Why Oi S.A. Is Poised to Outperform

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Brazilian telecommunication service company Oi S.A. has earned a respected four-star ranking.

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

Oi facts

Headquarters (founded)

Rio de Janeiro, Brazil (1963)

Market Cap

$5.9 billion 

Industry

Integrated telecommunication services

Trailing-12-Month Revenue

$12.3 billion 

Management

CEO Jose Mauro Mettrau Carneiro da Cunha (since 2013)

CFO Alex Waldemar Zornig (since 2008)

Return on Equity (average, past 3 years)

11.1%

Dividend Yield

21.3%

Competitors

America Movil

Claro

TIM Participacoes


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

On CAPS, 97% of the 557 members who have rated Oi believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, stockstar69, succinctly summed up the Oi bull case for our community:

Well established in Brazil. [Portugal Telecom], among others are big backers and need Oi to stay alive as an investment tool. Dividend is huge. ... [S]ecure dividend rating and Morningstar rates this stock a 4 star buy.

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

The Motley Fool's chief investment officer has selected his No. 1 stock for the next year. Find out which stock it is in the brand-new free report: "The Motley Fool's Top Stock for 2013." Just click here to access the report and find out the name of this under-the-radar company.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Oi S.A. Is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Morningstar. 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

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