4-Star Stocks Poised to Pop: Pacific Airport Group

Recs

7

Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Grupo Aeroportuario del Pacifico (Pacific Airport Group) (NYSE: PAC) has earned a respected four-star ranking.

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

Pacific Airport facts

Headquarters (founded)

Guadalajara, Mexico (1998)

Market Cap

$997.49 million

Industry

Airport services

Trailing-12-Month Revenue

$243.66 million

Management

CEO Jorge Martinez (since 2007)
CFO Rodrigo Perera (since 2001)

Return on Equity (over last three years)

4.9%

Dividend Yield

8.2%

Competitors

Central North Airport Group (Nasdaq: OMAB)
Southeast Airport Group (NYSE: ASR)  

CAPS members bullish on PAC also bullish on

Buffalo Wild Wings (Nasdaq: BWLD)
Ctrip.com (Nasdaq: CTRP)

CAPS members bearish on PAC also bearish on

Capital One Financial (NYSE: COF)
Citigroup (NYSE: C)

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

Over on CAPS, fully 632 of the 658 members who have rated Pacific Airport -- some 96% -- believe the stock will outperform the S&P 500 going forward. These bulls include simon78 and bmw201030.

In January, simon78 shared this balanced take on the stock: "Great yield, and low price to book. Main risk is that the government created the monopoly and could change its status in the same way."

In a pitch from late last month, bmw201030 expands on why Pacific Airport might take off (and crash) in the future:

Positives
-Toll booth like business that [Buffett] would love.
-Solid balance sheet with nearly $2.33 a share net cash.
-Huge Moat, Government has given it exclusive rights to operate in it's region for the next few decades.
-Shareholder friendly management paying a 10.5% Yield, I'll happily keep money here and earn 10% while waiting for travel to pick up

Risks
-Government could always change their mind.

What do you think about Pacific Airport, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Closed for 15 months – opening 10 days only! Get notified ahead of time as our expert portfolio manager invests $1 MILLION in the best opportunities from across The Motley Fool’s premium investment services. This is the first open since August 2008, by invitation only. Enter email below.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Pacific Airport Group, Buffalo Wild Wings, and Ctrip.com are Motley Fool Hidden Gems selections. Central North Airport is a choice of Global Gains. The Fool owns shares of Buffalo Wild Wings. The Fool's disclosure policy always gets a perfect score.

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