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16

5-Star Stocks Poised to Pop: Western Union

Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, money transfer agent Western Union (NYSE: WU  ) has earned a coveted five-star ranking.

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

Western Union facts

Headquarters (Founded)

Englewood, Colo. (1851)

Market Cap

$13.03 billion

Industry

Data processing and outsourced services

Trailing-12-Month Revenue

$5.12 billion

Management

CEO Christina Gold

CFO Scott Scheirman

Return on Capital (Average, Past 3 Years)

26.2%

Cash/Debt

$1.78 billion/$3.05 billion

Competitors

MoneyGram International (NYSE: MGI  )

Global Payments (NYSE: GPN  )

CAPS Members Bullish on WU Also Bullish on

General Electric (NYSE: GE  )

Johnson & Johnson (NYSE: JNJ  )

CAPS Members Bearish on WU Also Bearish on

Ford Motor (NYSE: F  )

USG (NYSE: USG  )

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

On CAPS, 97.5% of the 1,274 members who have rated Western Union believe the stock will outperform the S&P 500 going forward. These bulls include TMFmrquakeroats and All-Star wuff3t, who is ranked in the top 6% of our community.

Just two days ago, TMFmrquakeroats tapped Western Union as great way to transfer gains into your portfolio: "Long-term global growth looks strong for this high quality business. Attractive P/E and 5 star CAPS rating leads me to rate [Western Union] outperform."

In a pitch from last month, wuff3t sends even more bullish support:

The global recession will not last forever and when things pick up so will this company's profits. They have a relatively cheap business model -- needing only a counter somewhere in an existing store as a place of business -- and we live in a world in which increasing numbers of migrants are finding work abroad as cheap labor, and wanting to send money back home to their families. [Western Union] is the clear market leader in capitalizing on this trend and will do very well from it in years to come.

What do you think about Western Union, 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. Western Union is a Motley Fool Stock Advisor and Inside Value pick. USG is also a choice of Inside Value. Johnson & Johnson is a selection of Income Investor. The Fool's disclosure policy always gets a perfect score.


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Related Tickers

2/14/2012 4:00 PM
WU $17.68 Up +0.04 +0.23%
Western Union CAPS Rating: *****
JNJ $64.61 Down -0.07 -0.11%
Johnson & Johnson CAPS Rating: *****
MGI $18.76 Down -0.03 -0.16%
MoneyGram Internat… CAPS Rating: **
USG $14.01 Down -0.46 -3.18%
USG Corp CAPS Rating: ***
F $12.48 Down -0.06 -0.48%
Ford CAPS Rating: ****
GE $18.94 Down -0.13 -0.68%
General Electric C… CAPS Rating: ****
GPN $51.87 Up +0.62 +1.21%
Global Payments, I… CAPS Rating: ***

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