Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

Recs

7

5-Star Stocks Poised to Pop: Tata Motors

Based on the aggregated intelligence of 170,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Indian automaker Tata Motors (NYSE: TTM  ) has earned a coveted five-star ranking.

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

Tata facts

   
Headquarters (Founded) Mumbai, India (1945)
Market Cap $15.4 billion
Industry Auto manufacturers
Trailing-12-Month Revenue $26.2 billion
Management CEO Carl-Peter Forster (since 2010)
CFO C. Ramakrishnan (since 2007)
Operating Margin (Average, Past 3 Years) 6.5%
Cash/Debt $2.0 billion / $8.23 billion
Dividend Yield 1.3%
Competitors Ford Motor (NYSE: F  )
General Motors (NYSE: GM  )
Toyota Motor (NYSE: TM  )

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

On CAPS, 97% of the 2,720 members who have rated Tata believe the stock will outperform the S&P 500 going forward. These bulls include kmacattack and JP9287.

Earlier this year, kmacattack listed several of Tata's positives:

The company is now making money, has the world's cheapest car, selling at $2500 US in India. The market potential in India alone is huge. ... [A]n emerging economic giant, with a rapidly growing middle class who all need to have a form of transportation to go to work.

Over the next five years, in fact, Tata is expected to grow its bottom line at a brisk rate of 35% annually. That's faster than listed rivals Ford (18%), GM (10%), and Toyota (22%).

CAPS member JP9287 elaborates on the Tata bull case:

This is a company that I think will outperform the market for many years to come. I recently spent a short time in Bangalore, India, and if you noticed anything, it was the traffic, and a majority of that traffic was caused by Tata. With India's future growth prospects as an economy and population, TTM will have no problem capturing the market. The Tata brand is EVERYWHERE. You name it, Tata has its name on it. This will be one of the great Indian growth stories of the Indian (and world) economy.

What do you think about Tata, 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!  

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

Enter your email address below to find out what made Jobs so enraged!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. General Motors is a Motley Fool Inside Value pick. Ford is a selection of Stock Advisor, and the Fool owns shares of it. Try any of our Foolish newsletter services free for 30 days.

We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. 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.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

DocumentId: 1490489, ~/Articles/ArticleHandler.aspx, 5/27/2012 11:48:45 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 days ago Sponsored by:
DOW 12,454.83 -74.92 -0.60%
S&P 500 1,317.82 -2.86 -0.22%
NASD 2,837.53 -1.85 -0.07%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/25/2012 4:02 PM
TM $76.80 Down -0.40 -0.52%
Toyota Motor Corp… CAPS Rating: ****
TTM $23.84 Up +0.02 +0.08%
Tata Motors CAPS Rating: ****
F $10.60 Up +0.01 +0.09%
Ford CAPS Rating: ****
GM $22.44 Up +0.40 +1.81%
General Motors Com… CAPS Rating: **

Advertisement