Based on the aggregated intelligence of 150,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, defense systems electronics specialist Cubic (NYSE:CUB) has earned a respected four-star ranking.

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

Cubic facts

Headquarters (Founded)

San Diego, Calif. (1949)

Market Cap

$888 million


Aerospace and defense

Trailing-12-Month Revenue

$1.0 billion


Chairman/CEO Walter Zable (since 1951)
CFO William Boyle (since 1983)

Return on Equity (Average, Past 3 Years)



$258.2 million / $21.0 million


Lockheed Martin (NYSE:LMT)
Siemens (NYSE:SI)

Other Highly Rated Aerospace and Defense Stocks

Honeywell International (NYSE:HON)
Rockwell Collins (NYSE:COL)
Raytheon (NYSE:RTN)

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

On CAPS, 97% of the 307 members who have rated Cubic believe the stock will outperform the S&P 500 going forward. These bulls include Vbatwork and All-Star TheGarcipian, who is ranked in the top 1% of our community.

Just last week, Vbatwork highlighted the stock's recent weakness as an opportunity to pounce: "Significant insider ownership. Strong cash flow. ... A narrow miss on earnings for a number the company does provide gives a good entry point at a 15% drop to pick up."

In a pitch from last week, TheGarcipian follows that bullish line of reasoning:

Lots of good stuff to like here ... a tiny debt load (one-tenth of their cash); an Assets/Liabilities ratio of 2.2 (excellent); and 41% owned by insiders. Indeed, the 93-yr old chairman and founder, Mr. Walter J. Zable, has a 35% stake in the company. All of these are good signs. Cubic's 2-pronged business model allows it to garner revenue from the military training services it offers around the world, as well as its automated fare collector systems. ... There is also a very seasoned and talented management team in place, groomed by Zable.

What do you think about Cubic, 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!  

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Cubic is a Motley Fool Stock Advisor selection. SAIC is a choice of Inside Value. The Fool's disclosure policy always gets a perfect score.