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5-Star Stocks Poised to Pop: Ensign

Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, health-care facility operator The Ensign Group (Nasdaq: ENSG  ) has earned a coveted five-star ranking.

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

Ensign facts

Headquarters (Founded)

Mission Viejo, Calif. (1999)

Market Cap

$300.7 million

Industry

Health-care facilities

Trailing-12-Month Revenue

$502.7 million

Management

CEO Christopher Christensen (since April 2006)
CFO Suzanne Snapper (since August 2009)

Trailing-12-Month Return on Equity

19.6%

Cash/Debt

$33.7 million/$60 million

Dividend Yield

1.2%

Competitors

Sunrise Senior Living (NYSE: SRZ  )
Kindred Healthcare (NYSE: KND  )

CAPS Members Bullish on ENSG Also Bullish on

Johnson & Johnson (NYSE: JNJ  )
PotashCorp (NYSE: POT  )
General Electric (NYSE: GE  )

CAPS Members Bearish on ENSG Also Bearish on

Hasbro (NYSE: HAS  )

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

On CAPS, 96.7% of the 122 members who have rated Ensign believe the stock will outperform the S&P 500 going forward. These bulls include Breadsticks and All-Star JakilaTheHun, who is ranked in the top 0.1% of our community.

Earlier this summer, Breadsticks tapped Ensign as a comfortable home for your long-term money:

With an aging population, there will be likely continuing demand. Low debt, high insider ownership, steadily increasing revenues all suggest a rosy future. Not to mention the increasing CAPS score.

In a pitch from last week, JakilaTheHun highlights even more of Ensign's positive signs:

I don't know much about healthcare, but Ensign has a strong balance sheet, impressive cash flows, and good long-term growth prospects. It also looks relatively cheap right now with net tangible assets around $7.75 per share and earnings over the past four quarters around $1.40 per share. It pays a small dividend and in spite of that, you can glance back at their financials and see their stockholders' equity account slowly growing. You've got to like that, right?

What do you think about Ensign, 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. Johnson & Johnson is a Motley Fool Income Investor pick. Hasbro is a selection of Stock Advisor, and the Fool owns shares of it. The Fool's disclosure policy always gets a perfect score.


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Related Tickers

2/9/2012 4:00 PM
ENSG $27.00 Down -0.05 -0.18%
The Ensign Group CAPS Rating: *****
KND $12.70 Down -0.40 -3.05%
Kindred Healthcare… CAPS Rating: ****
POT $45.87 Down -0.59 -1.27%
PotashCorp CAPS Rating: ****
SRZ $7.88 Down -0.04 -0.51%
Sunrise Senior Liv… CAPS Rating: **
GE $19.13 Down -0.11 -0.57%
General Electric C… CAPS Rating: ****
HAS $36.59 Up +0.86 +2.41%
Hasbro CAPS Rating: *****
JNJ $64.89 Down -0.35 -0.54%
Johnson & Johnson CAPS Rating: *****

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