Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, insurance holding company AmTrust Financial Services (NASDAQ:AFSI) has earned a coveted five-star ranking.

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

AmTrust facts


New York City

Market Cap

$696.1 million


Property and casualty insurance

Trailing-12-Month Revenue

$624.5 million


President/CEO Barry Zyskind
CFO Ronald Pipoly, Jr.

Return on Equity (Average, Past 3 Years)


Dividend Yield



Travelers Companies (NYSE:TRV)

CAPS Members Bullish on AFSI Also Bullish on

Johnson & Johnson (NYSE:JNJ)

CAPS Members Bearish on AFSI Also Bearish on

Citigroup (NYSE:C)
Ford Motor (NYSE:F)

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 96.8% of the 414 members who have rated AmTrust believe the stock will outperform the S&P 500 going forward. These bulls include All-Stars tmaz and stocki711, both of whom are ranked in the top 6% of our community.

Just last month, tmaz was willing to place trust in AmTrust:

Insurance business that has excellent looking numbers despite the economic recession. Seems to me that the panic has greatly affected the way people see all insurers, even well managed ones like this one. I don't see this stock as being anything but a solid, profitable investment when purchased below the $12 range, the cheaper it gets, the better it looks.

In a pitch from one day earlier, stocki711 expands on the stock as a premium premium protector:

[T]heir combined ratio has been hovering around 0.80 (the industry average is something like 0.92) so they are one of the most efficient insurers. ...

Insurance is one of the most tried and true industries and this company will not be affected by health care or any other correction legislation. I think a correction to $20 is warranted due to valuation reasons alone (as well as protecting from a takeover). Long term I think insurance companies must grow. ... This is a pretty cool stock that I think has been completely forgotten. High upside with limited risk at this valuation.

What do you think about AmTrust, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.