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 120,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Apple is a Motley Fool Stock Advisor pick. The Fool's disclosure policy always gets a perfect score.


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Related Tickers

5/25/2012 4:01 PM
ECA $20.50 Up +0.24 +1.18%
EnCana Corp (USA) CAPS Rating: *****
MRO $25.29 Up +0.41 +1.65%
Marathon Oil Corp CAPS Rating: ****
RIO $43.95 Down -0.78 -1.74%
Rio Tinto plc (ADR… CAPS Rating: ****
XOM $82.08 Down -0.53 -0.64%
ExxonMobil Corp CAPS Rating: *****
AAPL $562.29 Down -3.03 -0.54%
Apple CAPS Rating: ***
CVX $98.86 Down -1.20 -1.20%
Chevron Corp CAPS Rating: *****
EOG $101.75 Up +0.96 +0.95%
EOG Resources, Inc… CAPS Rating: ****

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