This refresh
Data-driven refresh July 9, 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 (5,236 tickers); 1,783 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 $22.01 · 1Y $24.53 · 5Y $35.91 · 10Y $53.27
FCF $326m C · Rev +13.1% B+ · D/E 0.01 A · P/E 22.5x B+ · PEG 0.59 A-
Why now. Doximity's digital platform, deeply embedded in medical professionals' workflows with tools like Ask and Scribe, generates exceptional cash flow and profitability. With a $326m free cash flow against a $4.0b market cap and a 30.4% profit margin, the company is a highly efficient compounder. A compelling 0.59 PEG ratio further underscores its undervaluation, suggesting significant upside as its network effect continues to drive engagement and revenue growth.
Moat. Doximity's durable edge is built on a powerful network effect among U.S. medical professionals, who rely on its personalized newsfeed and HIPAA-compliant workflow tools for clinical content and peer interaction. This deep integration into daily practice creates substantial switching costs, reinforced by the company's impressive 20.6% Return on Equity, indicative of pricing power derived from its dominant position in health information services.
Risk. The primary bear case for Doximity centers on a potential deceleration in its core growth drivers, as evidenced by the latest 13.1% FY YoY revenue growth, which may signal increasing market saturation or competitive pressures for sponsored content from pharmaceutical manufacturers and health systems. Despite a negligible 0.01 debt-to-equity ratio, if revenue growth continues to slow, the current 22.5 P/E multiple could appear elevated, confirming the bear thesis if future quarterly reports fail to reaccelerate top-line expansion.
Horizon. 1-3 yr $24.53 (analyst consensus (n=19)) — fundamentals + valuation re-rating. 5 yr $35.91 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $53.27 if current growth sustains into durable earnings power.
2. INTU — Intuit Inc. · score 89.4
Software - Application · price $273.38 · 1Y $486.61 · 5Y $614.33 · 10Y $787.87
FCF $7.8b B+ · Rev +15.6% B+ · D/E 0.33 B · P/E 16.7x A- · PEG 0.71 A-
Why now. Software - Application · market cap $74.8b. 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 +78% 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 ~18% CAGR — dividend + buyback compounding. 10 yr $787.87 if the moat survives secular pressure.
3. DLO — DLocal Limited · score 89.3
Software - Infrastructure · price $14.57 · 1Y $17.75 · 5Y $25.99 · 10Y $38.55
FCF $413m C · Rev +46.6% A · D/E 0.20 B+ · P/E 22.8x B+ · PEG 0.49 A
Why now. The core bull case for DLocal centers on its exceptional combination of rapid revenue expansion and robust profitability within the high-growth cross-border and local-to-local payment processing market. With revenue soaring at 46.6% (FY YoY) and maintaining an impressive 18% profit margin, DLocal is generating substantial free cash flow of $413M (TTM) while trading at an attractive 0.49 PEG ratio. This powerful compounding is driven by its indispensable suite of pay-in and pay-out solutions, including hundreds of alternative payment methods, which are critical for global merchants expanding into diverse online markets like commerce, streaming, and financial services.
Moat. DLocal's durable competitive advantage is rooted in its deeply embedded, localized payment infrastructure, which offers an unparalleled array of alternative payment methods (APMs) across its operating regions. This extensive network creates significant switching costs for global merchants, who rely on DLocal's comprehensive solutions to navigate the complexities of international and local-to-local transactions. The company's exceptional 34.6% Return on Equity underscores its pricing power and operational efficiency, stemming from its unique ability to simplify payment processing for critical end markets such as ride-hailing, SaaS, and e-learning.
Risk. The primary bear case for DLocal hinges on the potential for a significant deceleration in its currently high revenue growth amidst an increasingly competitive global payment processing environment. While DLocal boasts a 46.6% revenue growth rate, a slowdown could rapidly re-rate its 22.8 P/E multiple, especially given its exposure to various end markets that can be sensitive to economic shifts. A sustained quarter-over-quarter decline in revenue growth, coupled with any contraction in its healthy profit margins, would be a clear signal confirming the bear thesis.
Horizon. 1-3 yr $17.75 (analyst consensus (n=10)) — fundamentals + valuation re-rating. 5 yr $25.99 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $38.55 if current growth sustains into durable earnings power.
4. LRN — Stride, Inc. · score 89.3
Education & Training Services · price $91.09 · 1Y $104.75 · 5Y $153.37 · 10Y $227.51
FCF $414m C · Rev +17.9% B+ · D/E 0.33 A- · P/E 14.3x A- · PEG 0.51 A-
Why now. Stride, Inc. is a high-quality compounder trading at a deep discount, with a remarkable PEG ratio of 0.51 that belies its robust 17.9% revenue growth. The company's ability to generate $414m in free cash flow against a modest $3.9b market cap underscores its operational efficiency and capital-light model, making it a compelling investment for long-term growth. The crux is the market's persistent undervaluation of its consistent execution in the expanding online education sector.
Moat. Stride's durable edge stems from its proprietary and third-party online curriculum, software systems, and educational services, which are deeply embedded in client operations. The provision of an "integrated package of systems, services, products, and professional expertise to support a virtual or blended public school" creates significant switching costs for its clients, ensuring sticky revenue streams. This deep integration and value proposition contribute to its strong 18.8% ROE, reflecting pricing power and operational efficiency in a specialized market.
Risk. The bear case hinges on the market's skepticism regarding the long-term sustainability of demand for online education, evidenced by the stock's significant decline from its 52-week high of $171.17 to its current $91.09. While fundamentals appear strong, a potential shift in educational preferences or increased competition in providing "individual online courses and supplemental educational products" could pressure future growth. A sustained deceleration in its 17.9% revenue growth or a contraction in its 12.2% profit margin would confirm the bear's concerns.
Horizon. 1-3 yr $104.75 (structural (no analyst coverage)) — fundamentals + valuation re-rating. 5 yr $153.37 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $227.51 if current growth sustains into durable earnings power.
5. ADBE — Adobe Inc. · score 89.2
Software - Application · price $222.65 · 1Y $272.48 · 5Y $398.93 · 10Y $591.79
FCF $10.3b A- · Rev +10.5% B · D/E 0.61 C+ · P/E 12.7x A · PEG 0.60 A-
Why now. Adobe's entrenched position in creative and customer experience workflows, evidenced by its Digital Media and Digital Experience segments, makes its current valuation a compelling entry point. With a remarkably low P/E of 12.7 and a PEG Ratio of 0.6, the market is significantly undervaluing a company delivering a profit margin of 28.7% and 10.5% revenue growth. The crux rests on the indispensable nature of its subscription-based tools, ensuring persistent cash flow and market leadership.
Moat. Adobe's durable edge stems from the high switching costs embedded in its Digital Media segment, which serves a vast ecosystem of photographers, video editors, and graphic designers with industry-standard tools. The company's exceptional ROE of 62.8% is a direct result of this pricing power and the deep integration of its products, making it incredibly difficult for competitors to dislodge users from its comprehensive creative and experience platforms.
Risk. The primary risk to Adobe lies in the potential for intensified competition within its core Digital Media and Digital Experience segments, which could pressure its otherwise robust 10.5% revenue growth. While its P/E of 12.7 appears low, a high Beta of 1.43 suggests sensitivity to broader market downturns, potentially exacerbating any growth deceleration. A sustained decline in subscription renewals within its enterprise Digital Experience segment would confirm the bear case and signal fundamental erosion.
Horizon. 1-3 yr $272.48 (analyst consensus (n=33)) — fundamentals + valuation re-rating. 5 yr $398.93 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $591.79 if current growth sustains into durable earnings power.
6. NBIX — Neurocrine Biosciences, Inc. · score 87
Drug Manufacturers - Specialty & Generic · price $180.55 · 1Y $197.95 · 5Y $289.82 · 10Y $429.93
FCF $831m C+ · Rev +21.4% A- · D/E 0.14 B+ · P/E 27.8x B · PEG 0.49 A
Why now. Neurocrine Biosciences is a compelling growth story, demonstrating robust expansion driven by its specialized pharmaceutical portfolio, particularly INGREZZA for tardive dyskinesia and Huntington's chorea. With revenue growth at 21.4% (FY YoY) and a strong profit margin of 21.6%, the company efficiently converts sales into earnings. The exceptionally low PEG ratio of 0.49 signals that its significant growth is undervalued relative to its current P/E of 27.8, making it a 'strong_buy' consensus among analysts, with the crux resting on continued pipeline success and market penetration of its existing specialized drugs.
Moat. Neurocrine's durable edge stems from its deep intellectual property and specialized R&D capabilities in neurological, psychiatric, endocrine, and immunological disorders, creating high barriers to entry. Products like INGREZZA, Orilissa, and CRENESSITY address specific, often underserved, medical conditions, benefiting from regulatory protection and the high cost and time associated with developing competing therapies. This focus on specialty pharmaceuticals, backed by a robust clinical development pipeline including NBI-1076986 and Osavampator, protects its nearly 20% ROE by ensuring pricing power and market exclusivity in its niche segments.
Risk. The primary bear case for Neurocrine Biosciences revolves around pipeline execution and potential competitive threats to its key revenue drivers. Despite a low debt-to-equity of 0.14, the company's valuation, with a P/S TTM of 5.9 and P/E TTM of 27.8, could be vulnerable if clinical trial failures for candidates like NBI-1076986 or Osavampator occur, or if new competitors emerge in the tardive dyskinesia or Huntington's disease markets. The concrete signal confirming the bear case would be a significant setback in a late-stage clinical trial or a material deceleration in INGREZZA's sales growth due to unexpected market erosion.
Horizon. 1-3 yr $197.95 (analyst consensus (n=27)) — fundamentals + valuation re-rating. 5 yr $289.82 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $429.93 if current growth sustains into durable earnings power.
7. ADMA — ADMA Biologics, Inc. · score 86.9
Biotechnology · price $9.27 · 1Y $17.60 · 5Y $25.77 · 10Y $38.23
FCF $108m C · Rev +19.6% B+ · D/E 1.11 C · P/E 13.6x A- · PEG 0.69 A-
Why now. ADMA Biologics is a compounding machine, leveraging its specialty plasma-derived biologics like BIVIGAM and ASCENIV for primary humoral immunodeficiency (PI) to deliver exceptional profitable growth. With a robust 19.6% revenue growth and an impressive 32.4% profit margin, the company is generating substantial free cash flow of $108m on a modest 0.69 PEG ratio. The crux is the sustained demand for critical immune globulin products, which ADMA is efficiently scaling through its integrated BioManufacturing and Plasma Collection Centers.
Moat. ADMA's durable edge stems from its vertically integrated model, encompassing both ADMA BioManufacturing and Plasma Collection Centers, which ensures a controlled and reliable supply chain for its specialty plasma-derived biologics like BIVIGAM and ASCENIV. This operational control, coupled with the high regulatory hurdles and manufacturing complexity inherent in the biopharmaceutical sector, underpins its exceptional 42.4% Return on Equity, reflecting pricing power and efficiency in a critical healthcare niche. Competitors face significant capital and time barriers to replicate this integrated infrastructure.
Risk. The primary bear case centers on ADMA's elevated 1.11 Debt-to-Equity ratio, which could become a burden if growth in its specialty plasma-derived biologics market, particularly for IVIG products like BIVIGAM and ASCENIV, slows or faces increased competitive pricing pressure. A sustained deceleration in revenue growth below the current 19.6% or a contraction in profit margins would confirm that the company's debt load is becoming a material drag on equity value.
Horizon. 1-3 yr $17.60 (analyst consensus (n=5)) — fundamentals + valuation re-rating. 5 yr $25.77 at ~23% CAGR — compounding case rests on the competitive position widening. 10 yr $38.23 if current growth sustains into durable earnings power.
8. EXLS — ExlService Holdings, Inc. · score 85.7
Information Technology Services · price $27.60 · 1Y $41.75 · 5Y $61.13 · 10Y $90.68
FCF $297m C · Rev +13.6% B+ · D/E 0.67 C+ · P/E 17.6x A- · PEG 0.87 B+
Why now. ExlService Holdings presents a compelling growth opportunity, leveraging its data and AI capabilities to drive digital operations and analytics-driven services across its key Insurance and Healthcare and Life Sciences segments. With a robust 13.6% FY YoY revenue growth and a highly attractive 0.87 PEG ratio, the market is underappreciating its compounding potential. The crux of the thesis rests on EXLS's ability to continue embedding its high-margin (11.7% profit margin) solutions deeper into client workflows, making its services indispensable.
Moat. EXLS's durable moat stems from the deep integration of its specialized data and AI-driven digital operations and analytics services within mission-critical client functions like claims management and actuarial and risk analytics. This creates significant switching costs for customers in its core Insurance and Healthcare segments, who rely on EXLS for essential, complex processes. The company's exceptional 32.3% Return on Equity reflects its pricing power and efficient capital allocation, driven by proprietary expertise in these highly specialized industry solutions.
Risk. The primary bear case for EXLS centers on the intense competitive landscape within the Information Technology Services sector, particularly as larger players or specialized AI startups vie for market share in digital operations and analytics. The stock's significant decline from its $47.11 52-week high to the current $27.60 suggests investor apprehension about future growth or margin pressure. A sustained deceleration in revenue growth below 13.6%, particularly if accompanied by a contraction in the 11.7% profit margin, would confirm that EXLS is losing its competitive edge or pricing power.
Horizon. 1-3 yr $41.75 (analyst consensus (n=8)) — fundamentals + valuation re-rating. 5 yr $61.13 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $90.68 if current growth sustains into durable earnings power.
9. NVDA — NVIDIA Corporation · score 85.6
Semiconductors · price $202.78 · 1Y $301.62 · 5Y $441.60 · 10Y $655.09
FCF $119.1b A · Rev +65.5% A · D/E 0.07 A- · P/E 31.1x B · PEG 0.60 A-
Why now. NVIDIA is the undisputed leader in data center scale AI infrastructure, perfectly positioned to compound capital at an exceptional rate as the AI secular trend accelerates. With a staggering 65.5% FY YoY revenue growth and a 63% profit margin, the company is converting its market dominance into immense free cash flow of $119.1B (TTM). The low 0.6 PEG ratio, despite a 31.1 P/E, suggests the market is still underpricing the persistence of its AI-driven earnings growth.
Moat. NVIDIA's durable edge stems from its integrated Compute & Networking platforms and artificial intelligence solutions, which create a high-switching-cost ecosystem for data center and automotive customers. Its GeForce and Quadro/NVIDIA RTX GPUs for gaming and enterprise workstation graphics further solidify its hardware and software advantage. The exceptional 81.7% Return on Equity is a direct result of its technological leadership and pricing power in these mission-critical, high-performance computing segments, making it incredibly difficult for competitors to replicate its full-stack offering.
Risk. The primary risk to NVIDIA is its elevated valuation, with a 31.1 P/E and 19.4 P/S ratio, leaving little room for error if the hyper-growth in the Compute & Networking segment decelerates. While debt-to-equity is low at 0.07, the high 2.21 beta signals significant volatility, making it susceptible to broader market corrections or shifts in investor sentiment regarding AI's long-term trajectory. A sustained period of revenue growth below 30% or a significant compression in profit margins would confirm the bear case.
Horizon. 1-3 yr $301.62 (analyst consensus (n=58)) — fundamentals + valuation re-rating. 5 yr $441.60 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $655.09 if current growth sustains into durable earnings power.
10. CPRX — Catalyst Pharmaceuticals, Inc. · score 84.6
Biotechnology · price $31.47 · 1Y $31.67 · 5Y $46.36 · 10Y $68.78
FCF $208m C · Rev +19.8% B+ · D/E 0.00 A · P/E 18.2x A- · PEG 0.92 B+
Why now. Firdapse’s monopoly in the ultra‑rare LEMS market fuels a profit margin of 37.1% and drives free cash flow of $208m, while revenue is still expanding at 19.8% YoY – a rare combo of cash generation and growth that the market is already pricing in at a modest PE 18.2. The thesis rests on the fact that this cash‑rich, high‑margin franchise can keep compounding earnings without dilution, making the current price a launchpad for sustained upside.
Moat. Firdapse is the sole FDA‑approved therapy for LEMS, protected by exclusive patents and a narrow patient pool that creates high switching costs and pricing power, which translates into a ROE of 21.9%—clearly derived from its category‑lead pricing advantage. The company’s zero‑debt balance sheet further amplifies returns on that moat, limiting competitors’ ability to out‑spend Catalyst on launch and market capture.
Risk. The stock’s upside is razor‑thin—analyst consensus lifts the price to only $31.67 versus today’s $31.47 and the 52‑week high sits at $32.56, leaving little room for error if Firdapse sales stall or if a new seizure drug erodes Fycompa’s market share. A slowdown in the 19.8% revenue growth trajectory would compress margins and trigger a sell‑off, confirming the bear case when the price slips below the 52‑week low of $19.05.
Horizon. 1-3 yr $31.67 (analyst consensus (n=3)) — fundamentals + valuation re-rating. 5 yr $46.36 at ~8% CAGR — compounding case rests on the competitive position widening. 10 yr $68.78 if current growth sustains into durable earnings power.
11. IT — Gartner, Inc. · score 84.5
Information Technology Services · price $132.69 · 1Y $165.00 · 5Y $241.58 · 10Y $358.36
FCF $1.3b C+ · Rev +3.7% C+ · D/E n/a · P/E 13.1x A · PEG 0.55 A-
Why now. Gartner offers a compelling value proposition within its "growth" classification, with a robust $1.3b in TTM free cash flow against an $8.9b market cap, translating to a strong FCF yield. This cash generation, primarily from its sticky Insights subscription services, is significantly undervalued at a 13.1 P/E and an exceptional 0.55 PEG ratio. The crux is Gartner's ability to consistently convert its expert-driven insights into cash, which should continue to compound returns for shareholders.
Moat. Gartner's durable edge stems from its Insights segment, which provides unique access to published content, proprietary data, benchmarks, and a vast network of business and technology experts. This specialized, continuously updated knowledge base, critical for organizational decision-making on "mission-critical priorities," creates high switching costs as clients integrate Gartner's guidance into their strategic planning. Competitors would struggle to replicate the breadth and depth of this expert network and proprietary data, cementing Gartner's position.
Risk. The bear case centers on Gartner's modest 3.7% (FY YoY) revenue growth, which, despite a "growth" classification, suggests potential saturation or increasing competition in the market for business and technology insights. The significant drop from its 52-week high of $394.09 to the current $132.69 indicates a market already pricing in substantial headwinds. A concrete signal confirming the bear thesis would be a sustained decline in client retention rates within the core Insights segment, signaling a diminishing perceived value of Gartner's expert network and data.
Horizon. 1-3 yr $165.00 (analyst consensus (n=13)) — fundamentals + valuation re-rating. 5 yr $241.58 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $358.36 if current growth sustains into durable earnings power.
12. EPAM — EPAM Systems, Inc. · score 83.9
Information Technology Services · price $87.29 · 1Y $142.82 · 5Y $180.31 · 10Y $231.24
FCF $544m C+ · Rev +15.4% B+ · D/E 0.08 B+ · P/E 12.5x A · PEG 0.45 A
Why now. Information Technology Services · market cap $4.6b. Down 61% 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. 17 sell-side analysts rate this a Buy with a mean 1-yr target of $142.82 (implying +64% 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 61% 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 $142.82 (analyst consensus (n=17)) — multiple re-rating thesis requires a catalyst. 5 yr $180.31 at ~16% CAGR — dividend + buyback compounding. 10 yr $231.24 if the moat survives secular pressure.
13. DXCM — DexCom, Inc. · score 83.1
Medical Devices · price $73.02 · 1Y $85.24 · 5Y $124.80 · 10Y $185.13
FCF $1.4b C+ · Rev +15.6% B+ · D/E 0.47 B · P/E 31.3x B · PEG 1.35 B
Why now. Medical Devices · market cap $28.2b. 19% off the 52-week high of $89.98. 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 +17% 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 ~11% 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 82.8
Auto & Truck Dealerships · price $34.50 · 1Y $37.38 · 5Y $54.73 · 10Y $81.20
FCF $293m C · Rev +13.7% B+ · D/E 0.79 B · P/E 18.2x B · PEG 1.08 B+
Why now. Auto & Truck Dealerships · market cap $3.1b. 12% off the 52-week high of $39.42. Revenue growing +14%, comfortably above the S&P median. 13 sell-side analysts publish a mean 1-yr target of $37.38 (implying +8% 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 ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $81.20 if current growth sustains into durable earnings power.
15. VEEV — Veeva Systems Inc. · score 82.2
Health Information Services · price $189.70 · 1Y $244.59 · 5Y $358.11 · 10Y $531.23
FCF $1.7b C+ · Rev +16.3% B+ · D/E 0.01 A- · P/E 33.6x C+ · PEG 0.87 B+
Why now. Health Information Services · market cap $30.8b. Down 39% 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 +29% 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 39% 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 ~14% CAGR — compounding case rests on the competitive position widening. 10 yr $531.23 if current growth sustains into durable earnings power.
16. RMD — ResMed Inc. · score 81.8
Medical Instruments & Supplies · price $208.45 · 1Y $260.60 · 5Y $381.54 · 10Y $566.00
FCF $1.8b C+ · Rev +9.8% B · D/E 0.13 B+ · P/E 20.1x B+ · PEG 1.28 B
Why now. Medical Instruments & Supplies · market cap $30.2b. 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 +25% 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.
17. CVSA — Covista Inc. · score 81.4
Education & Training Services · price $131.32 · 1Y $156.25 · 5Y $197.26 · 10Y $252.98
FCF $336m C · Rev +12.9% B+ · D/E 0.54 B+ · P/E 19.1x B · PEG 0.88 B+
Why now. Education & Training Services · market cap $4.5b. 16% 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 +19% 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 ~8% CAGR — dividend + buyback compounding. 10 yr $252.98 if the moat survives secular pressure.
18. META — Meta Platforms, Inc. · score 80.9
Internet Content & Information · price $631.48 · 1Y $828.17 · 5Y $1,046 · 10Y $1,341
FCF $48.3b A · Rev +22.2% A- · D/E 0.36 B+ · P/E 23.0x B · PEG 0.87 B+
Why now. Internet Content & Information · market cap $1.6T. Down 21% from 52-week high of $796.25 — deep drawdown territory. Revenue growing +22%, comfortably above the S&P median. PEG 0.87 — 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 +31% 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. $1.6T 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 ~11% CAGR — dividend + buyback compounding. 10 yr $1,341 if the moat survives secular pressure.
19. QCOM — QUALCOMM Incorporated · score 79.8
Semiconductors · price $191.11 · 1Y $216.55 · 5Y $273.39 · 10Y $350.61
FCF $12.5b A- · Rev +13.7% B+ · D/E 0.56 C+ · P/E 20.6x B+ · PEG 0.59 A-
Why now. Semiconductors · market cap $201.4b. Down 26% from 52-week high of $259.92 — deep drawdown territory. Revenue growing +14%, comfortably above the S&P median. PEG 0.59 — paying under fair value for the growth rate. 31 sell-side analysts rate this a Hold with a mean 1-yr target of $216.55 (implying +13% 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. 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 $216.55 (analyst consensus (n=31)) — multiple re-rating thesis requires a catalyst. 5 yr $273.39 at ~7% CAGR — dividend + buyback compounding. 10 yr $350.61 if the moat survives secular pressure.
20. MELI — MercadoLibre, Inc. · score 79.5
Internet Retail · price $1807.83 · 1Y $2,209 · 5Y $3,234 · 10Y $4,797
FCF $11.8b A- · Rev +34.3% A · D/E 1.70 C+ · P/E 47.8x D · PEG 1.11 B+
Why now. Internet Retail · market cap $91.7b. Down 29% 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 +22% 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. $91.7b 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. Trailing P/E 48x 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 ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $4,797 if current growth sustains into durable earnings power.
21. PODD — Insulet Corporation · score 79.5
Medical Devices · price $158.29 · 1Y $239.42 · 5Y $350.53 · 10Y $519.99
FCF $416m C · Rev +30.7% A · D/E 0.78 C+ · P/E 37.0x C+ · PEG 1.41 B
Why now. Medical Devices · market cap $11.0b. Down 55% 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 $239.42 (implying +51% 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 55% 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 37x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $239.42 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $350.53 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $519.99 if current growth sustains into durable earnings power.
22. FIVE — Five Below, Inc. · score 78.8
Specialty Retail · price $184.24 · 1Y $260.57 · 5Y $328.97 · 10Y $421.89
FCF $505m C+ · Rev +22.9% A- · D/E 0.86 B · P/E 23.2x B · PEG 0.98 B+
Why now. Specialty Retail · market cap $10.2b. Down 27% 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 $260.57 (implying +41% 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 $260.57 (analyst consensus (n=21)) — multiple re-rating thesis requires a catalyst. 5 yr $328.97 at ~12% CAGR — dividend + buyback compounding. 10 yr $421.89 if the moat survives secular pressure.
23. DECK — Deckers Outdoor Corporation · score 78.5
Footwear & Accessories · price $104.26 · 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 B+ · PEG 1.32 B
Why now. Footwear & Accessories · market cap $14.5b. 18% 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 +22% 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 77.6
Entertainment · price $75.47 · 1Y $113.71 · 5Y $166.49 · 10Y $246.97
FCF $11.9b A- · Rev +15.9% B+ · D/E 0.54 B · P/E 24.3x B · PEG 1.49 B
Why now. Entertainment · market cap $317.8b. Down 41% from 52-week high of $128.96 — 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 $113.71 (implying +51% 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. $317.8b 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 41% 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 $113.71 (analyst consensus (n=44)) — fundamentals + valuation re-rating. 5 yr $166.49 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $246.97 if current growth sustains into durable earnings power.
25. DEO — Diageo plc · score 75.7
Beverages - Wineries & Distilleries · price $80.61 · 1Y $100.43 · 5Y $147.04 · 10Y $218.12
FCF n/a · Rev +4.8% C+ · D/E 1.77 C · P/E 18.6x B+ · PEG 0.80 A-
Why now. Beverages - Wineries & Distilleries · market cap $44.8b. Down 31% from 52-week high of $116.41 — deep drawdown territory. PEG 0.80 — paying under fair value for the growth rate. 7 sell-side analysts rate this a Buy with a mean 1-yr target of $100.43 (implying +25% 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 41% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which.
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. Dividend payout 96% of earnings on a 4.0% yield — distribution coverage is thin; one earnings stumble could force a dividend cut.
Horizon. 1-3 yr $100.43 (analyst consensus (n=7)) — fundamentals + valuation re-rating. 5 yr $147.04 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $218.12 if current growth sustains into durable earnings power.
26. FISV — Fiserv, Inc. · score 75.7
Sector n/a · price $51.65 · 1Y $69.77 · 5Y $88.08 · 10Y $112.96
FCF $4.1b B · Rev +9.3% B · D/E n/a · P/E 8.8x A- · PEG 2.43 C
Why now. Sector n/a · market cap $27.5b. Down 70% from 52-week high of $171.08 — deep drawdown territory. 26 sell-side analysts rate this a Hold with a mean 1-yr target of $69.77 (implying +35% 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 $69.77 (analyst consensus (n=26)) — multiple re-rating thesis requires a catalyst. 5 yr $88.08 at ~11% CAGR — dividend + buyback compounding. 10 yr $112.96 if the moat survives secular pressure.
27. ULTA — Ulta Beauty, Inc. · score 74.8
Specialty Retail · price $460.24 · 1Y $623.58 · 5Y $912.99 · 10Y $1,354
FCF $1.1b C+ · Rev +9.7% B · D/E 0.89 B · P/E 17.3x B+ · PEG 1.57 C+
Why now. Specialty Retail · market cap $19.8b. Down 36% 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 $623.58 (implying +35% 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 36% 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 $623.58 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $912.99 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $1,354 if current growth sustains into durable earnings power.
28. YUMC — Yum China Holdings, Inc. · score 74.8
Restaurants · price $42.31 · 1Y $61.34 · 5Y $89.81 · 10Y $133.23
FCF $931m C+ · Rev +4.4% C+ · D/E 0.38 A- · P/E 16.2x B+ · PEG 1.06 B+
Why now. Restaurants · market cap $14.6b. Down 28% 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 +45% 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 ~16% CAGR — compounding case rests on the competitive position widening. 10 yr $133.23 if current growth sustains into durable earnings power.
29. CVNA — Carvana Co. · score 74.4
Auto & Truck Dealerships · price $67.12 · 1Y $92.14 · 5Y $134.91 · 10Y $200.12
FCF $740m C+ · Rev +48.6% A · D/E 1.21 B · P/E 38.8x C · PEG 0.80 A-
Why now. Auto & Truck Dealerships · market cap $73.6b. Down 31% from 52-week high of $97.38 — deep drawdown territory. Revenue growing +49% — in hypergrowth territory. PEG 0.80 — paying under fair value for the growth rate. 21 sell-side analysts rate this a Buy with a mean 1-yr target of $92.14 (implying +37% upside).
Moat. ROE 39% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $73.6b 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. Beta 3.46 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 39x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $92.14 (analyst consensus (n=21)) — fundamentals + valuation re-rating. 5 yr $134.91 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $200.12 if current growth sustains into durable earnings power.
30. EME — EMCOR Group, Inc. · score 73.6
Engineering & Construction · price $783.41 · 1Y $1,000 · 5Y $1,263 · 10Y $1,619
FCF $1.1b C+ · Rev +16.6% B+ · D/E 0.13 A- · P/E 26.3x B · PEG 0.42 A
Why now. Engineering & Construction · market cap $34.9b. 18% off the 52-week high of $951.96. Revenue growing +17%, comfortably above the S&P median. PEG 0.42 — paying under fair value for the growth rate. 7 sell-side analysts rate this a Buy with a mean 1-yr target of $1,000 (implying +28% 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.
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.