Why Lumber Liquidators Is Poised to Keep Popping

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, hardwood flooring retailer Lumber Liquidators Holdings has earned a respected four-star ranking.

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

Lumber Liquidators facts

 

 

Headquarters (founded)

Toano, Va. (1994)

Market Cap

$1.7 billion

Industry

Home improvement retail

Trailing-12-Month Revenue

$813.3 million

Management

CEO Robert Lynch (since 2012)

CFO Daniel Terrell (since 2006)

Return on Equity (average, past 3 years)

16.7%

Cash/Debt

$64.2 million / $0

Competitors

Home Depot

Lowe's Companies


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 94% of the 631 members who have rated Lumber Liquidators believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those Fools, JoeArizona, succinctly summed up the Lumber Liquidators bull case for our community:

Investors are snapping up foreclosed properties with an eye toward rental income. To spruce up these investment properties, new floors and other upgrades are going to be in demand. Lumber Liquidators is going to do well in the short term for this reason. And, in the longer term, as the housing market improves overall, there will be more home owners fixing up their dwelling ... and buying from Lumber Liquidators.

If you want market-beating returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Lumber Liquidators may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2013." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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The article Why Lumber Liquidators Is Poised to Keep Popping originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Home Depot, Lowe's, and Lumber Liquidators. The Motley Fool owns shares of Lumber Liquidators. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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