August 13, 2012
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, telecommunications software specialist BroadSoft (Nasdaq: BSFT ) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at BroadSoft's business and see what CAPS investors are saying about the stock right now.
||Gaithersburg, Md. (1998)
||Co-founder/CEO Michael Tessler
Co-founder/Chief Technology Officer Scott Hoffpauir
|Trailing-12-Month Return on Equity
||$173.8 million / $85.0 million
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 71% of the 134 members who have rated BroadSoft believe the stock will underperform the S&P 500 going forward.
Just last week, one of those Fools, All-Star TSIF, tapped the stock's recent surge as particularly unsustainable:
Short term downthumb for a retrace after a 27% spike after earnings. Partially fueled by 40% short interest and decent sized institutional holdings. 20% swings have been a frequent norm for BroadSoft as it has become a traders/institutional toy with good news/bad news cycles. 7.3 P/B 6.8 P/S with erratic earnings and forecasts. Could go up further on a one-two punch, but playing for a share price decay and a close.
If you want market-thumping returns, you need to protect your portfolio from any undue risk. Luckily, we've found another growth play we are incredibly excited about -- excited enough to dub it "The Only Stock You Need to Profit from the NEW Technology Revolution." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.
Want to see how well (or not so well) the stocks in this series are performing? Follow the new TrackPoisedTo CAPS account.