Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, consumer banking services specialist BofI Holding (AX 1.03%) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at BofI and see what CAPS investors are saying about the stock right now.
BofI facts
Headquarters (founded) |
San Diego, Calif. (1999) |
Market Cap |
$643.7 million |
Industry |
Savings and loans |
Trailing-12-Month Revenue |
$111.9 million |
Management |
CEO Gregory Garrabrants (since 2010) |
Return on Equity (average, past 3 years) |
16.7% |
Cash / Debt |
$152.5 million / $575.2 million |
Competitors |
Bank of America |
On CAPS, 99% of the 292 members who have rated BofI believe the stock will outperform the S&P 500 going forward.
Just last month, one of those Fools, TMFInnovator, highlighted the stock's recent pullback as a potentially attractive entry point:
I think this might have been the dip I've been waiting for.
BOFI is still not cheap, but it's got a lot more potential than traditional banks. Their online business model means they can avoid the electric bill of retail branches, which allows them to pass down cost savings via fewer fees and higher interest rates. BOFI's deposit base is growing 3X faster than the aggregate of all commercial banks and is underfollowed by Wall Street.