Based on the aggregated intelligence of 115,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, engineering and construction company McDermott International (NYSE:MDR) 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 McDermott's business, and see what CAPS investors are saying about the stock right now.

McDermott facts

Headquarters (Founded)

Houston (1923)

Market Cap

$3.80 billion


Heavy Construction

TTM Revenue

$6.09 billion


CEO John Fees (since September 2008)

CFO Michael Taff (since April 2007)

TTM Return on Capital



Foster Wheeler (NASDAQ:FWLT)

Fluor (NYSE:FLR)

CAPS members bullish on MDR also bullish on

Transocean (NYSE:RIG)

Freeport-McMoRan Copper & Gold (NYSE:FCX)

CAPS members bearish on MDR also bearish on

General Motors (NYSE:GM)

ExxonMobil (NYSE:XOM)

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

Over on CAPS, some 94% of the 157 All-Star members who have rated McDermott believe the stock will outperform the S&P 500 going forward. These Foolish bulls include crazyrugger and livoniarules, both of whom are ranked in the top 20% of our community.

Late last month, crazyrugger wrote that McDermott "is a best of breed company, that will use its best of breed client base to build market share. I don't see this stock going too far, but after being beaten down as much as it has, we will see this back up in 12 months ..."

A more recent pitch from livoniarules last week agrees, listing 10 good reasons to remain bullish on McDermott. Here are several:

1) trading 75% off its high ...

3) is the 3rd largest (by mkt cap) company in the oil field services industry behind [Schlumberger] and [Halliburton]

4) sales growth estimates 17% and earnings growth estimates 21% are positive but slowing ...

5) has generated 390 million in operating cashflow and 600 million in net income in the trailing 4 quarters

6) 4.30 a share in cash with virtually no debt …

10) they are global, they have the ability to work on offshore hurricane damaged rigs, and exposure to nuclear power plant development

What do you think about McDermott, 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.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Chesapeake Energy is a Motley Fool Inside Value recommendation. The Fool's disclosure policy always gets a perfect score.