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4-Star Stocks Poised to Pop: PowerSecure International

Based on the aggregated intelligence of 145,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, energy and smart-grid solutions specialist PowerSecure International (Nasdaq: POWR  ) has earned a respected four-star ranking.

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

PowerSecure facts

Headquarters (Founded)

Wake Forest, N.C. (1991)

Market Cap

$116.5 million

Industry

Heavy electrical equipment

Trailing-12-Month Revenue

$98.9 million

Management

CEO Sidney Hinton (since 2007)

CFO Christopher Hutter (since 2007)

Return on Equity (Average, Past 3 Years)

7.5%

Compound Annual Revenue Growth (Over Past 5 Years)

24.4%

Cash / Debt

$11.9 million / $5.4 million

Competitors

ABB (NYSE: ABB  )

Schlumberger (NYSE: SLB  )

CAPS Members Bullish on POWR Also Bullish on

General Electric (NYSE: GE  )

Suntech Power (NYSE: STP  )

CAPS Members Bearish on POWR Also Bearish on

Coeur d'Alene Mines (NYSE: CDE  )

Vonage Holdings (NYSE: VG  )

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

On CAPS, 94% of the 142 members who have rated PowerSecure believe the stock will outperform the S&P 500 going forward. These bulls include ice23bear and All-Star TSIF, who is ranked in the top 2% of our community.

Late last year, ice23bear helped Fools feel secure about PowerSecure: "Good business model, and areas of specialization. It was overpriced for a while, but not at this price."

In a pitch from last week, TSIF elaborates on that bullishness:

PowerSecure International appears to me to be producing much needed products in the energy sector, including smart grid solutions, energy efficiency, backup power, regulatory assistance, and field services to oil and natural gas producers. Despite the brutal economic cycle, PowerSecure has remained slightly profitable and held steady. ... Debt is very minimal and P/B only 1.50. ... With the need for efficiency and the loosening of company budgets, PowerSecure has the makings to grow market share, improve its backlog, and increase its reoccurring revenue stream. All a "powerful" win-win for shareholders.

What do you think about PowerSecure, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. ABB is a Motley Fool Global Gains pick. Suntech is a recommendation of Rule Breakers. The Fool's disclosure policy always gets a perfect score.


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Related Tickers

5/25/2012 4:00 PM
POWR $4.26 Down -0.07 -1.62%
PowerSecure Intern… CAPS Rating: ****
SLB $65.41 Down -0.44 -0.67%
Schlumberger CAPS Rating: *****
STP $1.78 Down -0.15 -7.77%
Suntech Power Hold… CAPS Rating: ***
VG $1.70 Down -0.03 -1.73%
Vonage Holdings Co… CAPS Rating: *
ABB $16.18 Down -0.22 -1.34%
ABB CAPS Rating: *****
CDE $17.46 Up +0.40 +2.34%
Coeur d'Alene Mine… CAPS Rating: **
GE $19.20 Down -0.05 -0.26%
General Electric C… CAPS Rating: ****

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