Based on the aggregated intelligence of 145,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, online retailer (NASDAQ:OSTK) has received the dreaded one-star ranking.

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

Overstock facts

Headquarters (Founded)

Salt Lake City (1997)

Market Cap

$344.4 million


Internet retail

Trailing-12-Month Revenue

$814.45 million


Chairman/CEO Dr. Patrick Byrne
CFO Stephen Chesnut

Return on Capital (Average, Past 3 Years)


1-Year Return


Cash / Debt

$79.1 million / $60.8 million

Competitors (NASDAQ:AMZN)
Wal-Mart (NYSE:WMT)

CAPS Members Bearish on OSTK Also Bearish on

Ford Motor (NYSE:F)

CAPS Members Bullish on OSTK Also Bullish on


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

On CAPS, 87% of the 404 All-Star members who have rated Overstock believe the stock will underperform the S&P 500 going forward. These bears include tortillatree and JakilaTheHun, both of whom are ranked in the top 15% of our community.

Just last week, tortillatree didn't seem overly excited over Overstock's prospects:

I've browsed there many times, and NEVER found something I wanted. I mean … there's a reason why these items didn't sell elsewhere. They're overpriced specialty junk, for the most part, and even at a discount, they're still overpriced junk. Revenue of 800M isn't bad, but they're losing money. Now we've got UPS (NYSE:UPS) raising rates and Obama raising taxes. We've got consumers with less expendable income and retailers with more competitive pricing.

In a pitch from two weeks earlier, JakilaTheHun also tapped Overstock's stock as extremely overbought:

Shady accounting, virtually no real earnings, negative equity, and a vastly inflated stock price based on the theory that it should be valued with the same premiums as Amazon --- which is probably overvalued itself at this point. Regardless, Amazon is a highly successful internet retailer, whereas, ... not so much. … The SEC has become more aggressive and appears to be looking into [Overstock] right now, too. Who knows what will come of this, but I think this is a rotten company one way or another.

What do you think about Overstock, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!  

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Amazon and eBay are Motley Fool Stock Advisor selections. Wal-Mart is an Inside Value choice, Google is Rule Breakers recommendation, and UPS is an Income Investor pick. The Fool's disclosure policy always gets a perfect score.