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

Recs

1

5-Star Stocks Poised to Pop: Flowserve

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, fluid control systems provider Flowserve (NYSE: FLS  ) has earned a coveted five-star ranking.

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

Flowserve facts

Headquarters (Founded) Irving, Texas (1912)
Market Cap $5.49 billion
Industry Industrial machinery
Trailing-12-Month Revenue $4.39 billion
Management CEO Mark Blinn (since 2009)
CFO Richard Guiltinan Jr. (since 2009)
Return on Equity (Average, Past 3 Years) 22.5%
Cash/Debt $227.9 million / $510 million
Dividend Yield 1.3%
Competitors Emerson Electric (NYSE: EMR  )
General Electric (NYSE: GE  )
Tyco International (NYSE: TYC  )

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 858 members who have rated Flowserve believe the stock will outperform the S&P 500 going forward. These bulls include JerseyBull and KnockoutMouse.

This past summer, JerseyBull listed several of Flowserve's positives: "Solid company, niche market and great management. Right recipe for long term success and a value at current price point!"

Over the next five years, in fact, Flowserve is expected to grow its bottom line at a brisk rate of 20% annually. That's faster than much larger competitors like Emerson (14%), General Electric (13%), and Tyco (13%).

CAPS member KnockoutMouse elaborates on the Flowserve bull case:

1. A clear leader in an industry with high barriers to competition.
2. Well managed and efficient: with a high ROIC and profit margin.
3. Strong balance sheet, free cash flow adequate to fund its dividend, and well managed debt.
4. A history of substantial dividends and dividend growth. ...

[Flowserve] is a big leader in water infrastructure.

What do you think about Flowserve, 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!

Interested in another easy way to track Flowserve? Add it to your watchlist.

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 Emerson. 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: 1585564, ~/Articles/ArticleHandler.aspx, 5/27/2012 11:57:54 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
FLS $105.93 Down -2.07 -1.92%
Flowserve Corp CAPS Rating: *****
TYC $54.60 Down -0.36 -0.66%
Tyco International… CAPS Rating: ****
GE $19.20 Down -0.05 -0.26%
General Electric C… CAPS Rating: ****
EMR $47.28 Down -0.42 -0.88%
Emerson Electric C… CAPS Rating: *****

Advertisement