Based on the aggregated intelligence of 165,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Swiss electrical-engineering giant ABB (NYSE: ABB) has earned a coveted five-star ranking.

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

ABB facts

Headquarters (Founded)

Zurich, Switzerland (1883)

Market Cap

$43 billion


Heavy electrical equipment

Trailing-12-Month Revenue

$31.2 billion


CEO Joseph Hogan (since 2008)

CFO Michel Demare (since 2005)

Return on Equity (Average, Past 3 Years)



$8 billion / $2.1 billion

Dividend Yield



General Electric (NYSE: GE)

Siemens (NYSE: SI)

Honeywell International (NYSE: HON)

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

On CAPS, 98% of the 1,749 members who have rated ABB believe the stock will outperform the S&P 500 going forward. These bulls include All-Star PearlandTX, who is ranked in the top 2% of our community, and mookimd.

A few months ago, PearlandTX noted that ABB "is a highly respected industrial power and automation systems company and is well positioned to succeed in market sectors that should see accelerating demand over the next 5 years."

As a leader in power and automation technologies, ABB continues to be one of our community's favorite plays on the world's ever-growing need for more efficient energy transmission. While ABB's revenues dropped 5% in the most recent quarter, its automation business saw a 20% surge in orders fueled by the strength of the global recovery. To be sure, ABB's shares seem to have followed that operational progress over the past few months, and now trade at a forward P/E premium to its main global gorilla foes GE, Siemens, and Honeywell.

Of course, with as many tailwinds as CAPS All-Star mookimd believes it has, ABB might just be worth paying up for:

-Specialized market of large-scale electrical infrastructure projects
-Cyclical in nature but demand will be restored when global economy resumes growth
-Positive exposure to emerging countries and growth areas especially in power transmission and distribution.
-Power distribution is resilient in the short term and growing in excellent for the long-term.
-Customers are looking to upgrade, diversify, and extend existing power infrastructure networks, partially due to economic stimulus packages.
-Cost-cutting is helping ease the effects of weak demand. ...
-Economic growth in emerging markets and aging energy infrastructure of developed countries like the United States will drive long-term growth.
-Long-term debt trending downwards.

What do you think about ABB, 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. The Fool's disclosure policy always gets a perfect score.