This refresh
Data-driven refresh July 5, 2026. The Top Picks are the Bull Rankings quality-growth screen — strong, growing businesses with durable returns at a fair price (PEG / EV-EBIT vs sector, ROIC, free cash flow). Scanned every US-listed common stock on NYSE, NASDAQ, NYSE American, and NYSE Arca (5,229 tickers); 1,788 scored on the quality-growth model (financials route to a separate card). Fundamentals from Yahoo Finance quoteSummary reconciled with as-reported SEC EDGAR filings; narrative authored by Groq (with Gemini and data-driven fallbacks).
Top Picks — quality compounders at a fair price
1. DOCS — Doximity, Inc. · score 90.2
Health Information Services · price $21.86 · 1Y $24.37 · 5Y $35.68 · 10Y $52.93
FCF $326m C · Rev +13.1% B+ · D/E 0.01 A · P/E 22.3x B+ · PEG 0.59 A-
Why now. The 0.59 PEG ratio highlights a deeply undervalued growth story, while its 30.4% profit margin and $326m in TTM free cash flow demonstrate robust financial health and compounding power, making it a prime candidate for sustained capital appreciation. Doximity's indispensable digital platform, with its personalized newsfeed and workflow tools like Ask and Scribe, ensures sticky engagement and continued revenue expansion, underpinning its long-term compounding potential.
Moat. Doximity's moat is built on a powerful network effect among its medical professional users, reinforced by high switching costs once its HIPAA-compliant workflow tools like Ask and Scribe become embedded in daily clinical practice. This deep integration and proprietary content, coupled with a robust 20.6% ROE, reflect significant pricing power and a defensible position in the Health Information Services sector, making it difficult for competitors to replicate its user base and utility.
Risk. The primary bear case centers on potential deceleration in revenue growth, currently at 13.1% FY YoY, which could lead to multiple compression given its 6.2x PS TTM valuation. Increased competition from established players or new entrants targeting specific workflow tools or content delivery could erode Doximity's market share, especially if sponsored content from pharmaceutical manufacturers and health systems shifts to alternative channels. A sustained drop in user engagement or a failure to innovate its Ask and Scribe tools would confirm the bear thesis.
Horizon. 1-3 yr $24.37 (analyst consensus (n=19)) — fundamentals + valuation re-rating. 5 yr $35.68 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $52.93 if current growth sustains into durable earnings power.
2. LRN — Stride, Inc. · score 89.3
Education & Training Services · price $90.44 · 1Y $104.01 · 5Y $152.28 · 10Y $225.89
FCF $414m C · Rev +17.9% B+ · D/E 0.33 A- · P/E 14.2x A- · PEG 0.51 A-
Why now. Stride, Inc. is a compelling growth compounder trading at a significant discount, with a remarkable PEG ratio of 0.51 signaling deep undervaluation relative to its robust 17.9% revenue growth. The company's ability to generate substantial $414m in free cash flow from its comprehensive online curriculum and educational services for public schools and districts is being overlooked, creating an attractive entry point for investors seeking exposure to the secular tailwind of digital learning. The crux of the thesis rests on the market recognizing the durable demand for its integrated educational solutions and its efficient conversion of growth into cash.
Moat. Stride's durable edge stems from its 'integrated package of systems, services, products, and professional expertise' which creates high switching costs for its clients, particularly virtual or blended public schools and school districts. This comprehensive offering, encompassing everything from enrollment to individualized learning support, makes it difficult for competitors to dislodge. The company's impressive 18.8% Return on Equity underscores its efficient capital deployment and the sticky nature of its client relationships, driven by the mission-critical role its technology-based products play in educational delivery.
Risk. The primary bear case against Stride centers on the market's apparent skepticism regarding the long-term sustainability of its growth, as evidenced by its current price of $90.44 being significantly below its 52-week high of $171.17. Despite strong fundamentals, the low analyst coverage (only 2 analysts) and lack of a formal recommendation suggest institutional disinterest, which could cap valuation multiples. A sustained deceleration in demand for its online curriculum and educational services for the general education market, leading to a material contraction in its healthy 12.2% profit margin, would confirm the market's concerns and undermine the bull thesis.
Horizon. 1-3 yr $104.01 (structural (no analyst coverage)) — fundamentals + valuation re-rating. 5 yr $152.28 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $225.89 if current growth sustains into durable earnings power.
3. INTU — Intuit Inc. · score 89.2
Software - Application · price $275.35 · 1Y $486.61 · 5Y $614.33 · 10Y $787.87
FCF $7.8b B+ · Rev +15.6% B+ · D/E 0.33 B · P/E 16.8x A- · PEG 0.71 A-
Why now. Software - Application · market cap $75.3b. Down 66% from 52-week high of $813.70 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. PEG 0.71 — paying under fair value for the growth rate. 32 sell-side analysts rate this a Buy with a mean 1-yr target of $486.61 (implying +77% upside).
Moat. Net margin 22% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 22% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 169% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 66% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.
Horizon. 1-3 yr $486.61 (analyst consensus (n=32)) — multiple re-rating thesis requires a catalyst. 5 yr $614.33 at ~17% CAGR — dividend + buyback compounding. 10 yr $787.87 if the moat survives secular pressure.
4. ADBE — Adobe Inc. · score 89.1
Software - Application · price $219.72 · 1Y $280.66 · 5Y $354.32 · 10Y $454.41
FCF $10.3b A- · Rev +10.5% B · D/E 0.61 C+ · P/E 12.6x A · PEG 0.60 A-
Why now. Software - Application · market cap $87.3b. Down 43% from 52-week high of $386.60 — deep drawdown territory. Revenue growing +11%, comfortably above the S&P median. PEG 0.60 — paying under fair value for the growth rate. 33 sell-side analysts rate this a Hold with a mean 1-yr target of $280.66 (implying +28% upside).
Moat. Net margin 29% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 63% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 142% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 43% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.43 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.
Horizon. 1-3 yr $280.66 (analyst consensus (n=33)) — multiple re-rating thesis requires a catalyst. 5 yr $354.32 at ~10% CAGR — dividend + buyback compounding. 10 yr $454.41 if the moat survives secular pressure.
5. PCTY — Paylocity Holding Corporation · score 88.2
Software - Application · price $115.10 · 1Y $152.58 · 5Y $192.63 · 10Y $247.04
FCF $487m C · Rev +14.8% B+ · D/E 0.11 B+ · P/E 24.6x B+ · PEG 0.91 B+
Why now. Software - Application · market cap $6.2b. Down 42% from 52-week high of $197.78 — deep drawdown territory. Revenue growing +15%, comfortably above the S&P median. PEG 0.91 — paying under fair value for the growth rate. 19 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $152.58 (implying +33% upside).
Moat. Net margin 16% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 22% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 189% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 42% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. AI-native re-pricing — GPT-class models are compressing the cost of features that took years to build; the moat thesis depends on owning the workflow, not just the feature set.
Horizon. 1-3 yr $152.58 (analyst consensus (n=19)) — multiple re-rating thesis requires a catalyst. 5 yr $192.63 at ~11% CAGR — dividend + buyback compounding. 10 yr $247.04 if the moat survives secular pressure.
6. NBIX — Neurocrine Biosciences, Inc. · score 87.4
Drug Manufacturers - Specialty & Generic · price $174.26 · 1Y $195.99 · 5Y $247.43 · 10Y $317.32
FCF $831m C+ · Rev +21.4% A- · D/E 0.14 B+ · P/E 26.8x B · PEG 0.49 A
Why now. Drug Manufacturers - Specialty & Generic · market cap $17.5b. Trading near 52-week high of $174.38 — momentum setup, limited technical margin of safety. Revenue growing +21%, comfortably above the S&P median. PEG 0.49 — paying under fair value for the growth rate. 28 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $195.99 (implying +12% upside).
Moat. Net margin 22% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 20% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 124% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Trading within 0% of the 52-week high — limited technical margin of safety; a momentum reversal would test conviction. Trial-readout binary — late-stage clinical trials carry approve/reject outcomes that swing valuation 30%+; the equity is effectively a portfolio of these binary events, not a steady cash-flow business.
Horizon. 1-3 yr $195.99 (analyst consensus (n=28)) — multiple re-rating thesis requires a catalyst. 5 yr $247.43 at ~7% CAGR — dividend + buyback compounding. 10 yr $317.32 if the moat survives secular pressure.
7. ADMA — ADMA Biologics, Inc. · score 87.2
Biotechnology · price $8.95 · 1Y $17.60 · 5Y $22.22 · 10Y $28.50
FCF $108m C · Rev +19.6% B+ · D/E 1.11 C · P/E 13.2x A- · PEG 0.67 A-
Why now. Biotechnology · market cap $2.1b. Down 56% from 52-week high of $20.46 — deep drawdown territory. Revenue growing +20%, comfortably above the S&P median. PEG 0.67 — paying under fair value for the growth rate. 5 sell-side analysts publish a mean 1-yr target of $17.60 (implying +97% upside).
Moat. Net margin 32% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 42% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. Pharma moat is patent runway + pipeline depth — a single approved molecule funds the next generation of bets. Late-stage trials carry binary readouts that swing valuation 30%+.
Risk. Down 56% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trial-readout binary — late-stage clinical trials carry approve/reject outcomes that swing valuation 30%+; the equity is effectively a portfolio of these binary events, not a steady cash-flow business.
Horizon. 1-3 yr $17.60 (analyst consensus (n=5)) — multiple re-rating thesis requires a catalyst. 5 yr $22.22 at ~20% CAGR — dividend + buyback compounding. 10 yr $28.50 if the moat survives secular pressure.
8. NVDA — NVIDIA Corporation · score 86.4
Semiconductors · price $194.83 · 1Y $301.62 · 5Y $380.79 · 10Y $488.35
FCF $119.1b A · Rev +65.5% A · D/E 0.07 A- · P/E 29.8x B · PEG 0.60 A-
Why now. Semiconductors · market cap $4.7T. 18% off the 52-week high of $236.54. Revenue growing +65% — in hypergrowth territory. PEG 0.60 — paying under fair value for the growth rate. 58 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $301.62 (implying +55% upside).
Moat. Net margin 63% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 82% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $4.7T market cap places it among the largest companies in the sector — distribution, R&D, and customer-acquisition costs amortize across a base peers can't replicate.
Risk. Beta 2.21 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. P/S 18.6x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard. Semiconductor cyclicality — inventory corrections compress margins faster than analysts model. Monitor channel inventory and book-to-bill ratios as leading indicators.
Horizon. 1-3 yr $301.62 (analyst consensus (n=58)) — multiple re-rating thesis requires a catalyst. 5 yr $380.79 at ~14% CAGR — dividend + buyback compounding. 10 yr $488.35 if the moat survives secular pressure.
9. EXLS — ExlService Holdings, Inc. · score 85.7
Information Technology Services · price $27.02 · 1Y $41.75 · 5Y $52.71 · 10Y $67.60
FCF $297m C · Rev +13.6% B+ · D/E 0.67 C+ · P/E 17.2x A- · PEG 0.87 B+
Why now. Information Technology Services · market cap $4.1b. Down 43% from 52-week high of $47.11 — deep drawdown territory. Revenue growing +14%, comfortably above the S&P median. PEG 0.87 — paying under fair value for the growth rate. 8 sell-side analysts rate this a Buy with a mean 1-yr target of $41.75 (implying +55% upside).
Moat. ROE 32% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 118% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 43% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up.
Horizon. 1-3 yr $41.75 (analyst consensus (n=8)) — multiple re-rating thesis requires a catalyst. 5 yr $52.71 at ~14% CAGR — dividend + buyback compounding. 10 yr $67.60 if the moat survives secular pressure.
10. HRMY — Harmony Biosciences Holdings, Inc. · score 85.1
Biotechnology · price $37.26 · 1Y $44.91 · 5Y $56.70 · 10Y $72.71
FCF $342m C · Rev +21.5% A- · D/E 0.18 B+ · P/E 15.0x A- · PEG 0.70 A-
Why now. Biotechnology · market cap $2.2b. 9% off the 52-week high of $40.87. Revenue growing +22%, comfortably above the S&P median. PEG 0.70 — paying under fair value for the growth rate. 11 sell-side analysts rate this a Buy with a mean 1-yr target of $44.91 (implying +21% upside).
Moat. Net margin 16% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 16% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong.
Risk. Trial-readout binary — late-stage clinical trials carry approve/reject outcomes that swing valuation 30%+; the equity is effectively a portfolio of these binary events, not a steady cash-flow business.
Horizon. 1-3 yr $44.91 (analyst consensus (n=11)) — multiple re-rating thesis requires a catalyst. 5 yr $56.70 at ~9% CAGR — dividend + buyback compounding. 10 yr $72.71 if the moat survives secular pressure.
11. IT — Gartner, Inc. · score 84.4
Information Technology Services · price $136.32 · 1Y $165.00 · 5Y $208.31 · 10Y $267.15
FCF $1.3b C+ · Rev +3.7% C+ · D/E n/a · P/E 13.5x A- · PEG 0.55 A-
Why now. Information Technology Services · market cap $9.1b. Down 66% from 52-week high of $403.96 — deep drawdown territory. PEG 0.55 — paying under fair value for the growth rate. 13 sell-side analysts rate this a Hold with a mean 1-yr target of $165.00 (implying +21% upside).
Moat. FCF converts 170% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 66% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up.
Horizon. 1-3 yr $165.00 (analyst consensus (n=13)) — multiple re-rating thesis requires a catalyst. 5 yr $208.31 at ~9% CAGR — dividend + buyback compounding. 10 yr $267.15 if the moat survives secular pressure.
12. EPAM — EPAM Systems, Inc. · score 83.8
Information Technology Services · price $88.27 · 1Y $144.06 · 5Y $181.87 · 10Y $233.24
FCF $544m C+ · Rev +15.4% B+ · D/E 0.08 B+ · P/E 12.7x A · PEG 0.45 A
Why now. Information Technology Services · market cap $4.6b. Down 60% from 52-week high of $222.53 — deep drawdown territory. Revenue growing +15%, comfortably above the S&P median. PEG 0.45 — paying under fair value for the growth rate. 18 sell-side analysts publish a mean 1-yr target of $144.06 (implying +63% upside).
Moat. ROE 11% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere. FCF converts 141% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 60% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.43 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Horizon. 1-3 yr $144.06 (analyst consensus (n=18)) — multiple re-rating thesis requires a catalyst. 5 yr $181.87 at ~16% CAGR — dividend + buyback compounding. 10 yr $233.24 if the moat survives secular pressure.
13. DXCM — DexCom, Inc. · score 83.4
Medical Devices · price $71.25 · 1Y $85.24 · 5Y $124.80 · 10Y $185.13
FCF $1.4b C+ · Rev +15.6% B+ · D/E 0.47 B · P/E 30.6x B · PEG 1.33 B
Why now. Medical Devices · market cap $27.5b. Down 21% from 52-week high of $89.98 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. 25 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $85.24 (implying +20% upside).
Moat. Net margin 19% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 31% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 154% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Beta 1.45 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Trailing P/E 31x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $85.24 (analyst consensus (n=25)) — fundamentals + valuation re-rating. 5 yr $124.80 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $185.13 if current growth sustains into durable earnings power.
14. CARG — CarGurus, Inc. · score 82.6
Auto & Truck Dealerships · price $36.24 · 1Y $37.38 · 5Y $54.73 · 10Y $81.20
FCF $293m C · Rev +13.7% B+ · D/E 0.79 B · P/E 19.1x B · PEG 1.10 B+
Why now. Auto & Truck Dealerships · market cap $3.3b. 8% off the 52-week high of $39.42. Revenue growing +14%, comfortably above the S&P median. 13 sell-side analysts rate this a Buy with a mean 1-yr target of $37.38 (implying +3% upside).
Moat. Net margin 16% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 63% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 196% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Horizon. 1-3 yr $37.38 (analyst consensus (n=13)) — fundamentals + valuation re-rating. 5 yr $54.73 at ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $81.20 if current growth sustains into durable earnings power.
15. META — Meta Platforms, Inc. · score 82.2
Internet Content & Information · price $582.90 · 1Y $828.17 · 5Y $1,046 · 10Y $1,341
FCF $48.3b A · Rev +22.2% A- · D/E 0.36 B+ · P/E 21.2x B · PEG 0.84 B+
Why now. Internet Content & Information · market cap $1.5T. Down 27% from 52-week high of $796.25 — deep drawdown territory. Revenue growing +22%, comfortably above the S&P median. PEG 0.84 — paying under fair value for the growth rate. 58 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $828.17 (implying +42% upside).
Moat. Net margin 33% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 29% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $1.5T market cap places it among the largest companies in the sector — distribution, R&D, and customer-acquisition costs amortize across a base peers can't replicate.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $828.17 (analyst consensus (n=58)) — multiple re-rating thesis requires a catalyst. 5 yr $1,046 at ~12% CAGR — dividend + buyback compounding. 10 yr $1,341 if the moat survives secular pressure.
16. VEEV — Veeva Systems Inc. · score 82.2
Health Information Services · price $192.74 · 1Y $244.59 · 5Y $358.11 · 10Y $531.23
FCF $1.7b C+ · Rev +16.3% B+ · D/E 0.01 A- · P/E 34.1x C+ · PEG 0.87 B+
Why now. Health Information Services · market cap $31.3b. Down 38% from 52-week high of $310.50 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. PEG 0.87 — paying under fair value for the growth rate. 27 sell-side analysts rate this a Buy with a mean 1-yr target of $244.59 (implying +27% upside).
Moat. Net margin 28% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 13% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere. FCF converts 177% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 38% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trailing P/E 34x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $244.59 (analyst consensus (n=27)) — fundamentals + valuation re-rating. 5 yr $358.11 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $531.23 if current growth sustains into durable earnings power.
17. RMD — ResMed Inc. · score 82.1
Medical Instruments & Supplies · price $209.63 · 1Y $260.60 · 5Y $381.54 · 10Y $566.00
FCF $1.8b C+ · Rev +9.8% B · D/E 0.13 B+ · P/E 20.2x B+ · PEG 1.23 B
Why now. Medical Instruments & Supplies · market cap $30.4b. Down 29% from 52-week high of $293.81 — deep drawdown territory. 15 sell-side analysts rate this a Buy with a mean 1-yr target of $260.60 (implying +24% upside).
Moat. Net margin 27% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 23% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 115% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Horizon. 1-3 yr $260.60 (analyst consensus (n=15)) — fundamentals + valuation re-rating. 5 yr $381.54 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $566.00 if current growth sustains into durable earnings power.
18. CVSA — Covista Inc. · score 81.4
Education & Training Services · price $129.88 · 1Y $156.25 · 5Y $197.26 · 10Y $252.98
FCF $336m C · Rev +12.9% B+ · D/E 0.54 B+ · P/E 18.9x B · PEG 0.88 B+
Why now. Education & Training Services · market cap $4.4b. 17% off the 52-week high of $156.26. Revenue growing +13%, comfortably above the S&P median. PEG 0.88 — paying under fair value for the growth rate. 4 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $156.25 (implying +20% upside).
Moat. Net margin 12% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 17% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 144% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $156.25 (analyst consensus (n=4)) — multiple re-rating thesis requires a catalyst. 5 yr $197.26 at ~9% CAGR — dividend + buyback compounding. 10 yr $252.98 if the moat survives secular pressure.
19. MELI — MercadoLibre, Inc. · score 80.2
Internet Retail · price $1763.36 · 1Y $2,209 · 5Y $3,234 · 10Y $4,797
FCF $11.8b A- · Rev +34.3% A · D/E 1.70 C+ · P/E 46.5x C · PEG 1.09 B+
Why now. Internet Retail · market cap $89.4b. Down 31% from 52-week high of $2548.50 — deep drawdown territory. Revenue growing +34% — in hypergrowth territory. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $2,209 (implying +25% upside).
Moat. ROE 26% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. $89.4b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk. Down 31% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trailing P/E 47x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates. E-commerce competition — Amazon, Walmart, Shein, and Temu have each forced the rest of the category to compete on price, fulfillment speed, or assortment; sustaining margins requires one of those being structurally defended.
Horizon. 1-3 yr $2,209 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $3,234 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $4,797 if current growth sustains into durable earnings power.
20. QCOM — QUALCOMM Incorporated · score 80.2
Semiconductors · price $176.25 · 1Y $215.42 · 5Y $271.96 · 10Y $348.78
FCF $12.5b A- · Rev +13.7% B+ · D/E 0.56 C+ · P/E 18.9x A- · PEG 0.56 A-
Why now. Semiconductors · market cap $185.8b. Down 32% from 52-week high of $259.92 — deep drawdown territory. Revenue growing +14%, comfortably above the S&P median. PEG 0.56 — paying under fair value for the growth rate. 31 sell-side analysts rate this a Hold with a mean 1-yr target of $215.42 (implying +22% upside).
Moat. Net margin 22% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 36% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 126% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 32% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.64 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Semiconductor cyclicality — inventory corrections compress margins faster than analysts model. Monitor channel inventory and book-to-bill ratios as leading indicators.
Horizon. 1-3 yr $215.42 (analyst consensus (n=31)) — multiple re-rating thesis requires a catalyst. 5 yr $271.96 at ~9% CAGR — dividend + buyback compounding. 10 yr $348.78 if the moat survives secular pressure.
21. PODD — Insulet Corporation · score 79.3
Medical Devices · price $164.48 · 1Y $240.25 · 5Y $351.75 · 10Y $521.80
FCF $416m C · Rev +30.7% A · D/E 0.78 C+ · P/E 38.4x C+ · PEG 1.45 B
Why now. Medical Devices · market cap $11.4b. Down 54% from 52-week high of $354.88 — deep drawdown territory. Revenue growing +31% — in hypergrowth territory. 24 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $240.25 (implying +46% upside).
Moat. ROE 23% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 137% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 54% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trailing P/E 38x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $240.25 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $351.75 at ~16% CAGR — compounding case rests on the competitive position widening. 10 yr $521.80 if current growth sustains into durable earnings power.
22. FIVE — Five Below, Inc. · score 79.2
Specialty Retail · price $182.43 · 1Y $260.81 · 5Y $329.27 · 10Y $422.28
FCF $505m C+ · Rev +22.9% A- · D/E 0.86 B · P/E 23.0x B · PEG 0.98 B+
Why now. Specialty Retail · market cap $10.1b. Down 28% from 52-week high of $251.63 — deep drawdown territory. Revenue growing +23%, comfortably above the S&P median. PEG 0.98 — paying under fair value for the growth rate. 21 sell-side analysts rate this a Buy with a mean 1-yr target of $260.81 (implying +43% upside).
Moat. ROE 19% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 115% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $260.81 (analyst consensus (n=21)) — multiple re-rating thesis requires a catalyst. 5 yr $329.27 at ~13% CAGR — dividend + buyback compounding. 10 yr $422.28 if the moat survives secular pressure.
23. DECK — Deckers Outdoor Corporation · score 79
Footwear & Accessories · price $104.69 · 1Y $126.86 · 5Y $160.15 · 10Y $205.39
FCF $1.1b C+ · Rev +9.8% B · D/E 0.15 A · P/E 14.9x A- · PEG 1.30 B
Why now. Footwear & Accessories · market cap $14.5b. 17% off the 52-week high of $126.50. 21 sell-side analysts rate this a Buy with a mean 1-yr target of $126.86 (implying +21% upside).
Moat. Net margin 19% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 41% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 107% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $126.86 (analyst consensus (n=21)) — multiple re-rating thesis requires a catalyst. 5 yr $160.15 at ~9% CAGR — dividend + buyback compounding. 10 yr $205.39 if the moat survives secular pressure.
24. NFLX — Netflix, Inc. · score 77.2
Entertainment · price $77.65 · 1Y $113.94 · 5Y $166.82 · 10Y $247.47
FCF $11.9b A- · Rev +15.9% B+ · D/E 0.54 B · P/E 25.0x B · PEG 1.53 C+
Why now. Entertainment · market cap $327.0b. Down 40% from 52-week high of $129.50 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. 44 sell-side analysts rate this a Buy with a mean 1-yr target of $113.94 (implying +47% upside).
Moat. Net margin 29% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 43% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $327.0b market cap places it among the largest companies in the sector — distribution, R&D, and customer-acquisition costs amortize across a base peers can't replicate.
Risk. Down 40% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.52 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Horizon. 1-3 yr $113.94 (analyst consensus (n=44)) — fundamentals + valuation re-rating. 5 yr $166.82 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $247.47 if current growth sustains into durable earnings power.
25. FISV — Fiserv, Inc. · score 75.7
Sector n/a · price $52.33 · 1Y $70.00 · 5Y $88.37 · 10Y $113.34
FCF $4.1b B · Rev +9.3% B · D/E n/a · P/E 8.9x A- · PEG 2.46 C
Why now. Sector n/a · market cap $27.9b. Down 70% from 52-week high of $175.92 — deep drawdown territory. 26 sell-side analysts rate this a Hold with a mean 1-yr target of $70.00 (implying +34% upside).
Moat. Net margin 20% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 12% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere. FCF converts 129% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 70% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up.
Horizon. 1-3 yr $70.00 (analyst consensus (n=26)) — multiple re-rating thesis requires a catalyst. 5 yr $88.37 at ~11% CAGR — dividend + buyback compounding. 10 yr $113.34 if the moat survives secular pressure.
26. YUMC — Yum China Holdings, Inc. · score 75.5
Restaurants · price $41.70 · 1Y $61.34 · 5Y $89.81 · 10Y $133.23
FCF $931m C+ · Rev +4.4% C+ · D/E 0.38 A- · P/E 16.0x B+ · PEG 1.04 B+
Why now. Restaurants · market cap $14.4b. Down 29% from 52-week high of $58.39 — deep drawdown territory. 21 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $61.34 (implying +47% upside).
Moat. ROE 17% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 98% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Horizon. 1-3 yr $61.34 (analyst consensus (n=21)) — fundamentals + valuation re-rating. 5 yr $89.81 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $133.23 if current growth sustains into durable earnings power.
27. ULTA — Ulta Beauty, Inc. · score 75
Specialty Retail · price $461.33 · 1Y $627.25 · 5Y $918.36 · 10Y $1,362
FCF $1.1b C+ · Rev +9.7% B · D/E 0.89 B · P/E 17.3x B+ · PEG 1.60 C+
Why now. Specialty Retail · market cap $19.8b. Down 35% from 52-week high of $714.97 — deep drawdown territory. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $627.25 (implying +36% upside).
Moat. ROE 46% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 95% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Down 35% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up.
Horizon. 1-3 yr $627.25 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $918.36 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $1,362 if current growth sustains into durable earnings power.
28. EME — EMCOR Group, Inc. · score 73.9
Engineering & Construction · price $774.66 · 1Y $1,000 · 5Y $1,263 · 10Y $1,619
FCF $1.1b C+ · Rev +16.6% B+ · D/E 0.13 A- · P/E 26.0x B · PEG 0.41 A
Why now. Engineering & Construction · market cap $34.5b. 19% off the 52-week high of $951.96. Revenue growing +17%, comfortably above the S&P median. PEG 0.41 — paying under fair value for the growth rate. 7 sell-side analysts publish a mean 1-yr target of $1,000 (implying +29% upside).
Moat. ROE 35% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $1,000 (analyst consensus (n=7)) — multiple re-rating thesis requires a catalyst. 5 yr $1,263 at ~10% CAGR — dividend + buyback compounding. 10 yr $1,619 if the moat survives secular pressure.
29. VST — Vistra Corp. · score 73.8
Utilities - Independent Power Producers · price $151.05 · 1Y $222.89 · 5Y $281.39 · 10Y $360.88
FCF $1.8b C+ · Rev +19.1% B+ · D/E 3.55 D · P/E 25.3x C · PEG 0.45 A
Why now. Utilities - Independent Power Producers · market cap $50.9b. Down 31% from 52-week high of $219.82 — deep drawdown territory. Revenue growing +19%, comfortably above the S&P median. PEG 0.45 — paying under fair value for the growth rate. 18 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $222.89 (implying +48% upside).
Moat. Net margin 12% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 40% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $50.9b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk. D/E 3.55 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 31% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.41 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Horizon. 1-3 yr $222.89 (analyst consensus (n=18)) — multiple re-rating thesis requires a catalyst. 5 yr $281.39 at ~13% CAGR — dividend + buyback compounding. 10 yr $360.88 if the moat survives secular pressure.
30. SE — Sea Limited · score 73.4
Internet Retail · price $103.30 · 1Y $140.26 · 5Y $205.35 · 10Y $304.62
FCF $4.5b B · Rev +36.4% A · D/E 0.28 A- · P/E 40.7x C · PEG 1.48 B
Why now. Internet Retail · market cap $63.3b. Down 48% from 52-week high of $199.30 — deep drawdown territory. Revenue growing +36% — in hypergrowth territory. 28 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $140.26 (implying +36% upside).
Moat. ROE 13% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. $63.3b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk. Down 48% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 1.55 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Trailing P/E 41x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $140.26 (analyst consensus (n=28)) — fundamentals + valuation re-rating. 5 yr $205.35 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $304.62 if current growth sustains into durable earnings power.
Methodology footnote
Every pick on this list comes out of the same quality-growth model — one 0–100 score blending quality, growth, and value — applied to every US-listed common stock with a market cap above $1B. Each pick's score breakdown is auditable from the home page — click the ticker on the rankings page to see exactly which grades produced the number. Not investment advice. See terms for full disclosures.