Investors are always hunting for the next big stock -- the dream stock whose price increases several times over when the market finally discovers it. It's easy to look back and discover the 10 best stocks of the past decade. But I'm more interested in the tools that can help me evaluate tomorrow's greatest companies.

Motley Fool CAPS offers a variety of resources to aid Fools in finding tomorrow's leaders. Our 145,000-member community is full of investors helping one another beat the market.

We'll enlist CAPS to screen for contrarian stocks, then get the story behind some of its more highly rated companies. CAPS' nifty screener will help us find stocks with:

  • A market cap of at least $500 million.
  • A long term debt-to-equity ratio of less than 0.5.
  • A share price less than 30% above its 12-month low.
  • A three-year revenue growth rate of at least 15%.
  • A price-to-earnings ratio of less than 25.

Then we'll tap the collective intelligence of our CAPS members to see whether these companies present real opportunities -- or whether the numbers don't tell the true story.

Opinions with the numbers
Below is a sample of stocks our screen returned.


Revenue Growth Rate, Past 3 Years

CAPS Rating
(out of 5)

China Mobile (NYSE:CHL)



Isis Pharmaceuticals (NASDAQ:ISIS)



Energy Conversion Devices (NASDAQ:ENER)



Data and star rankings from CAPS as of Jan. 8.

China Mobile
The economy isn't the only reason why Chinese telecoms have reported slower earnings growth in recent quarters. There's fiercer competition after the government mandated a reorganization of the industry that put the major players on more equal footing. But some CAPS members still like the potential for the world's largest mobile operator as demand grows for third-generation services in China. China Mobile expects to boost its profit growth and increase average spending by users with 3G services such as mobile TV and new smartphones, including Research In Motion's BlackBerry for personal and small-business users. And while (NASDAQ:AMZN) expands the global reach of its popular Kindle e-reader, competition is coming -- China Mobile plans to launch an electronic reader of its own. In CAPS, 97% of the 3,474 members rating China Mobile expect it to outperform the broader market.

Isis Pharmaceuticals
After Isis Pharmaceuticals released new data on its mipomersen drug for cholesterol in November, leading to a sharp drop in its share price despite successful results, many CAPS members now see a discount opportunity. The company continues to add to its pipeline and will benefit from OncoGenex Pharmaceuticals' recent deal with Teva Pharmaceutical (NASDAQ:TEVA) by reaping a $10 million up-front payment, with more milestones and royalties possible. And CAPS members like the position Isis Pharmaceuticals is in, with its many partnerships with major companies like GlaxoSmithKline (NYSE:GSK) and Bristol-Myers Squibb. Thus, 95% of the 584 CAPS members rating the company see it beating the broader market.

Energy Conversion Devices
While shares of solar players such as Trina Solar (NYSE:TSL) and Canadian Solar have reached new 52-week highs, Energy Conversion Devices' shares have yet to recover from the downturn. The company has been battling declining sales while trying to find buyers for its higher-priced panels in a tough credit environment, while it's restructuring its workforce and delaying expanding capacity until demand improves. Despite these struggles, a good number of CAPS members have a bullish long-term view on the company and expect it to benefit once its thin-film solar products come back into favor. Of the 1,269 CAPS members rating Energy Conversion Devices, 93% give it the thumbs-up.

Let 145,000 members be the jury
The collective wisdom of a huge pool of investors can help give context to a page of numbers from a stock screen. But individual investors are still the best judges of what to do with their own money. Fools should always perform their own due diligence.

Happily, it's easy to chime in with your own opinion. If you agree that these companies present dream opportunities -- or if you see more of a nightmare -- simply scroll down and add your thoughts in the comments box.

The Motley Fool Stock Advisor service looks for companies with strong management poised to beat the market over the long haul. To see all the stocks that have helped Tom and David Gardner beat the market by 52 points on average, take a free 30-day trial.

Fool contributor Dave Mock dreams of stocks and sugarplum fairies, but not together. He doesn't own shares of companies mentioned here. is a Stock Advisor choice. The Fool owns shares of China Mobile and GlaxoSmithKline. The Fool's disclosure policy screens the good, the bad, and the ugly.