Based on the aggregated intelligence of 170,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, outpatient health-care specialist Continucare
With that in mind, let's take a closer look at Continucare's business and see what CAPS investors are saying about the stock right now.
Continucare facts
| Headquarters (founded) | Miami (1996) |
| Market Cap | $274.1 million |
| Industry | Health-care services |
| Trailing-12-Month Revenue | $324.2 million |
| Management |
Chairman/CEO Richard Pfenniger CFO Fernando Fernandez |
| Return on Equity (average, past 3 years) | 16.1% |
| Cash/Debt | $44.6 million / $0 |
| Competitors |
Metropolitan Health Networks
UnitedHealth
WellCare Health Plans |
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 99% of the 446 members who have rated Continucare believe the stock will outperform the S&P 500 going forward. These bulls include jpacheco14 and BuffettJunior1.
About a month ago, jpacheco14 touched on the demographic tailwinds working in Continucare's favor: "[C]ater to healthcare of elder americans of which there is a large and growing number ... have steadily growing FCF, EPS, EBIT over the past few years. No reason to think that will stop in the future."
Over the next five years, in fact, Continucare is expected to grow its bottom line at a solid rate of 15%. That's faster than competitors such as Metropolitan Health (10%), UnitedHealth (11%), and WellCare (13%).
CAPS member BuffettJunior1 elaborates on the Continucare bull case:
Good company for the long-term investor. I think Peter Lynch would love this stock. (Growth at a reasonable price.) ...
This stock is not trading at a huge discount. However, this is a small company that will continue to grow. Read the annual report and you will see that the company is expanding its business into other areas (healthcare related) and into other states.
This company will only get bigger and bigger and so will its stock price. Better to get in early (before wall street does) if you really want to profit.
In the next 5 years I see no reason why this stock cant be worth 15-20 per share.
What do you think about Continucare, 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!
