With that in mind, let's take a closer look at Revlon's business and see what CAPS investors are saying about the stock right now.
Revlon facts
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Headquarters (Founded)
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New York City (1932)
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Market Cap
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$545.1 million
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Industry
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Personal products
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Trailing-12-Month Revenue
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$1.29 billion
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Management
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CEO Alan Ennis (since May 2009)
CFO Steven Berns (since April 2009)
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Revenue and Net Income Growth (Over Last Year)
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(7.2%) and (45.9%)
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1-Month Return
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117.5%
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Cash/Debt
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$62.5 million / $1.28 billion
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Other Highly Rated Personal Products Stocks
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Procter & Gamble (NYSE: PG)
Colgate-Palmolive (NYSE: CL)
Kimberly-Clark (NYSE: KMB)
|
|
CAPS Members Bearish on REV Also Bearish on
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Targacept (Nasdaq: TRGT)
|
|
CAPS Members Bullish on REV Also Bullish on
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General Electric (NYSE: GE)
Citigroup (NYSE: C)
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Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 45% of the 160 members who have rated Revlon believe the
stock will underperform the S&P 500 going forward. These bears
include isavchuk and UltraLong, the top ranked member in all of CAPS.
Just yesterday,
isavchuk cautioned Fools that the stock could easily smear a perfectly
fine portfolio: "Relative to its industry, Revlon has average margins,
average growth, below average financial efficiency, and a HUGE debt. 'Cigar Butt'? At $2/share maybe."
In a pitch from two days earlier, UltraLong also warns against putting lipstick on Revlon's pig of a financial position:
Ya know, everyone is just applauding this earnings
report as the second coming … did anyone actually scroll to the bottom
where they have balance sheet facts and notice those little words on
the left hand side? "Stockholder deficiency"! This is usually where the
phrase stockholder EQUITY is! This is a good indication that there is
ZERO equitable value in the company despite their profit. They have a
mind-boggling, earth-shattering, camel crushing 1.28 BILLION dollars in
debt.
© 2009 UCLICK, L.L.C.
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