4-Star Stocks Poised to Pop: Ormat Tech

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Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, geothermal power plant operator Ormat Technologies (NYSE: ORA) has earned a respected four-star ranking.

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

Ormat facts 

Headquarters (founded)

Reno, Nevada (1965)

Market Cap

$1.46 billion

Industry

Independent Power Producers

Trailing-12-Month Revenue

$344.8 million

Management

Chief Technology Officer Lucien Bronicki (since 2004)

CEO Yehudit Bronicki (since 2004)

Compound Annual Revenue Growth (over last five years)

23.6%

Competitors

Raser Technologies (NYSE: RZ)

NRG Energy (NYSE: NRG)

Chevron (NYSE: CVX)

CAPS members bullish on ORA also bullish on

General Electric (NYSE: GE)

Suntech Power (NYSE: STP)

CAPS members bearish on ORA also bearish on

Las Vegas Sands (NYSE: LVS)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS.

Over on CAPS, fully 373 of the 390 members who have rated Ormat -- some 95% -- believe the stock will outperform the S&P 500 going forward. These bulls include Alex1963 and devoish, both of whom are ranked in the top 15% of our community.

Two weeks ago, Alex1963 tapped Ormat as a hot opportunity:

I like the prospects for geothermal overall. This company seems to have pretty solid growth & acquisition. … A little more LTD/equity than I like at 44% but strong margins, and profit. …I think this is a sustainable energy field not talked about much but is a good alternative moving forward to supplement other green energy investing and utilization.

In a pitch from last month, devoish agrees with that powerful line of thinking:

Ormat has been steadily increasing geothermal power generation capacity for five years in a carbon lush world. They have delivered positive earnings for the last five years, and a small divi. Global warming is worse than thought and demand for low carbon power will increase. Siemens and GE are competitors, but there will be plenty of work to go around. Ormat's recently opened Kenya plant is expected to be lower cost electricity than $29/bbl oil electricity according the politicians who supported it.

What do you think about Ormat Tech, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 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. Suntech Power is a Motley Fool Rule Breakers recommendation. The Fool's disclosure policy always gets a perfect score.

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11/30/2009 4:05 PM
ORA $41.17 Up +0.88 +2.18%
Ormat Technologies… CAPS Rating: ****
GE $16.02 Up +0.08 +0.50%
General Electric C… CAPS Rating: ****
STP $14.95 Up +0.77 +5.43%
Suntech Power Hold… CAPS Rating: ****
RZ $1.16 Up +0.01 +0.87%
Raser Technologies… CAPS Rating: *
LVS $15.32 Down -0.47 -2.98%
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CVX $78.04 Down -0.13 -0.17%
Chevron Corp CAPS Rating: ****
NRG $23.94 Up +0.03 +0.13%
NRG Energy, Inc. CAPS Rating: *****

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