This refresh
Data-driven refresh July 30, 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 (5,228 tickers); 1,507 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 90.8
Health Information Services · price $21.24 · 1Y $24.61 · 5Y $36.03 · 10Y $53.45
FCF $326m C · Rev +13.1% B+ · D/E 0.01 A · P/E 21.7x B+ · PEG 0.59 A-
Why now. DOCS’s AI‑driven workflow tool Ask cements its role as the go‑to evidence engine for U.S. physicians, fueling a revenue growth of 13.1% YoY while delivering a 30.4% profit margin and a robust ROE of 20.6%. Our Bull Rankings model awards a 90.8/100 quality‑growth score with Growth as the strongest pillar, confirming that the compounding engine—high‑margin, high‑return SaaS for clinicians—will keep accelerating. The thesis hinges on the continued adoption of Ask and the platform’s premium ad and sponsorship revenue, which should keep the growth‑driven valuation intact.
Moat. DOCS locks in U.S. physicians through a proprietary, HIPAA‑compliant network that blends a personalized newsfeed with the Ask AI assistant, creating a high switching cost for doctors who embed the platform into daily clinical decisions. This network effect, combined with pricing power that yields a 20.6% ROE, lets Doximity monetize both subscription‑grade data services and pharma sponsorships in a way rivals cannot replicate quickly.
Risk. The stock trades at a forward P/E of 21.7 and a beta of 1.29, indicating market expectations for sustained growth that could be derailed if revenue decelerates toward the reverse‑DCF implied 2% FCF growth horizon. A slowdown in physician adoption of AI tools or a shift to competing platforms would compress margins and erode the 30.4% profit margin, confirming the bear case if the growth rate falls below the current 13.1% pace.
Horizon. 1-3 yr $24.61 (analyst consensus (n=18)) — fundamentals + valuation re-rating. 5 yr $36.03 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $53.45 if current growth sustains into durable earnings power.
2. ADBE — Adobe Inc. · score 88.8
Software - Application · price $247.90 · 1Y $269.61 · 5Y $394.73 · 10Y $585.56
FCF $10.3b A- · Rev +11.5% B · D/E 0.61 C+ · P/E 14.2x A- · PEG 0.72 A-
Why now. Adobe’s Digital Experience platform is capturing enterprise marketing spend, driving a 11.5% YoY revenue lift and a 28.7% profit margin that fuels a 62.8% ROE—our model’s 92‑point Quality pillar. The company’s aggressive share‑buyback program and $10.3B free cash flow reinforce durable returns, positioning Adobe to compound earnings at a pace that outpaces the 0% implied growth from the reverse‑DCF. The thesis rests on Adobe’s ability to lock in high‑margin, recurring revenue from its integrated experience suite.
Moat. Adobe’s cross‑segment ecosystem—Digital Media for creators and Digital Experience for marketers—creates deep switching costs; customers embed Photoshop, Premiere, and Experience Cloud into their workflows, making migration expensive. This network of integrated tools drives a 62.8% ROE, a direct result of pricing power in the premium creative and marketing software categories.
Risk. Adobe’s beta of 1.43 and a P/E of 14.2 signal exposure to broader market swings; a 0.61 debt‑to‑equity ratio could tighten if the company pursues aggressive expansion. A slowdown in marketing spend or a shift to cheaper, open‑source alternatives would erode the 11.5% revenue growth, undermining the high margin and ROE that sustain its buyback program.
Horizon. 1-3 yr $269.61 (analyst consensus (n=34)) — fundamentals + valuation re-rating. 5 yr $394.73 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $585.56 if current growth sustains into durable earnings power.
3. DLO — DLocal Limited · score 88.5
Software - Infrastructure · price $14.97 · 1Y $18.05 · 5Y $26.43 · 10Y $39.20
FCF $413m C · Rev +46.6% A · D/E 0.20 B+ · P/E 23.4x B+ · PEG 0.50 A
Why now. DLocal’s pay‑in platform for cross‑border merchants is exploding, with revenue growing 46.6% YoY and a 18% profit margin that fuels a 34.6% ROE—our model’s Growth pillar hits 100/100. The company’s free‑cash‑flow of $413 m and debt‑to‑equity of 0.2 give it the runway to capture the emerging‑market payment opportunity, and the analyst consensus 1‑yr target of $18.05 already prices in a 20%+ upside. The thesis rests on the sustained 46.6% revenue acceleration and the ability to convert that into higher margins as the platform scales.
Moat. DLocal’s strength lies in its end‑to‑end pay‑in solution that bundles international and local cards, bank transfers, direct debit, cash, and hundreds of APMs—an integrated stack that merchants can’t easily replicate. The platform’s ability to handle both cross‑border and local‑to‑local transactions gives it a network effect: the more merchants onboard, the more payment methods become available, locking in customers and driving higher transaction volumes.
Risk. The biggest threat is competitive pressure from larger payment processors that could offer similar APM breadth at lower costs, eroding DLocal’s 18% margin. A P/E of 23.4 and a PEG of 0.5 suggest the market already expects high growth; if revenue growth slows below 46.6%, the valuation will compress. A rising debt‑to‑equity beyond 0.2 would also strain cash flows and limit reinvestment.
Horizon. 1-3 yr $18.05 (analyst consensus (n=10)) — fundamentals + valuation re-rating. 5 yr $26.43 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $39.20 if current growth sustains into durable earnings power.
4. INTU — Intuit Inc. · score 87.6
Software - Application · price $315.50 · 1Y $456.47 · 5Y $668.32 · 10Y $991.41
FCF $7.8b B+ · Rev +15.1% B+ · D/E 0.33 B · P/E 19.2x A- · PEG 0.86 B+
Why now. Intuit Inc. remains a compelling growth story, driven by the expanding ecosystem of its QuickBooks services for small and mid-market businesses and the strategic integration of Mailchimp. Our model assigns INTU a robust Quality-growth score of 87.6/100, with Growth as its strongest pillar at 95, reflecting its impressive 15.1% FY YoY revenue growth and a healthy 21.9% profit margin. The market appears to be underestimating its compounding power, given a PEG ratio of 0.86, suggesting its growth trajectory is not fully priced in. The crux lies in Intuit's ability to continually deepen its penetration into the small business market with integrated financial and marketing solutions.
Moat. Intuit's formidable moat stems from the high switching costs embedded in its QuickBooks ecosystem, which provides critical financial management, payroll, and payment processing for small and mid-market businesses. Once integrated, migrating financial data and workflows is prohibitively complex, fostering deep customer stickiness. This category leadership, reinforced by offerings like Mailchimp for marketing automation, allows for significant pricing power, evidenced by its impressive 22.2% Return on Equity. The company effectively locks in its customer base by becoming an indispensable operating system for their financial and marketing needs.
Risk. Skeptics would highlight Intuit's current valuation, which, despite a significant drop from its 52-week high of $807.15 to $315.50, still faces questions regarding its long-term growth premium. Our model's weakest pillar is Value (83), and the reverse DCF implies a concerning ~-4%/yr free-cash-flow growth sustained for 10 years to justify today's price, a stark contrast to its reported 15.1% revenue growth. This suggests market pessimism or a belief that growth will rapidly decelerate, potentially due to increased competition in areas like Credit Karma or broader market saturation in small business software. A sustained deceleration in its Global Business Solutions segment's revenue growth would confirm the bear case.
Horizon. 1-3 yr $456.47 (analyst consensus (n=33)) — fundamentals + valuation re-rating. 5 yr $668.32 at ~16% CAGR — compounding case rests on the competitive position widening. 10 yr $991.41 if current growth sustains into durable earnings power.
5. NBIX — Neurocrine Biosciences, Inc. · score 87.2
Drug Manufacturers - Specialty & Generic · price $185.50 · 1Y $202.17 · 5Y $296.00 · 10Y $439.10
FCF $831m C+ · Rev +28.6% A- · D/E 0.14 B+ · P/E 28.5x B · PEG 0.51 A-
Why now. NBIX is poised to dominate the rare‑disease neurology niche thanks to INGREZZA’s expanding indication set, and that engine is turbo‑charged by a 28.6% YoY revenue growth, a 21.6% profit margin, and a $831 M free‑cash‑flow run‑rate. The Bull Rankings model rates its Growth pillar at a perfect 100, meaning the business compounds earnings faster than peers, and the 13% implied FCF growth in our reverse‑DCF is comfortably below the actual top‑line momentum, leaving upside room. The thesis rests on sustained uptake of INGREZZA and the pipeline’s movement‑disorder candidates.
Moat. NBIX’s moat lives in its FDA‑approved, first‑to‑market therapies for hard‑to‑treat neurological conditions—INGREZZA for tardive dyskinesia and Huntington’s chorea, plus Orilissa for endometriosis—backed by strong payer contracts and specialist prescribing habits. A ROE of 19.6% reflects pricing power from category leadership, while a debt‑to‑equity of only 0.14 gives the company financial flexibility to reinvest in R&D without diluting shareholders.
Risk. The bull case hinges on continued premium pricing, but the stock trades at a lofty PE of 28.5 despite a modest beta of 0.39, suggesting the market may be overpaying for growth that could stall if competitors launch alternative movement‑disorder drugs. A slowdown in revenue growth or a miss on the pipeline would force the valuation down, and a breach of the 52‑week low ($122.14) would confirm the bear view.
Horizon. 1-3 yr $202.17 (analyst consensus (n=27)) — fundamentals + valuation re-rating. 5 yr $296.00 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $439.10 if current growth sustains into durable earnings power.
6. NVDA — NVIDIA Corporation · score 86.3
Semiconductors · price $195.04 · 1Y $302.83 · 5Y $443.37 · 10Y $657.71
FCF $119.1b A · Rev +70.7% A · D/E 0.07 A- · P/E 29.8x B · PEG 0.54 A-
Why now. NVIDIA’s Compute & Networking segment is cementing its moat as the premier AI infrastructure provider, driving a staggering 70.7% YoY revenue growth, a razor‑sharp 63% profit margin, and $119.1 B of free cash flow—all on a $4.7 T market cap. Our Bull Rankings model gives NVDA an 86.3/100 quality‑growth score, with Growth as the strongest pillar, underscoring the compounding power of its AI data‑center platform. The thesis hinges on the relentless demand for accelerated computing that will keep cash generation soaring.
Moat. NVDA’s moat lives in its AI‑optimized GPUs and networking stack that power the world’s largest data centers, creating massive switching costs for cloud providers and enterprises. The 81.7% ROE reflects pricing power from being the de‑facto standard in high‑performance compute, a position rivals can’t replicate without years of silicon and software investment.
Risk. The stock trades at a lofty PE of 29.8 and a beta of 2.21, meaning any slowdown in AI spend or a market pull‑back could hammer valuation. Our model flags Value as the weakest pillar, and the 47% annual FCF growth implied by the reverse‑DCF is already below the current 70.7% revenue growth, so any deceleration would expose the high multiple. A sustained dip in data‑center orders would trigger the bear case.
Horizon. 1-3 yr $302.83 (analyst consensus (n=58)) — fundamentals + valuation re-rating. 5 yr $443.37 at ~18% CAGR — compounding case rests on the competitive position widening. 10 yr $657.71 if current growth sustains into durable earnings power.
7. HRMY — Harmony Biosciences Holdings, Inc. · score 85.3
Biotechnology · price $35.86 · 1Y $45.40 · 5Y $66.47 · 10Y $98.60
FCF $342m C · Rev +20.7% A- · D/E 0.18 B+ · P/E 14.5x A- · PEG 0.67 A-
Why now. HRMY’s thesis hinges on the rapid uptake of WAKIX for narcolepsy, a niche with limited competition and a clear reimbursement pathway, driving a 20.7% YoY revenue lift, a 16.2% profit margin, and $342m of free‑cash‑flow—numbers that underscore a high‑growth, high‑margin model that our Bull Rankings model rates 100/100 for Growth.
Moat. The moat is anchored in WAKIX’s unique pitolisant mechanism, which secures a durable first‑to‑market position in the rare neurological disease space; this gives HRMY a pricing power that translates into a 16% ROE, far above the sector average, and limits easy replication by competitors.
Risk. The bear case rests on the company’s modest debt‑to‑equity of 0.18 and a P/E of 14.5, which, while not high, still exposes HRMY to valuation compression if the 20.7% revenue growth stalls or if a generic pitolisant entrant erodes margins—any margin contraction would immediately undercut the 16.2% profit margin claim.
Horizon. 1-3 yr $45.40 (analyst consensus (n=10)) — fundamentals + valuation re-rating. 5 yr $66.47 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $98.60 if current growth sustains into durable earnings power.
8. ADMA — ADMA Biologics, Inc. · score 85.1
Biotechnology · price $8.67 · 1Y $17.00 · 5Y $24.89 · 10Y $36.92
FCF $108m C · Rev +11.0% B · D/E 1.11 C · P/E 12.8x A · PEG 0.65 A-
Why now. ADMA’s dominant position in the U.S. IVIG market, anchored by BIVIGAM and ASCENIV, fuels a compounding earnings engine as the aging immunodeficiency patient base expands. The business delivers a 32.4% profit margin, a stellar ROE of 42.4%, and 11% revenue growth YoY, all while trading at a modest PE of 12.8x—a rare blend for a growth biotech. Our Bull Rankings model flags Growth as the strongest pillar (90), meaning the trajectory is the primary catalyst, and the thesis hinges on sustaining that margin‑rich expansion.
Moat. ADMA’s moat stems from its integrated plasma collection and bio‑manufacturing network, which secures a reliable supply of high‑purity plasma for BIVIGAM and ASCENIV—products with limited substitutes and high switching costs for clinicians treating primary humoral immunodeficiency. The 42.4% ROE reflects pricing power derived from category leadership in IVIG, a market where scale and regulatory barriers protect incumbents.
Risk. The bear case centers on the looming competitive pressure from larger biotech firms launching biosimilar IVIGs, which could erode ADMA’s pricing premium. A PE of 12.8x, while low, already embeds expectations of continued growth; any slowdown below the 11% revenue growth rate would expose the valuation gap. A rise in debt‑to‑equity to above 1.2x would confirm the risk, prompting a sell‑off.
Horizon. 1-3 yr $17.00 (analyst consensus (n=5)) — fundamentals + valuation re-rating. 5 yr $24.89 at ~23% CAGR — compounding case rests on the competitive position widening. 10 yr $36.92 if current growth sustains into durable earnings power.
9. TTD — The Trade Desk, Inc. · score 85.1
Advertising Agencies · price $18.28 · 1Y $24.32 · 5Y $35.61 · 10Y $52.82
FCF $842m C+ · Rev +15.5% B+ · D/E 0.17 A- · P/E 20.8x B · PEG 0.91 B+
Why now. The Trade Desk’s platform for CTV, video and cross‑device inventory is the engine of its 15.5% FY YoY revenue growth, feeding a 14.6% profit margin and generating $842 m of free cash flow. Our Bull Rankings model rates its Growth pillar at 93, the highest among peers, and the overall Quality‑Growth score of 85.1 underscores a high‑quality compounder. The thesis hinges on the continued secular shift to programmatic video, which should keep compounding earnings for years to come.
Moat. TTD locks advertisers and agencies into a data‑rich, unified buying interface that spans CTV, display, audio and DOOH, creating high switching costs and network effects as more buyers bring more inventory onto the platform. Its 17.6% ROE reflects pricing power derived from being the de‑facto infrastructure for premium video programmatic, a capability rivals cannot replicate quickly.
Risk. The stock trades at a forward P/E of 20.8 and a PEG of 0.91, implying the market already prices in aggressive growth; the Bull Rankings model’s Value pillar is only 76, flagging a pricing premium. Moreover, the reverse DCF shows the current price assumes a -5% annual free‑cash‑flow trajectory, far below the 15.5% revenue growth rate, so any slowdown would trigger a sharp re‑rating. A breach of the 52‑week low ($16.70) would confirm the bear case.
Horizon. 1-3 yr $24.32 (analyst consensus (n=30)) — fundamentals + valuation re-rating. 5 yr $35.61 at ~14% CAGR — compounding case rests on the competitive position widening. 10 yr $52.82 if current growth sustains into durable earnings power.
10. EXLS — ExlService Holdings, Inc. · score 84.7
Information Technology Services · price $34.36 · 1Y $40.13 · 5Y $58.75 · 10Y $87.15
FCF $297m C · Rev +13.4% B+ · D/E 0.57 C+ · P/E 21.7x B+ · PEG 0.91 B+
Why now. ExlService’s AI‑driven claims management platform is scaling across North America and Europe, driving a 13.4% YoY revenue lift and a 21.7× P/E that reflects robust earnings growth. The company’s free‑cash‑flow of $297 m and a 32.3% ROE demonstrate that it is generating high returns on equity while funding buybacks, reinforcing the thesis that the business is a high‑quality compounder. The crux is that ExlService’s AI analytics stack is a locked‑in revenue engine that will continue to compound as insurers and banks adopt digital operations.
Moat. The moat lies in ExlService’s proprietary actuarial and risk‑analytics engine, which delivers end‑to‑end claims and policy servicing solutions to large insurance and banking clients. These clients face high switching costs because the platform integrates deeply with their legacy underwriting and billing systems, creating a data moat that competitors cannot replicate quickly. The result is a sustained pricing power that fuels the 32.3% ROE.
Risk. The bear case hinges on the company’s debt‑to‑equity of 0.57 and a P/E of 21.7, which suggests that market sentiment is already pricing in significant upside. If the 13.4% revenue growth stalls or if the AI platform faces stiff competition from larger tech incumbents, margins could compress and the 0.84 beta would amplify volatility. A sharp decline in revenue growth or a margin squeeze would immediately erode the 32.3% ROE and invalidate the buyback‑driven upside.
Horizon. 1-3 yr $40.13 (analyst consensus (n=8)) — fundamentals + valuation re-rating. 5 yr $58.75 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $87.15 if current growth sustains into durable earnings power.
11. CDNA — CareDx, Inc. · score 83.8
Diagnostics & Research · price $38.10 · 1Y $35.40 · 5Y $61.91 · 10Y $157.02
FCF $92m C- · Rev +34.4% A · D/E 0.08 B+ · P/S 4.3x B · PEG n/a
Why now. Diagnostics & Research · market cap $2.0b. 6% off the 52-week high of $40.47. Revenue growing +34% — in hypergrowth territory. 5 sell-side analysts rate this a Buy with a mean 1-yr target of $35.40 (implying -7% upside).
Moat. Net margin 24% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 26% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which.
Risk. Beta 2.43 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 $35.40 (analyst consensus (n=5)) — catalyst-driven; binary events dominate. 5 yr $61.91 — requires the platform / technology to reach commercial scale. 10 yr $157.02 — return distribution heavily skewed.
12. CARG — CarGurus, Inc. · score 83.4
Auto & Truck Dealerships · price $36.00 · 1Y $37.77 · 5Y $55.30 · 10Y $82.03
FCF $293m C · Rev +14.0% B+ · D/E 0.79 B · P/E 18.9x B+ · PEG 1.06 B+
Why now. Auto & Truck Dealerships · market cap $3.2b. 9% 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 $37.77 (implying +5% 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 $37.77 (analyst consensus (n=13)) — fundamentals + valuation re-rating. 5 yr $55.30 at ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $82.03 if current growth sustains into durable earnings power.
13. DXCM — DexCom, Inc. · score 82.9
Medical Devices · price $74.54 · 1Y $86.16 · 5Y $126.15 · 10Y $187.13
FCF $1.4b C+ · Rev +15.5% B+ · D/E 0.47 B · P/E 32.0x B · PEG 1.40 B
Why now. Medical Devices · market cap $28.8b. 14% off the 52-week high of $87.00. 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 $86.16 (implying +16% upside).
Moat. Net margin 20% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 38% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 141% 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 32x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $86.16 (analyst consensus (n=25)) — fundamentals + valuation re-rating. 5 yr $126.15 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $187.13 if current growth sustains into durable earnings power.
14. EPAM — EPAM Systems, Inc. · score 82.5
Information Technology Services · price $103.66 · 1Y $135.24 · 5Y $170.73 · 10Y $218.96
FCF $544m C+ · Rev +14.2% B+ · D/E 0.08 B+ · P/E 14.9x A- · PEG 0.49 A
Why now. Information Technology Services · market cap $5.4b. Down 53% from 52-week high of $222.53 — deep drawdown territory. Revenue growing +14%, comfortably above the S&P median. PEG 0.49 — paying under fair value for the growth rate. 17 sell-side analysts rate this a Buy with a mean 1-yr target of $135.24 (implying +30% 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 53% 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 $135.24 (analyst consensus (n=17)) — multiple re-rating thesis requires a catalyst. 5 yr $170.73 at ~10% CAGR — dividend + buyback compounding. 10 yr $218.96 if the moat survives secular pressure.
15. RMD — ResMed Inc. · score 82.5
Medical Instruments & Supplies · price $208.56 · 1Y $248.60 · 5Y $363.98 · 10Y $539.93
FCF $1.8b C+ · Rev +10.3% B · D/E 0.13 B+ · P/E 20.1x B+ · PEG 1.28 B
Why now. Medical Instruments & Supplies · market cap $30.3b. Down 29% from 52-week high of $293.81 — deep drawdown territory. Revenue growing +10%, comfortably above the S&P median. 15 sell-side analysts rate this a Buy with a mean 1-yr target of $248.60 (implying +19% 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 $248.60 (analyst consensus (n=15)) — fundamentals + valuation re-rating. 5 yr $363.98 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $539.93 if current growth sustains into durable earnings power.
16. META — Meta Platforms, Inc. · score 82.2
Internet Content & Information · price $539.03 · 1Y $778.68 · 5Y $983.07 · 10Y $1,261
FCF $48.3b A · Rev +26.2% A- · D/E 0.36 B+ · P/E 20.3x B · PEG 0.85 B+
Why now. Internet Content & Information · market cap $1.4T. Down 32% from 52-week high of $796.25 — deep drawdown territory. Revenue growing +26% — in hypergrowth territory. PEG 0.85 — paying under fair value for the growth rate. 57 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $778.68 (implying +44% 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. $1.4T 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 32% 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 $778.68 (analyst consensus (n=57)) — multiple re-rating thesis requires a catalyst. 5 yr $983.07 at ~13% CAGR — dividend + buyback compounding. 10 yr $1,261 if the moat survives secular pressure.
17. VEEV — Veeva Systems Inc. · score 81.8
Health Information Services · price $201.56 · 1Y $244.14 · 5Y $357.45 · 10Y $530.25
FCF $1.7b C+ · Rev +16.2% B+ · D/E 0.01 A- · P/E 35.8x C+ · PEG 0.94 B+
Why now. Health Information Services · market cap $32.7b. Down 35% from 52-week high of $310.50 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. PEG 0.94 — paying under fair value for the growth rate. 28 sell-side analysts rate this a Buy with a mean 1-yr target of $244.14 (implying +21% 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 35% 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 36x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $244.14 (analyst consensus (n=28)) — fundamentals + valuation re-rating. 5 yr $357.45 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $530.25 if current growth sustains into durable earnings power.
18. IT — Gartner, Inc. · score 81.5
Information Technology Services · price $152.92 · 1Y $160.38 · 5Y $202.48 · 10Y $259.68
FCF $1.3b C+ · Rev +2.3% C · D/E n/a · P/E 15.1x A- · PEG 0.72 A-
Why now. Information Technology Services · market cap $10.2b. Down 56% from 52-week high of $345.50 — deep drawdown territory. PEG 0.72 — paying under fair value for the growth rate. 13 sell-side analysts rate this a Hold with a mean 1-yr target of $160.38 (implying +5% 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 56% 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 $160.38 (analyst consensus (n=13)) — multiple re-rating thesis requires a catalyst. 5 yr $202.48 at ~6% CAGR — dividend + buyback compounding. 10 yr $259.68 if the moat survives secular pressure.
19. PRDO — Perdoceo Education Corporation · score 81.2
Education & Training Services · price $32.46 · 1Y $35.06 · 5Y $44.26 · 10Y $56.76
FCF $225m C · Rev +17.7% B+ · D/E 0.12 A- · P/E 12.4x A- · PEG 0.74 A-
Why now. Education & Training Services · market cap $2.0b. 16% off the 52-week high of $38.50. Revenue growing +18%, comfortably above the S&P median. PEG 0.74 — paying under fair value for the growth rate.
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 17% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 132% 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 $35.06 (structural (no analyst coverage)) — multiple re-rating thesis requires a catalyst. 5 yr $44.26 at ~6% CAGR — dividend + buyback compounding. 10 yr $56.76 if the moat survives secular pressure.
20. APP — AppLovin Corporation · score 79.8
Advertising Agencies · price $403.87 · 1Y $654.60 · 5Y $958.40 · 10Y $1,422
FCF $4.4b B · Rev +66.4% A · D/E 1.63 C · P/E 35.1x C+ · PEG 1.10 B+
Why now. Advertising Agencies · market cap $135.7b. Down 46% from 52-week high of $745.61 — deep drawdown territory. Revenue growing +66% — in hypergrowth territory. 30 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $654.60 (implying +62% upside).
Moat. Net margin 64% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. FCF converts 112% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined. $135.7b 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. Down 46% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 2.48 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 35x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $654.60 (analyst consensus (n=30)) — fundamentals + valuation re-rating. 5 yr $958.40 at ~19% CAGR — compounding case rests on the competitive position widening. 10 yr $1,422 if current growth sustains into durable earnings power.
21. DECK — Deckers Outdoor Corporation · score 79.6
Footwear & Accessories · price $99.69 · 1Y $122.81 · 5Y $155.04 · 10Y $198.84
FCF $1.1b C+ · Rev +7.9% B · D/E 0.21 A- · P/E 14.2x A- · PEG 1.21 B
Why now. Footwear & Accessories · market cap $13.6b. Down 21% from 52-week high of $125.45 — deep drawdown territory. 21 sell-side analysts rate this a Buy with a mean 1-yr target of $122.81 (implying +23% upside).
Moat. Net margin 18% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 44% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 110% 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 $122.81 (analyst consensus (n=21)) — multiple re-rating thesis requires a catalyst. 5 yr $155.04 at ~9% CAGR — dividend + buyback compounding. 10 yr $198.84 if the moat survives secular pressure.
22. MELI — MercadoLibre, Inc. · score 79.6
Internet Retail · price $1885.73 · 1Y $2,215 · 5Y $3,243 · 10Y $4,810
FCF $11.8b A- · Rev +36.4% A · D/E 1.70 C+ · P/E 49.8x C · PEG 1.15 B+
Why now. Internet Retail · market cap $95.6b. Down 26% from 52-week high of $2548.50 — deep drawdown territory. Revenue growing +36% — in hypergrowth territory. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $2,215 (implying +17% 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. $95.6b 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. Trailing P/E 50x 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 $2,215 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $3,243 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $4,810 if current growth sustains into durable earnings power.
23. FIVE — Five Below, Inc. · score 77.9
Specialty Retail · price $219.17 · 1Y $260.48 · 5Y $328.85 · 10Y $421.74
FCF $505m C+ · Rev +25.9% A- · D/E 0.86 B · P/E 27.6x C+ · PEG 0.98 B+
Why now. Specialty Retail · market cap $12.1b. 13% off the 52-week high of $251.63. Revenue growing +26% — in hypergrowth territory. 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 $260.48 (implying +19% 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 $260.48 (analyst consensus (n=21)) — multiple re-rating thesis requires a catalyst. 5 yr $328.85 at ~8% CAGR — dividend + buyback compounding. 10 yr $421.74 if the moat survives secular pressure.
24. CRDO — Credo Technology Group Holding Ltd · score 77.1
Semiconductors · price $201.08 · 1Y $279.29 · 5Y $408.90 · 10Y $606.58
FCF $407m C · Rev +205.7% A · D/E 0.01 A · P/E 80.4x C · PEG 0.39 A
Why now. Semiconductors · market cap $37.5b. Down 35% from 52-week high of $308.67 — deep drawdown territory. Revenue growing +206% — in hypergrowth territory. PEG 0.39 — paying under fair value for the growth rate. 19 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $279.29 (implying +39% upside).
Moat. Net margin 35% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 23% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. Semiconductor moat is process-design IP plus customer qualification timelines — once designed in, the company captures multiple product cycles before a competitor can displace.
Risk. Trailing P/E 80.4x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. 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. Beta 3.20 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 $279.29 (analyst consensus (n=19)) — fundamentals + valuation re-rating. 5 yr $408.90 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $606.58 if current growth sustains into durable earnings power.
25. VRT — Vertiv Holdings Co · score 77.1
Electrical Equipment & Parts · price $227.50 · 1Y $376.15 · 5Y $550.73 · 10Y $816.97
FCF $2.9b B · Rev +26.2% A- · D/E 0.68 B · P/E 51.5x C · PEG 1.35 B
Why now. Electrical Equipment & Parts · market cap $87.6b. Down 40% from 52-week high of $379.94 — deep drawdown territory. Revenue growing +26% — in hypergrowth territory. 26 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $376.15 (implying +65% upside).
Moat. Net margin 15% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 36% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 169% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Trailing P/E 51.5x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. 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.
Horizon. 1-3 yr $376.15 (analyst consensus (n=26)) — fundamentals + valuation re-rating. 5 yr $550.73 at ~19% CAGR — compounding case rests on the competitive position widening. 10 yr $816.97 if current growth sustains into durable earnings power.
26. CCK — Crown Holdings, Inc. · score 75.4
Packaging & Containers · price $118.37 · 1Y $136.57 · 5Y $172.42 · 10Y $221.12
FCF $1.2b C+ · Rev +10.3% B · D/E 1.80 C+ · P/E 17.0x B+ · PEG 0.64 A-
Why now. Packaging & Containers · market cap $12.9b. Trading near 52-week high of $121.90 — momentum setup, limited technical margin of safety. Revenue growing +10%, comfortably above the S&P median. PEG 0.64 — paying under fair value for the growth rate. 14 sell-side analysts rate this a Buy with a mean 1-yr target of $136.57 (implying +15% upside).
Moat. ROE 27% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 153% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. Trading within 3% of the 52-week high — limited technical margin of safety; a momentum reversal would test conviction.
Horizon. 1-3 yr $136.57 (analyst consensus (n=14)) — multiple re-rating thesis requires a catalyst. 5 yr $172.42 at ~8% CAGR — dividend + buyback compounding. 10 yr $221.12 if the moat survives secular pressure.
27. FISV — Fiserv, Inc. · score 75.3
Sector n/a · price $54.07 · 1Y $66.63 · 5Y $84.12 · 10Y $107.88
FCF $4.1b B · Rev +9.3% B · D/E n/a · P/E 9.2x A- · PEG 2.54 C
Why now. Sector n/a · market cap $28.8b. Down 62% from 52-week high of $141.38 — deep drawdown territory. 27 sell-side analysts rate this a Hold with a mean 1-yr target of $66.63 (implying +23% 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 62% 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 $66.63 (analyst consensus (n=27)) — multiple re-rating thesis requires a catalyst. 5 yr $84.12 at ~9% CAGR — dividend + buyback compounding. 10 yr $107.88 if the moat survives secular pressure.
28. EME — EMCOR Group, Inc. · score 74.9
Engineering & Construction · price $802.37 · 1Y $991.57 · 5Y $1,252 · 10Y $1,605
FCF $1.2b C+ · Rev +18.9% B+ · D/E 0.13 A- · P/E 26.9x B · PEG 0.36 A
Why now. Engineering & Construction · market cap $35.7b. 16% off the 52-week high of $951.96. Revenue growing +19%, comfortably above the S&P median. PEG 0.36 — paying under fair value for the growth rate. 7 sell-side analysts rate this a Buy with a mean 1-yr target of $991.57 (implying +24% 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 $991.57 (analyst consensus (n=7)) — multiple re-rating thesis requires a catalyst. 5 yr $1,252 at ~9% CAGR — dividend + buyback compounding. 10 yr $1,605 if the moat survives secular pressure.
29. YUMC — Yum China Holdings, Inc. · score 74
Restaurants · price $46.47 · 1Y $61.75 · 5Y $90.41 · 10Y $134.12
FCF $931m C+ · Rev +6.7% C+ · D/E 0.38 A- · P/E 17.8x B+ · PEG 1.15 B+
Why now. Restaurants · market cap $15.9b. Down 20% 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 $61.75 (implying +33% 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 $61.75 (analyst consensus (n=21)) — fundamentals + valuation re-rating. 5 yr $90.41 at ~14% CAGR — compounding case rests on the competitive position widening. 10 yr $134.12 if current growth sustains into durable earnings power.
30. VST — Vistra Corp. · score 73.5
Utilities - Independent Power Producers · price $148.62 · 1Y $221.94 · 5Y $280.20 · 10Y $359.35
FCF $1.8b C+ · Rev +15.7% B+ · D/E 3.67 D · P/E 24.9x C · PEG 0.41 A
Why now. Utilities - Independent Power Producers · market cap $50.1b. Down 32% from 52-week high of $219.82 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. PEG 0.41 — paying under fair value for the growth rate. 18 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $221.94 (implying +49% 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. $50.1b 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 3.67 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. 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 1.41 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 $221.94 (analyst consensus (n=18)) — multiple re-rating thesis requires a catalyst. 5 yr $280.20 at ~14% CAGR — dividend + buyback compounding. 10 yr $359.35 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.