Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, medical technology provider Kinetic Concepts (NYSE:KCI) has earned a coveted five-star ranking.

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

Kinetic Concepts facts

Headquarters (founded)

San Antonio, Texas (1976)

Market Cap

$1.76 billion


Health-care equipment

TTM Revenue

$1.82 billion


CEO Catherine Burzik
Founder/Chairman Emeritus Dr. James Leininger

Return on Capital (average, last three years)



Stryker (NYSE:SYK)

CAPS members bullish on KCI also bullish on:

Johnson & Johnson (NYSE:JNJ)
General Electric (NYSE:GE)

CAPS members bearish on KCI also bearish on:

Bank of America (NYSE:BAC)
Chico's FAS (NYSE:CHS)

Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 189 of the 193 All-Star members who have rated Kinetic -- or 98% -- believe the stock will outperform the S&P 500 going forward. These bulls include my Foolish colleague Brian Orelli (TMFBiologyFool) and TSIF, both of whom are ranked in the top 6% of our community.

Two weeks ago, Brian tapped Kinetic as a smart way to defend against the downturn: "The stock has fallen with the rest of the medical device makers, but it rents a lot of its equipment making it more capex recession proof."

In a more detailed pitch from late last month, TSIF elaborates on that bullish sentiment:

S&P has been walloping [Kinetic Concepts] consistently for the last two years, so this pick is probably a bit riskier than I should take. [Kinetic Concepts] has good wound repair products, however and its insiders are buying and supporting it in the $20 range. ... Protecting patents, good core business with the wound/tissue products and [vacuum assisted closures], punished (unfairly??) for buying LifeCell, which swung them to a negative Q2 quarter trying to adjust. LifeCell, however, with good products of their own (hospital beds), seems to have good synergy. ... The debt incurred is unfortunate, but the good cash flow should take care of that.

What do you think about Kinetic, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 125,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Johnson & Johnson and Bank of America are Motley Fool Income Investor picks. 3M is an Inside Value selection. The Fool owns shares of Kinetic Concepts and Stryker. The Fool's disclosure policy always gets a perfect score.