5-Star Stocks Poised to Pop: China Information Security

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Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, public security specialist China Information Security Technology (Nasdaq: CPBY) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at China Information's business and see what CAPS investors are saying about the stock right now.

China Information facts

Headquarters

Shenzhen, China

Market Cap

$321.1 million

Industry

IT consulting and other services

Trailing-12-Month Revenue

$87.0 million

Management

CEO Jiang Huai Lin (since October 2006)

CFO Jackie Kazmerzak (since August 2009)

Compound Annual Revenue and Net Income Growth (Over Past 2 Years)

140.6% and 55.9%

Cash / Debt

$19.4 million / $7.5 million

Competitors

China TransInfo Technology (Nasdaq: CTFO)

CAPS Members Bullish on CPBY Also Bullish on

Vale (NYSE: VALE)
GigaMedia (Nasdaq: GIGM)
American Oriental Bioengineering (NYSE: AOB)

CAPS Members Bearish on CPBY Also Bearish on

China Mobile (NYSE: CHL)
Bank of America (NYSE: BAC)

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 99% of the 289 members who have rated China Information believe the stock will outperform the S&P 500 going forward. These bulls include Aceuphisleev and foolishfoolhead1.

Just last week, Aceuphisleev wrote that China Information is a "wonderfully boring company that has strong backing from the Chinese government." Our CAPS member continues: "It also appears to have little competition. No long-term debt and an attractive price don't hurt either."

In a pitch from last month, foolishfoolhead1 helped Fools feel even more secure:

[China Information] has great long term potential. It is in a dominant position as leading technology innovator in important niches (security, medical records, coordinating police and fire actions, even mapping). The Chinese gov loves this stock and I see increased demand for [China Information's] services. Also it has a great balance sheet and return on investment.

What do you think about China Information, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. GigaMedia is a Motley Fool Rule Breakers selection. American Oriental Bioengineering is a Motley Fool Hidden Gems recommendation and a selection of Global Gains. The Fool's disclosure policy always gets a perfect score.

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