5-Star Stocks Poised to Pop: Manitowoc

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Based on the aggregated intelligence of 135,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, heavy-equipment maker Manitowoc (NYSE: MTW) has earned a coveted five-star ranking.

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

Manitowoc facts

Headquarters (founded)

Manitowoc, Wis. (1853)

Market Cap

$576.2 million

Industry

Construction & farm machinery and heavy trucks

TTM Revenue

$4.54 billion

Management

CEO Glen Tellock (since 2007)
CFO Carl Laurino (since 2004)

Compound Annual Revenue Growth (over last five years)

22.9%

Dividend Yield

1.8%

Competitors

Terex (NYSE: TEX)
Hitachi

CAPS members bullish on MTW also bullish on:

General Electric (NYSE: GE)
Vale (NYSE: VALE)
Apple (Nasdaq: AAPL)

CAPS members bearish on MTW also bearish on:

Wells Fargo (NYSE: WFC)
MGM Mirage (NYSE: MGM)

Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 575 of the 585 members who have rated Manitowoc -- or 98% -- believe the stock will outperform the S&P 500 going forward. These bulls include All-Stars bclowemp and Drew2142.

In April, bclowemp predicted that Manitowoc would eventually get over its acquisition-induced stress: "Food service will pick up first followed by cranes, but they have very strong brands in both areas. Enodis was a good company too, but hopefully Manitowoc learned their lesson about buying high."

In a pitch comment from last month, Drew2142 echoes that bullish sentiment:

[W]ith the debt they have from both being in their business (capital equipment, in this painful economy) and the purchase of Enodis, I think it's safe to think that the stock may not go anywhere for a few years. But they are projecting EPS to triple (back to where it should be) by 2013 once they get a handle on integrating the new business, and figuring out how to crank that new cash machine, and some finger crossing that the economy picks back up.

If you haven't visited the website yet, I strongly suggest just taking a look at their portfolio of companies/brands they own. If you have already, then you know they own over 20, highly specialized in two segments; cranes and foodservice. They own their respective markets.

What do you think about Manitowoc, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 135,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Apple is a Motley Fool Stock Advisor selection, and the Fool owns shares of Terex. The Fool's disclosure policy always gets a perfect score.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On July 09, 2009, at 5:20 PM, greenwave3 wrote:

    TEX looks cheaper and more attractive than MTW.

  • Report this Comment On July 10, 2009, at 10:07 PM, jrj90620 wrote:

    I agree with greenwave3.TEX is a better choice at these prices.

  • Report this Comment On July 11, 2009, at 6:35 PM, LoneEagleOne wrote:

    DISAGREE...@ around 4.25 MTW is the better deal at todays price...better future upside in the near term, and TEX has to compete with a giant like CAT...MTW can come out of this next year in the teens and give some good upside next year...."S&P MAINTAINS BUY OPINION ON SHARES OF MANITOWOC" and has a 2009 target price of $8.50....

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