Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, private equity firm American Capital (ACAS) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at American Capital and see what CAPS investors are saying about the stock right now.
American Capital facts
|
Headquarters (founded) |
Bethesda, Md. (1986) |
|
Market Cap |
$4.2 billion |
|
Industry |
Asset management |
|
Trailing-12-Month Revenue |
$630.0 million |
|
Management |
Founder / Chairman / CEO Malon Wilkus |
|
Return on Equity (average, past 3 years) |
26.2% |
|
Cash / Debt |
$360.0 million / $662.0 million |
|
Competitors |
Ares Capital |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 2,056 members who have rated American Capital believe the stock will outperform the S&P 500 going forward.
Just last week, one of those Fools, All-Star NovaTodd, succinctly summed up the bull case for our community:
American Capital continues to buy dollar bills for 70 cents by repurchasing its own shares at a discount to tangible book. So long as the stock trades at a discount to NAV, the company will continue to create shareholder value through the repurchase; if and when the price catches up with NAV, the resumption of a dividend could act as a catalyst for the share price.
