Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, online backup solutions specialist Carbonite (Nasdaq: CARB ) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at Carbonite's business and see what CAPS investors are saying about the stock right now.
|Headquarters (founded)||Boston (2005)|
|Market Cap||$233.8 million|
|Industry||Internet software and services|
|Trailing-12-Month Revenue||$66.2 million|
|Management||Co-Founder/Chairman/CEO David Friend
CFO Andrew Keenan
|Trailing-12-Month Return on Capital||(384.4%)|
|Cash/Debt||$68.1 million / $0|
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 47% of the 36 members who have rated Carbonite believe the stock will underperform the S&P 500 going forward.
With a fair book value of $0.78 this company is greatly overvalued. The red ink continues to get darker each quarter and shareholders' equity stands at only $20 million as of 1Q12. Furthermore, their product is easily replicated (no moat or competitive advantage). Should be an easy red-thumb target.
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