Based on the aggregated intelligence of 115,000 investors participating in Motley Fool CAPS, the Fool's free investing community, Chinese fire protection company China Fire & Security Group (NASDAQ:CFSG) has earned a coveted five-star ranking. Our data has shown that five-star stocks outperform the market by a significant margin; conversely, one-star stocks have woefully lagged the market average.

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

China Fire facts


Beijing, China (1995)

Market Cap

$329.6 million


Industrial Equipment & Components

TTM Revenue

$51.95 million


CEO Brian Lin (since 2006)

TTM Return on Equity


CAPS members bullish on CFSG also bullish on


Vale (NYSE:RIO),

Aluminum Corp. of China (NYSE:ACH)

CAPS members bearish on CFSG also bearish on


Washington Mutual (NYSE:WM)

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

Over on CAPS, fully 413 of the 419 All-Star members who have rated China Fire -- over 98% -- believe the stock will outperform the S&P 500 going forward. These All-Star bulls include TMFMattyA and GunnarVagotis, both of whom are ranked in the top 5% of our community.

In February, TMFMattyA noted that China Fire "is a small company with a tremendous market opportunity in front of it. The maker of fire safety products is quickly becoming the company of choice for many of China's major industrial giants as they upgrade their fire safety systems in response to new government regulations."

An earlier pitch from GunnarVagotis last year follows that bullish reasoning, highlighting the stock as a relatively fireproof way to play China:

People who buy chinese stocks just because they are chinese stocks are going to get caught with their hand in the proverbial cookie jar. The potential for unregulated madness and speculative frenzy in china is too great. So ask yourself why is CFSG different? I think the answer is management and market position. As chinese industry catches up to the developed world, it will follow a predictable path where safety and labor regulations are gradually adopted and fire safety is already something that is coming online there. This company appears to be well positioned to benefit from improving safety standards in China and management seems eager to step up.

What do you think about China Fire, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 115,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

China Fire & Security Group is a Motley Fool Global Gains pick. Apple and Starbucks are Stock Advisor recommendations. Starbucks is also an Inside Value selection. The Fool owns shares of Starbucks. Try any of our Foolish newsletter services, free for 30 days.

Foolish contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool's disclosure policy always gets a perfect score.