Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, energy recovery device specialist Energy Recovery (NASDAQ:ERII) has earned a respected four-star ranking.

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

Energy Recovery facts

Headquarters (Founded)

San Leandro, Calif. (1992)

Market Cap

$297 million

Industry

Industrial machinery

Trailing-12-Month Revenue

$52.8 million

Management

CEO Gonzalo Pique (since 2002)
CFO Thomas Willardson (since 2007)

Trailing-12-Month Return on Equity

11%

Cash / Debt

$79.6 million / $410,000

Other Highly Rated Machinery Stocks

Caterpillar (NYSE:CAT)
United Technologies (NYSE:UTX)

CAPS Members Bullish on ERII Also Bullish on

Transocean (NYSE:RIG)
Vale (NYSE:VALE)

CAPS Members Bearish on ERII Also Bearish on

AIG (NYSE:AIG)
Best Buy (NYSE:BBY)

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

On CAPS, 99% of the 114 All-Star members who have rated Energy Recovery believe the stock will outperform the S&P 500 going forward. These bulls include mattro88 and PeninsulaKid, both of whom are ranked in the top 20% of our community.

Just last week, mattro88 tapped the stock as a great way to cut back on salt:

Too many people, not enough water. Desalinization will become a popular alternative in a world with a growing population and increasing socioeconomic expectations. Energy Recovery has a good product and sound fundamentals.

In a pitch from late last year, PeninsulaKid dives even deeper:

A great "water" play with 70% market share in providing energy saving equipment in an energy intensive business (water desalinization). ... What's not to like? Water is and will be an ever increasing global problem -- desalinization is a logical solution despite its high energy consumption. This business provides a win/win solution to reduce the cost via a product that's better than the competition. Should be a steady performer going forward. Company has great growth prospects and is profitable with good visibilit[y].

What do you think about Energy Recovery, 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!  

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Best Buy is a pick of Motley Fool Stock Advisor and Inside Value, and the Fool owns shares of it. The Fool's disclosure policy always gets a perfect score.