Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, military contractor L-3 Communications Holdings (NYSE: LLL ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at L-3's business and see what CAPS investors are saying about the stock right now.
L-3 facts
Headquarters (Founded) | New York (1997) |
Market Cap | $7 billion |
Industry | Aerospace and defense |
Trailing-12-Month Revenue | $15.4 billion |
Management | Chairman/CEO Michael Strianese CFO Ralph D'Ambrosio |
Return on Equity (Average, Past 3 Years) | 14.2% |
Cash/Debt | $538 million / $4.1 billion |
Dividend Yield | 2.6% |
Competitors | Honeywell International Lockheed Martin Raytheon |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 948 members who have rated L-3 believe the stock will outperform the S&P 500 going forward. �
Just last month, one of those bulls, morowulf, highlighted L-3 as a solid bargain opportunity:
Based upon historical earnings, I think this stock should be valued near $105.59 using discounted cash flows over the next 5 years. ... Besides the earnings growth indicating the stock is undervalued, this stock is due to have a spin-off [in 2012] which I believe will produce more value for shareholders. The only downside that I see is the pending defense cuts over the next year or so, but I believe this is a good long-term investment.
What do you think about L-3, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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