Based on the aggregated intelligence of 160,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, hotel REIT FelCor Lodging Trust (NYSE: FCH) has received the dreaded one-star ranking.

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

FelCor facts

Headquarters (Founded)

Irving, Texas (1994)

Market Cap

$530 million


Hotel/motel REIT

Trailing-12-Month Revenue

$905 million


CEO Richard Smith (since 2006)
CFO Andrew Welch (since 2006)

Return on Equity (Average, Past 3 Years)


Compound Annual Revenue Growth (Over Past 3 Years)


1-Year Return



$276 million / $1.77 billion


Host Hotels & Resorts (NYSE: HST)
Hospitality Properties Trust (NYSE: HPT)

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

On CAPS, 27% of the 78 All-Star members who have rated FelCor believe the stock will underperform the S&P 500 going forward. These bears include tenmiles and UltraLong, both of whom are ranked in the top 0.02% of our community.

Just last month, tenmiles warned Fools about getting too excited over FelCor's recent loan extension: "Able to recently kick the debt can down a road a bit, but doubt there is enough extend and pretend for this lodging reit to go much higher."

In a pitch from one week later, UltraLong expands on why investors need to check out of the stock. Here's an excerpt:

What a staggeringly bad company! Hotels are absolutely not the place to be right now and that's all FelCor is involved in. FelCor starts off this lovely fairytale story with an upgrade from FBR Capital to a $6.50 target with the hopes of an increasing Revpar (revenue per available room). What we get is losses well into 2012 at the minimum, and a 10% decline in RevPAR in 2011. ... Have you looked at their long-term growth's like negative 4%! They're trading at almost 3 times book value and they've paid their debts with even more debts for 2013 and 2014.

What do you think about FelCor, or any other stock for that matter? If you want to retire rich, you need to protect your portfolio from any undue risk. Staying away from dangerous stocks is crucial to securing your financial future, and on Motley Fool CAPS, thousands of investors are working every day to flag them. CAPS is 100% free, so get started!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool's disclosure policy always gets a perfect score.