Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, business research provider Advisory Board (ABCO +0.00%) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at Advisory Board and see what CAPS investors are saying about the stock right now.
Advisory Board facts
|
Headquarters (Founded) |
Washington, D.C. (1979) |
|
Market Cap |
$1.8 billion |
|
Industry |
Research services |
|
Trailing-12-Month Revenue |
$413.8 million |
|
Management |
CEO Robert Musslewhite (since 2008) |
|
Return on Equity (Average, Past 3 YTears) |
13.2% |
|
Cash/Debt |
$95.2 million / $0 |
|
Competitors |
Accenture |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 76% of the 74 members who have rated Advisory Board believe the stock will underperform the S&P 500 going forward.
Earlier this month, one of those Fools, All-Star MMCapitalMgmt, wrote that the Advisory Board bear case all boiled down to price:
Ridiculously overvalued. Trading at 25x EV/EBITDA, 4x EV/Rev, 7x book value, 4x sales, 64x trailing earnings, 33x forward earnings. Come on now, this isn't a premium company.
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