Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Higher One Holdings (NYSE: ONE), which provides payment software and services to colleges and students, has earned a respected four-star ranking.

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

Higher One facts

Headquarters (founded) New Haven, Conn. (2000)
Market Cap $704.5 million
Industry Data processing and outsourced services
Trailing-12-Month Revenue $186.6 million
Management Co-Founder/Chairman/COO Miles Lasater
Co-Founder/CEO Mark Volchek
Trailing-12-Month Return on Equity 28.6%
Cash / Debt $36.6 million / $9.7 million
Competitors Core3
Nelnet
SLM

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 95% of the 40 members who have rated Higher One believe the stock will outperform the S&P 500 going forward.

Earlier this month, one of those Fools, All-Star BuffettJunior1, succinctly summed up the Higher One bull case for our community: "This company is number ONE in its industry! Fundamentals are outstanding and the valuation is reasonable. This stock should significantly outperform the market over the long run."

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Higher One. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.