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

Recs

2

5-Star Stocks Poised to Pop: Tenaris

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, steel pipe products manufacturer Tenaris (NYSE: TS  ) has earned a coveted five-star ranking.

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

Tenaris facts

Headquarters Luxembourg
Market Cap $27.4 billion
Industry Oil and gas equipment
Trailing-12-Month Revenue $8.4 billion
Management CEO Paolo Rocca (since 2002)
CFO Ricardo Soler (since 2007)
Return on Equity (Average, Past 3 Years) 15.1%
Cash/Debt $1.6 billion / $1.3 billion
Dividend Yield 1.5%
Competitors ArcelorMittal (NYSE: MT  )
U.S. Steel (NYSE: X  )

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

On CAPS, 97.5% of the 836 members who have rated Tenaris believe the stock will outperform the S&P 500 going forward. These bulls include secondo and JPAKolypse86.

Earlier this year, secondo touched on the big tailwind working in the stock's favor: "Oil- and Gas pipelines are in strong demand the world over and Tenaris will be one of the main suppliers."

Currently, Tenaris even sports a particularly low debt-to-equity of 12%. That's much lower than that of other steel stocks like ArcelorMittal (41%), U.S. Steel (96%), and Nucor (NYSE: NUE  ) (58%).

CAPS member JPAKolypse86 elaborates on the Tenaris bull case:

I just happened upon this Luxembourg based steel company by chance. Pretty cash rich for a steel stock. ... They have a relatively low debt/equity for the steel industry. ... And from what I have read, they mainly focus their services in building energy infrastructure (which will have to see a building boom at some point in the near future to keep up with rising energy demand overseas). And they pay a dividend.

What do you think about Tenaris, 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. Motley Fool newsletter services have recommended buying shares of Nucor, and The Fool owns shares of it.Try any of our Foolish newsletter services free for 30 days.

We Fools may not 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: 1524149, ~/Articles/ArticleHandler.aspx, 5/28/2012 3:06:41 AM

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 4:07 PM
TS $33.34 Up +0.30 +0.91%
Tenaris S.A. (ADR) CAPS Rating: ****
X $21.80 Up +0.08 +0.37%
United States Stee… CAPS Rating: ***
NUE $36.11 Up +0.38 +1.06%
Nucor CAPS Rating: *****
MT $14.30 Up +0.01 +0.07%
ArcelorMittal CAPS Rating: *****

Advertisement