Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, engineering and construction company McDermott International (MDR) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at McDermott and see what CAPS investors are saying about the stock right now.
McDermott facts
Headquarters (Founded) |
Houston (1923) |
Market Cap |
$2.1 billion |
Industry |
Oil and gas equipment and services |
Trailing-12-Month Revenue |
$3.7 billion |
Management |
Chairman/CEO Stephen Johnson CFO Perry Elders |
Return on Equity (average, past 3 years) |
11.3% |
Cash/Debt |
$461.5 million / $101.2 million |
Competitors |
Aker Solutions Chicago Bridge & Iron Foster Wheeler |
On CAPS, 98% of the 1,325 members who have rated McDermott believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those Fools, All-Star timclaason, succinctly summed up the McDermott bull case for our community:
MDR has fallen significantly from over $13 per share a few months ago, to under $9 today. This drop is due to missed earnings.
This stock has all the marks of a stock "on sale." P/E ratio, price-to-book, and debt levels are lower than many of their competitors. Current ratio is in-line with competitors, return on average assets is higher than competitors.
It may take a while for price to recover, but with current price near 52 week low, and a recent support-level check, I think it's a good entry point.