Please ensure Javascript is enabled for purposes of website accessibility

Rosetta Stone: A Big Yellow Box of Profits (Fool TV)

By Matthew Argersinger – Updated Apr 6, 2017 at 1:17PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

You may not be able to speak German, Russian, or Tagalog, but if you're an investor, you know that in this age of globalization, foreign-language education has become big business. And there is no hotter language-software brand out than Rosetta Stone (NYSE: RST). You know all those airport kiosks stacked high with yellow boxes guaranteeing to teach you the tongue of your choice by the time you land in Denver? Those are Rosetta Stone products, and they're everywhere.

Motley Fool Stock Advisor analyst Matt Argersinger believes the ubiquity of the Rosetta Stone name translates to an extraordinary opportunity for investors -- especially now. Language software is a $32 billion market worldwide, and while the company enjoys a healthy slice of the U.S. trade, it controls only 2% of the international pie.

That spells upside -- with the accent on up. With 100% annual growth rates overseas, Rosetta Stone is expanding at exhilarating pace. And with the stock trading below where it IPO'd a year ago, this might well the perfect time to start speaking small-cap.

For more from Fool TV:

Matt Argersinger owns no shares of any companies mentioned. Rosetta Stone is a Motley Fool Stock Advisor recommendation. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Rosetta Stone Inc. Stock Quote
Rosetta Stone Inc.
RST

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
329%
 
S&P 500 Returns
106%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/24/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.