4-Star Stocks Poised to Pop: USG

Based on the aggregated intelligence of 170,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, gypsum wallboard producer USG (NYSE: USG  ) has earned a respected four-star ranking.

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

USG facts

Headquarters (Founded)	Chicago (1901)
Market Cap	$1.74 billion
Industry	Building products
Trailing-12-Month Revenue	$2.94 billion
Management	CEO James Metcalf (since January 2011) CFO Richard Fleming (since February 1999)
Return on Equity (Average, Past 3 Years)	(46.8%)
Cash/Debt	$757 million / $2.31 billion

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

On CAPS, 93% of the 1,913 members who have rated USG believe the stock will outperform the S&P 500 going forward. These bulls include All-Star blesto, who is ranked in the top 15% of our community, and Bigrog72.

Two months ago, blesto tapped USG as a tempting turnaround play:

And still yet another good company to keep your eye on. Any true economic recovery may well be reflected in their price. The same goes for the other companies in this sector. Not to mention Warren Buffet owns this.

Over the next five years, in fact, USG is expected to grow its bottom line at a brisk rate of 49.1% annually. That's faster than other building material stocks like CEMEX (NYSE: CX  ) (28.3%), Owens Corning (NYSE: OC  ) (17%), and Vulcan Materials (NYSE: VMC  ) (10.6%).

CAPS member Bigrog72 elaborates on the bull case:

One of only a handful of drywall related producers so this play is tied to the building industry and to large degree the economic recovery. As the recovery happens wether this year or within the next 5 years, eventually it'll rise well likely back to pre recession levels ... in other words it's priced a bit lower now given the slowdown in construction the past couple years so I think it's still a bargain.

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