Based on the aggregated intelligence of 170,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Latin American bank Banco Latinoamericano de Comercio Exterior (Bladex) (NYSE: BLX ) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Bladex's business and see what CAPS investors are saying about the stock right now.
Bladex facts
| Headquarters (Founded) |
Panama City (1977) |
| Market Cap |
$624.6 million |
| Industry |
Diversified banks |
| Trailing-12-Month Revenue |
$89.05 million |
| Management |
CEO Jaime Rivera (since 2004)
CFO Christopher Schech (since 2009)
|
| Trailing-12-Month Return on Equity |
6.5% |
| Cash/Debt |
$375 million / $2.64 billion |
| Dividend Yield |
4.7% |
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 96% of the 397 members who have rated Bladex believe the stock will outperform the S&P 500 going forward. These bulls include All-Star Jeffreyw, who is ranked in the top 3% of our community, and GingersBread.
Late last year, Jeffreyw tapped Bladex as a particularly potent pick: "Profits come from the trade financing and M&A activity may increase the volume of trades. They may benefit from currency exchange rates as well."
Bladex even boasts a robust three-year average profit margin of 61%. That's much higher than that of U.S. counterparts Bank of America (NYSE: BAC ) (5.2%) and Wells Fargo (NYSE: WFC ) (15.2%), let alone Citigroup's (NYSE: C ) negative average margin of 4.6%.
CAPS member GingersBread expands on the Bladex outperform argument:
Bladex, based in Panama, was set up to finance trade in the Latin America region. The company lubricates international trade by extending lines of credit and loans to other regional banks and corporations in order to ensure smooth operations despite the sometimes erratic payment schedules that accompany import/export operations. Their revenue grows roughly in proportion to Latin American economic output, and they are not at all subject to the stumbling blocks that have felled other banks, such as subprime mortgages and unpaid credit card debt, as they do not deal in these kinds of services. A relatively high dividend and attractive growth prospects makes them arguably the single best stock to hold to represent the Latin American economy.
What do you think about Bladex, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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