Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, freight container lessor TAL International (NYSE: TAL ) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at TAL and see what CAPS investors are saying about the stock right now.
TAL facts
Headquarters (founded) | Purchase, N.Y. (1963) |
Market Cap | $1.3 billion |
Industry | Trading companies and distributors |
Trailing-12-Month Revenue | $628.9 million |
Management | Chairman/CEO Brian Sondey CFO John Burns |
Return on Equity (average, past 3 years) | 21.7% |
Cash/Debt | $68.3 million / $2.8 billion |
Dividend Yield | 6.9% |
Competitors | COSCO Pacific Seacastle Seaco |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 162 members who have rated TAL believe the stock will outperform the S&P 500 going forward.
Just last week, one of those bulls, TMFChaodan, succinctly summed up the bull case for our community:
TAL International is a containers company. It has ~99% utilization rate, steady cash flow, and a business model that makes it easier to see into the future (lease structures range anywhere from 1-8 years). Their leases also ensure that they have limited liability for damages done to the containers.
Out of their base of 300 customers include all 25 of the world's largest shipping lines, including Maersk. Although there is significant customer concentration, this is the case for most companies in this business.
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