Why France Telecom Is Poised to Bounce Back

Market-trouncing returns could be written in this 4-Star.

Brian D. Pacampara, CFA
Brian D. Pacampara, CFA
Feb 13, 2013 at 3:25PM
Technology and Telecom

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, French telecommunications giant France Telecom (NYSE:ORAN) has earned a respected four-star ranking.

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

France Telecom facts

Headquarters (founded)

Paris (1990)

Market Cap

$27.8 billion

Industry

Integrated telecom services

Trailing-12-Month Revenue

$57.7 billion

Management

Chairman/CEO Stephane Richard

CFO Gervais Pellissier

Return on Equity (average, past 3 years)

10.9%

Cash/Debt

$9.6 billion / $51.3 billion

Dividend Yield

14.1%

Competitors

Bouygues

Societe Francaise du Radiotelephone

Vodafone Group

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

On CAPS, 96% of the 862 members who have rated France Telecom believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star LondonMatt, tapped France Telecom as a particularly attractive bargain opportunity:

Deep into value territory now, working on reducing their debt load, and good exposure to emerging markets. This is one that's being held back by Euro-zone malaise. Stock up now and reap the profit in a few years.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.