This refresh
Data-driven refresh August 1, 2026. The Top Picks are the Bull Rankings quality-growth screen — strong, growing businesses with durable returns at a fair price (PEG / EV-EBIT vs sector, ROIC, free cash flow). Scanned every US-listed common stock on NYSE, NASDAQ, NYSE American, and NYSE Arca (5,229 tickers); 1,766 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 90.7
Health Information Services · price $20.91 · 1Y $24.61 · 5Y $36.03 · 10Y $53.45
FCF $326m C · Rev +13.1% B+ · D/E 0.01 A · P/E 21.3x B+ · PEG 0.59 A-
Why now. DOCS’s AI‑powered workflow tool Ask is turning the Doximity platform into a clinical‑decision hub, locking in physician usage and expanding high‑margin ad and sponsorship revenue. The business is delivering 13.1% YoY revenue growth, a 30.4% profit margin, and a PEG of 0.59, all while trading at a modest PE of 21.3x—a rare combination in health‑information services. The Bull Rankings model flags Growth as its strongest pillar (93), meaning the compounding engine is real, and the thesis rests on Ask’s continued adoption fueling that compounding.
Moat. The platform’s network effect is anchored in its exclusive, HIPAA‑compliant AI assistant Ask and the Scribe workflow suite, which only physicians can access, creating high switching costs. With a ROE of 20.6% driven by pricing power in a captive U.S. medical‑professional audience, competitors cannot quickly replicate the deep integration of clinical content, peer updates, and sponsored pharma messaging that Doximity uniquely bundles.
Risk. The stock is priced for near‑term optimism: a reverse‑DCF shows the current $20.91 price implies only ~2% annual free‑cash‑flow growth for the next decade, far below the 13.1% revenue growth rate, suggesting the market is already betting on aggressive expansion. A high beta of 1.29 and a PE of 21.3x leave little margin for a slowdown, and any slowdown in Ask adoption or a shift in pharma ad spend could push the valuation back toward its 52‑week low of $17.15. A breach of the 52‑week low would confirm the bear case.
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 $250.41 · 1Y $269.61 · 5Y $394.73 · 10Y $585.56
FCF $10.3b A- · Rev +11.5% B · D/E 0.61 C+ · P/E 14.3x A- · PEG 0.72 A-
Why now. Adobe’s Digital Experience platform is capturing the growing demand for end‑to‑end customer‑experience solutions, driving a 11.5% YoY revenue lift and a 28.7% profit margin that fuels a 62.8% ROE—our model’s 88.8/100 quality score, anchored by the strongest pillar of Quality, shows the business is a high‑quality compounder. The company’s free cash flow of $10.3 b and a debt‑to‑equity of 0.61 support aggressive share buybacks, keeping the share count tight and earnings per share growing. With a P/E of 14.3 and a PEG of 0.72, the market is already pricing in near‑zero free‑cash‑flow growth over ten years, yet Adobe’s actual revenue growth far exceeds that implied rate, making the current price a bargain for a sustained growth story.
Moat. Adobe’s Digital Experience segment delivers an integrated platform that spans analytics, commerce, and monetization, creating high switching costs for marketers who rely on seamless data flow across campaigns. The platform’s network effect—where each new customer adds value to the analytics engine—makes it difficult for competitors to replicate the depth of insight without a comparable ecosystem. Coupled with a 62.8% ROE, the pricing power from leading position in enterprise customer‑experience software protects margins and fuels reinvestment.
Risk. Adobe’s beta of 1.43 signals higher volatility than the market, and the 14.3 P/E indicates the stock is already priced with a 0% free‑cash‑flow growth assumption; any slowdown in the Digital Experience demand or a margin squeeze could invalidate the bullish thesis. A sharp decline in the 11.5% revenue growth or a rise in debt‑to‑equity beyond 0.61 would trigger a re‑evaluation of the company’s valuation and could break the current upside case.
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. PGY — Pagaya Technologies Ltd. · score 88.5
Software - Infrastructure · price $19.27 · 1Y $26.60 · 5Y $38.95 · 10Y $57.77
FCF $252m C · Rev +25.6% A- · D/E 1.34 C · P/E 13.7x A- · PEG 0.04 A
Why now. Pagaya’s Decline Monetization engine is unlocking a hidden $‑billion loan pipeline in the U.S. consumer finance market, driving a 25.6% YoY revenue growth while delivering a 9.1% profit margin and a 19.5% ROE. Coupled with a PE of 13.7x and a PEG of 0.04, the business compounds earnings faster than peers, and the bull case hinges on scaling this AI‑driven underwriting moat to capture more rejected applications.
Moat. The moat lives in Pagaya’s proprietary AI platform that powers Decline Monetization, Dual Look and First Look, creating a data‑rich network that banks and fintechs cannot replace without rebuilding costly models. This lock‑in yields a ROE of 19.5%, reflecting pricing power from being the go‑to partner for turning declined loans into revenue, and the high‑beta exposure underscores the market’s belief in its unique, hard‑to‑copy technology stack.
Risk. The biggest headwind is the extreme beta of 5.34 and a debt‑to‑equity of 1.34, meaning any market shock or financing squeeze could erode the thin margin cushion, while the reverse‑DCF shows the current price embeds a -17% annual FCF growth assumption that is unrealistic versus the 25.6% revenue growth, signaling that a sustained slowdown would crush the valuation. A breach of the 52‑week low at $10.4 would confirm the bear case.
Horizon. 1-3 yr $26.60 (analyst consensus (n=10)) — fundamentals + valuation re-rating. 5 yr $38.95 at ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $57.77 if current growth sustains into durable earnings power.
4. DLO — DLocal Limited · score 88.4
Software - Infrastructure · price $15.08 · 1Y $18.05 · 5Y $26.43 · 10Y $39.20
FCF $413m C · Rev +46.6% A · D/E 0.20 B+ · P/E 23.6x B+ · PEG 0.51 A-
Why now. DLocal’s cross‑border pay‑in platform for merchants in commerce, streaming and ride‑hailing is fueling a 46.6% YoY revenue growth, translating into a 34.6% ROE and a robust $413 m free‑cash‑flow run‑rate — a rare combination in a growth‑stage software infra play. The compounding engine is the expanding global APM suite that locks merchants into a single payout solution, ensuring revenue keeps accelerating as digital commerce deepens worldwide. The thesis rests on that relentless revenue‑growth runway.
Moat. The moat lies in DLocal’s end‑to‑end platform that aggregates hundreds of local payment methods, creating high switching costs for merchants who need to support dozens of currencies and regulations across emerging markets. This breadth lets DLocal command pricing power, which is reflected in its sector‑beating 34.6% ROE, and the platform’s data network makes it hard for new entrants to replicate the localized connections quickly.
Risk. The bear case centers on the premium valuation: a forward P/E of 23.6x already prices in continued 46% revenue expansion, yet the reverse DCF shows the market assuming a negative 6% FCF growth over the next decade, a mismatch that could unwind if growth slows or margins compress. Additionally, the model flags shareholder dilution, meaning new equity could erode ownership and push the stock toward its low‑52‑week level of $10.11. A sustained slowdown in cross‑border spend would confirm the downside.
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.
5. NBIX — Neurocrine Biosciences, Inc. · score 87.4
Drug Manufacturers - Specialty & Generic · price $166.80 · 1Y $202.39 · 5Y $296.33 · 10Y $439.58
FCF $870m C+ · Rev +34.4% A · D/E 0.11 B+ · P/E 24.4x B+ · PEG 0.51 A-
Why now. NBIX is poised to dominate the high‑margin specialty endocrine market thanks to Orilissa and Oriahnn, whose combined U.S. sales are fueling a 34.4% YoY revenue surge and a 20.9% profit margin. The Bull Rankings model awards a Growth pillar of 100, reflecting that the business can keep compounding on its $870 M free‑cash‑flow base while the market still values it at a modest PE of 24.4x. The thesis hinges on sustained double‑digit revenue growth from these differentiated therapies, which will keep the free‑cash‑flow runway expanding for the next decade.
Moat. NBIX’s moat rests on FDA‑approved, niche‑indication drugs—INGREZZA for tardive dyskinesia and Orilissa for endometriosis—that face high switching costs because patients and neurologists/gynecologists rely on proven efficacy and limited alternatives. The company’s ROE of 19.1% stems from pricing power in these orphan‑type markets, where insurers and providers accept premium pricing for unique mechanisms of action, reinforcing cash generation and limiting competitive encroachment.
Risk. The bear case centers on the concentration risk of NBIX’s pipeline; a setback in any late‑stage candidate like NBI‑1076986 could stall growth, while the current PE of 24.4x is already elevated for a specialty biotech, implying the market has priced in continued acceleration. A miss on next‑year revenue growth—dropping below the 34.4% trajectory—would force the valuation down, and a rise in debt‑to‑equity above the current low 0.11 would erode the balance‑sheet advantage. The key trigger would be a negative Phase III readout that forces a revision of the growth assumptions.
Horizon. 1-3 yr $202.39 (analyst consensus (n=27)) — fundamentals + valuation re-rating. 5 yr $296.33 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $439.58 if current growth sustains into durable earnings power.
6. LRN — Stride, Inc. · score 87.3
Education & Training Services · price $80.29 · 1Y $92.33 · 5Y $135.19 · 10Y $200.54
FCF $414m C · Rev +10.9% B · D/E 0.33 A- · P/E 12.6x A- · PEG 0.55 A-
Why now. Stride is compounding cash into capital discipline: free cash flow of $414m on a $3.4b market cap is a 12% yield, and the company is directing every dollar into buybacks rather than dilutive growth projects. Revenue growth of 10.9% is accelerating into a K-12 virtual school TAM that’s expanding as states mandate online options, and our model’s Quality-growth score of 87.3 (with Growth at 89) confirms the engine is intact. The crux: management’s capital allocation turns a growth stock into a compounder without the usual reinvestment drag.
Moat. The moat is the integrated stack: Stride bundles proprietary curriculum, enrollment software, and progress tracking into a single platform that public schools can’t replicate internally without years of capex and regulatory approvals. ROE of 18.8% is underpinned by pricing power in the virtual public school segment, where Stride’s market share in states like Arizona and Ohio locks in recurring per-pupil funding streams that competitors can’t undercut. Switching costs are high—districts would forfeit years of historical student data if they bolted to a rival.
Risk. The bear case is execution risk in the supplemental products segment, where margins are thin and competition from Khan Academy and ed-tech upstarts is intensifying—if growth in this line stalls, the 12.6x P/E starts to look rich. The signal that would break the bull thesis: a deceleration in blended revenue growth below 8% YoY while capex ticks up, proving the buyback program is masking underlying margin pressure.
Horizon. 1-3 yr $92.33 (structural (no analyst coverage)) — fundamentals + valuation re-rating. 5 yr $135.19 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $200.54 if current growth sustains into durable earnings power.
7. NVDA — NVIDIA Corporation · score 86.5
Semiconductors · price $200.75 · 1Y $302.83 · 5Y $443.37 · 10Y $657.71
FCF $119.1b A · Rev +70.7% A · D/E 0.07 A- · P/E 30.8x B · PEG 0.52 A-
Why now. NVIDIA’s Compute & Networking segment is cementing its monopoly on data‑center AI infrastructure, and that runway fuels relentless compounding. The business is delivering 70.7% YoY revenue growth, a 63% profit margin and an eye‑popping 81.7% ROE, all while the market still values the stock at a modest PE of 30.8 and a PEG of 0.52. The thesis rests on the AI accelerator moat continuing to expand as enterprises double‑down on generative AI workloads.
Moat. NVIDIA’s AI‑accelerated GPUs and networking platforms lock in customers through massive software ecosystems and performance‑leadership that rivals cannot match without years of R&D, creating switching costs that protect its pricing power and drive the 81.7% ROE. The Compute & Networking segment’s data‑center solutions are the de‑facto standard for training large models, giving NVIDIA a durable edge in a market that scales faster than any competitor can replicate.
Risk. The stock trades at a high beta of 2.21 and a PE of 30.8, implying the market already prices in aggressive growth; a slowdown in data‑center spend or a surprise dip in the 70.7% revenue growth would expose the valuation gap. If the reverse‑DCF implied 47% free‑cash‑flow growth proves unattainable, the price could collapse toward the 52‑week low of $164.07, confirming the bear case.
Horizon. 1-3 yr $302.83 (analyst consensus (n=58)) — fundamentals + valuation re-rating. 5 yr $443.37 at ~17% CAGR — compounding case rests on the competitive position widening. 10 yr $657.71 if current growth sustains into durable earnings power.
8. HRMY — Harmony Biosciences Holdings, Inc. · score 85.5
Biotechnology · price $35.24 · 1Y $45.40 · 5Y $66.47 · 10Y $98.60
FCF $342m C · Rev +20.7% A- · D/E 0.18 B+ · P/E 14.2x A- · PEG 0.66 A-
Why now. HRMY’s commercial-stage narcolepsy drug WAKIX, a novel treatment for excessive daytime sleepiness, is driving robust financial performance, with 20.7% revenue growth and a solid 16.2% profit margin giving the business real compounding power. The stock trades at a modest PE of 14.2, which, when compared to the implied -19%/yr free-cash-flow growth from our reverse-DCF, suggests significant market pessimism is already priced in. The bull case rests on the Growth pillar of our Bull Rankings model (85.5/100 overall, strongest pillar = Growth) and the continued rollout of Phase 3 Pitolisant for Prader‑Willi Syndrome, which should lift revenue compounding for the next decade.
Moat. WAKIX’s novel mechanism of action and FDA‑approved status create a high barrier to entry in the rare‑neurology space, locking in neurologists and sleep‑disorder specialists who face steep regulatory hurdles to replicate the therapy. The company’s ROE of 16% reflects pricing power from being the sole U.S. commercial provider for narcolepsy daytime‑sleepiness treatment, and its low debt‑to‑equity of 0.18 lets it reinvest cash into pipeline expansion without dilution.
Risk. The bear case hinges on the Phase 2/3 pipeline lagging or failing, which would strip away the growth catalyst and leave HRMY reliant on a single product line; the stock’s PE of 14.2 is already elevated for a biotech with limited diversification, and any margin compression would quickly erode the 16.2% profit margin. A missed regulatory milestone or a competitor launching a comparable orexin‑receptor antagonist would force the price down toward the 52‑week low of $25.52.
Horizon. 1-3 yr $45.40 (analyst consensus (n=10)) — fundamentals + valuation re-rating. 5 yr $66.47 at ~14% CAGR — compounding case rests on the competitive position widening. 10 yr $98.60 if current growth sustains into durable earnings power.
9. TTD — The Trade Desk, Inc. · score 85.4
Advertising Agencies · price $18.04 · 1Y $24.32 · 5Y $35.61 · 10Y $52.82
FCF $842m C+ · Rev +15.5% B+ · D/E 0.17 A- · P/E 20.5x B · PEG 0.91 B+
Why now. The Trade Desk’s dominance in programmatic CTV advertising fuels a compounding engine: revenue is expanding 15.5% YoY, translating into a healthy 14.6% profit margin and free cash flow of $842 m. With a market‑cap of $8.5 b and a PEG of 0.91, the stock trades at a modest multiple for a growth‑grade business, and our model’s strongest pillar—Growth (93)—confirms the runway. The thesis rests on continued CTV adoption outpacing traditional video, which should keep the growth momentum alive.
Moat. TTD’s platform locks in advertising agencies and brands through a data‑rich, cross‑device buying stack that is hard to replicate, creating high switching costs. The 17.6% ROE reflects pricing power derived from its category‑leadership in CTV and video inventory, while the 0.17 debt‑to‑equity ratio gives it financial flexibility to reinvest in product innovation.
Risk. The stock’s valuation is stretched: a forward P/E of 20.5 assumes a sustained free‑cash‑flow growth of –5% per year over the next decade, far below the actual 15.5% revenue growth rate, indicating that investors are pricing in aggressive optimism. A slowdown in CTV spend or a shift to competing platforms would force the multiple down, and 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 ~15% CAGR — compounding case rests on the competitive position widening. 10 yr $52.82 if current growth sustains into durable earnings power.
10. ADMA — ADMA Biologics, Inc. · score 84.9
Biotechnology · price $8.46 · 1Y $17.00 · 5Y $24.89 · 10Y $36.92
FCF $108m C · Rev +11.0% B · D/E 1.11 C · P/E 12.4x A · PEG 0.63 A-
Why now. The Bull Rankings model flags ADMA’s strongest pillar – Growth – as the engine, and the catalyst is the expanding demand for its flagship IVIGs, BIVIGAM and ASCENIV, which serve the ever‑growing primary humoral immunodeficiency market. The business is already delivering 32.4% profit margin, 42.4% ROE and 11% YoY revenue growth, while a cheap PE of 12.4x and PEG of 0.63 suggest the market is under‑pricing that compounding profit stream. The thesis rests on the ability of these high‑margin biologics to compound earnings at double‑digit rates as the PI patient base expands.
Moat. ADMA’s moat comes from its vertically integrated plasma collection network and the proprietary plasma‑derived manufacturing process that underpins BIVIGAM, ASCENIV and Nabi‑HB. This infrastructure creates high switching costs for hospitals and insurers, and the premium pricing it commands translates into the observed 42.4% ROE, a return that rivals the best specialty biologics peers and cannot be quickly replicated by newcomers without massive collection and purification capacity.
Risk. The bear case centers on the price already assuming aggressive future cash‑flow growth: the reverse‑DCF implies only ~2% annual FCF growth, far below the current 11% revenue growth, meaning any slowdown or margin compression would expose the stock to a valuation gap. Additionally, a debt‑to‑equity of 1.11 adds financial leverage risk if cash conversion falters. A sustained slowdown in plasma donations or a successful competitor’s generic IVIG would trigger the implied growth assumption to unwind and could push the share price back toward its 52‑week low of $7.21.
Horizon. 1-3 yr $17.00 (analyst consensus (n=5)) — fundamentals + valuation re-rating. 5 yr $24.89 at ~24% CAGR — compounding case rests on the competitive position widening. 10 yr $36.92 if current growth sustains into durable earnings power.
11. CARG — CarGurus, Inc. · score 82.6
Auto & Truck Dealerships · price $36.24 · 1Y $37.77 · 5Y $55.30 · 10Y $82.03
FCF $293m C · Rev +14.0% B+ · D/E 0.79 B · P/E 19.1x B+ · PEG 1.13 B+
Why now. CarGurus’ Digital Deal platform is turning its massive shopper audience into a high‑margin, repeat‑purchase engine, and that engine is humming at 15.9% profit margin, 14% revenue growth YoY, and a stellar ROE of 62.9%. The Bull Rankings model rates its Quality at 87 — the highest pillar — confirming the moat of its integrated dealer subscription and advertising ecosystem, while the stock trades at a modest PE of 19.1x versus peers, leaving upside for the growth‑focused buyer. The thesis hinges on Digital Deal expanding its share of online‑first car purchases, compounding earnings at the current growth rate.
Moat. The moat lives in CarGurus’ network‑effect marketplace: dealers pay subscription fees to access a captive audience, while shoppers rely on the platform’s pricing algorithm and Digital Deal to start purchases online, creating switching costs for both sides. This dual‑sided lock‑in fuels the 62.9% ROE, as pricing power stems from being the primary conduit between millions of buyers and a nationwide dealer network.
Risk. The bear case centers on the elevated valuation — a PE of 19.1x on a 15.9% margin implies a forward earnings yield under 2%, and the Bull Rankings reverse‑DCF shows the price assumes a negative 1% annual free‑cash‑flow growth, far below the 14% revenue expansion, meaning any slowdown would crush the upside. A dip in dealer subscription spend or a shift to competing platforms would push the PE toward sector averages and validate the over‑optimistic pricing.
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.
12. EXLS — ExlService Holdings, Inc. · score 82.6
Information Technology Services · price $33.93 · 1Y $43.50 · 5Y $63.69 · 10Y $94.48
FCF $297m C · Rev +13.4% B+ · D/E 0.57 B · P/E 21.5x B+ · PEG 1.15 B+
Why now. ExlService’s AI‑driven claims management platform is scaling across North America and Europe, driving a 13.4% YoY revenue lift while maintaining an 11.7% profit margin and a 32.3% ROE—figures that underscore a high‑quality growth engine. The company’s $297 M free‑cash‑flow, coupled with a 0.57 debt‑to‑equity ratio, gives it the financial muscle to fuel buybacks and reinvest in AI tooling, sustaining the 91‑point Growth pillar of our model. The upside hinges on the continued expansion of its insurance‑sector analytics suite, which is already capturing a growing share of premium and benefit administration work.
Moat. ExlService’s moat is its proprietary AI analytics stack that powers end‑to‑end claims processing for insurers, a solution that delivers measurable cost savings and faster turnaround for a highly regulated customer base. The platform’s integration into agency management and policy servicing workflows creates significant switching costs, as insurers rely on the same data feeds and compliance checks that ExlService controls. This entrenched technology stack, combined with a 32.3% ROE, signals that competitors cannot replicate the same efficiency gains quickly.
Risk. The bear case rests on the risk that the insurance market’s digital transformation could slow, eroding the 13.4% revenue growth rate. A 21.5 P/E multiple—well above the sector average—means any slowdown in claims volume or margin compression could trigger a sharp price correction. If the company’s debt‑to‑equity climbs beyond 0.57 or if its beta rises above 0.84, investors may reassess the sustainability of its high returns.
Horizon. 1-3 yr $43.50 (analyst consensus (n=8)) — fundamentals + valuation re-rating. 5 yr $63.69 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $94.48 if current growth sustains into durable earnings power.
13. RMD — ResMed Inc. · score 82.6
Medical Instruments & Supplies · price $210.98 · 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 $30.6b. Down 28% 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 +18% 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.
14. EPAM — EPAM Systems, Inc. · score 82
Information Technology Services · price $105.56 · 1Y $135.24 · 5Y $170.73 · 10Y $218.96
FCF $544m C+ · Rev +14.2% B+ · D/E 0.08 B+ · P/E 15.2x A- · PEG 0.55 A-
Why now. Information Technology Services · market cap $5.5b. Down 53% from 52-week high of $222.53 — deep drawdown territory. Revenue growing +14%, comfortably above the S&P median. PEG 0.55 — 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 +28% 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. VEEV — Veeva Systems Inc. · score 81.6
Health Information Services · price $203.78 · 1Y $244.14 · 5Y $357.45 · 10Y $530.25
FCF $1.7b C+ · Rev +16.2% B+ · D/E 0.01 A- · P/E 35.7x C+ · PEG 0.94 B+
Why now. Health Information Services · market cap $33.1b. Down 34% 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 +20% 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 34% 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.
16. IT — Gartner, Inc. · score 81.5
Information Technology Services · price $151.02 · 1Y $160.38 · 5Y $202.48 · 10Y $259.68
FCF $1.3b C+ · Rev +2.3% C · D/E n/a · P/E 14.9x A- · PEG 0.72 A-
Why now. Information Technology Services · market cap $10.1b. Down 55% from 52-week high of $337.29 — 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 +6% 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 55% 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.
17. META — Meta Platforms, Inc. · score 81.3
Internet Content & Information · price $556.71 · 1Y $824.68 · 5Y $1,041 · 10Y $1,335
FCF $48.3b A · Rev +26.2% A- · D/E 0.43 B+ · P/E 21.0x B · PEG 0.87 B+
Why now. Internet Content & Information · market cap $1.4T. Down 30% from 52-week high of $796.25 — deep drawdown territory. Revenue growing +26% — in hypergrowth territory. PEG 0.87 — paying under fair value for the growth rate. 57 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $824.68 (implying +48% 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 30% 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 $824.68 (analyst consensus (n=57)) — multiple re-rating thesis requires a catalyst. 5 yr $1,041 at ~13% CAGR — dividend + buyback compounding. 10 yr $1,335 if the moat survives secular pressure.
18. DECK — Deckers Outdoor Corporation · score 80.3
Footwear & Accessories · price $96.88 · 1Y $122.81 · 5Y $155.04 · 10Y $198.84
FCF $1.1b C+ · Rev +7.9% B · D/E 0.21 A- · P/E 13.8x A- · PEG 1.28 B
Why now. Footwear & Accessories · market cap $13.2b. Down 23% 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 +27% 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 ~10% CAGR — dividend + buyback compounding. 10 yr $198.84 if the moat survives secular pressure.
19. DXCM — DexCom, Inc. · score 80.2
Medical Devices · price $83.45 · 1Y $86.16 · 5Y $126.15 · 10Y $187.13
FCF $1.4b C+ · Rev +15.5% B+ · D/E 0.53 C+ · P/E 33.0x B · PEG 1.40 B
Why now. Medical Devices · market cap $31.5b. Trading near 52-week high of $84.70 — momentum setup, limited technical margin of safety. 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 +3% 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. Trading within 1% of the 52-week high — limited technical margin of safety; a momentum reversal would test conviction. 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 33x 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 ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $187.13 if current growth sustains into durable earnings power.
20. APP — AppLovin Corporation · score 80
Advertising Agencies · price $395.90 · 1Y $654.60 · 5Y $958.40 · 10Y $1,422
FCF $4.4b B · Rev +66.4% A · D/E 1.63 C · P/E 34.5x C+ · PEG 1.10 B+
Why now. Advertising Agencies · market cap $133.0b. Down 47% 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 +65% 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. $133.0b 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 47% 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 34x 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. MELI — MercadoLibre, Inc. · score 79.6
Internet Retail · price $1877.95 · 1Y $2,215 · 5Y $3,243 · 10Y $4,810
FCF $11.8b A- · Rev +36.4% A · D/E 1.70 C+ · P/E 49.5x C · PEG 1.15 B+
Why now. Internet Retail · market cap $95.2b. 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 +18% 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. $95.2b 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 ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $4,810 if current growth sustains into durable earnings power.
22. MU — Micron Technology, Inc. · score 78.9
Semiconductors · price $823.03 · 1Y $1,507 · 5Y $1,903 · 10Y $2,441
FCF $26.2b A · Rev +167.0% A · D/E 0.06 A- · P/E 18.6x A- · PEG 0.11 A
Why now. Semiconductors · market cap $929.5b. Down 34% from 52-week high of $1255.00 — deep drawdown territory. Revenue growing +167% — in hypergrowth territory. PEG 0.11 — paying under fair value for the growth rate. 42 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $1,507 (implying +83% upside).
Moat. Net margin 56% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 50% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $929.5b 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 34% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 2.14 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. P/S 10.3x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard.
Horizon. 1-3 yr $1,507 (analyst consensus (n=42)) — multiple re-rating thesis requires a catalyst. 5 yr $1,903 at ~18% CAGR — dividend + buyback compounding. 10 yr $2,441 if the moat survives secular pressure.
23. PODD — Insulet Corporation · score 78.9
Medical Devices · price $165.35 · 1Y $235.54 · 5Y $344.86 · 10Y $511.57
FCF $416m C · Rev +31.9% A · D/E 0.78 C+ · P/E 38.6x C+ · PEG 1.51 C+
Why now. Medical Devices · market cap $11.5b. Down 53% from 52-week high of $354.88 — deep drawdown territory. Revenue growing +32% — in hypergrowth territory. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $235.54 (implying +42% 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 53% 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 39x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon. 1-3 yr $235.54 (analyst consensus (n=24)) — fundamentals + valuation re-rating. 5 yr $344.86 at ~16% CAGR — compounding case rests on the competitive position widening. 10 yr $511.57 if current growth sustains into durable earnings power.
24. VRT — Vertiv Holdings Co · score 78.1
Electrical Equipment & Parts · price $241.57 · 1Y $344.19 · 5Y $503.93 · 10Y $747.55
FCF $2.9b B · Rev +26.2% A- · D/E 0.70 B · P/E 54.7x C · PEG 1.12 B+
Why now. Electrical Equipment & Parts · market cap $93.0b. Down 36% 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 $344.19 (implying +42% 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 54.7x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. 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. Beta 2.03 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 $344.19 (analyst consensus (n=26)) — fundamentals + valuation re-rating. 5 yr $503.93 at ~16% CAGR — compounding case rests on the competitive position widening. 10 yr $747.55 if current growth sustains into durable earnings power.
25. FIVE — Five Below, Inc. · score 77.9
Specialty Retail · price $217.13 · 1Y $260.48 · 5Y $328.85 · 10Y $421.74
FCF $505m C+ · Rev +25.9% A- · D/E 0.86 B · P/E 27.4x C+ · PEG 0.98 B+
Why now. Specialty Retail · market cap $12.0b. 14% 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 +20% 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 ~9% CAGR — dividend + buyback compounding. 10 yr $421.74 if the moat survives secular pressure.
26. FISV — Fiserv, Inc. · score 75.3
Sector n/a · price $53.94 · 1Y $66.63 · 5Y $84.12 · 10Y $107.88
FCF $4.1b B · Rev +9.3% B · D/E n/a · P/E 9.1x A- · PEG 2.54 C
Why now. Sector n/a · market cap $28.8b. Down 62% from 52-week high of $140.42 — deep drawdown territory. 27 sell-side analysts rate this a Hold with a mean 1-yr target of $66.63 (implying +24% 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.
27. CCK — Crown Holdings, Inc. · score 75.2
Packaging & Containers · price $117.85 · 1Y $136.57 · 5Y $172.42 · 10Y $221.12
FCF $1.2b C+ · Rev +10.3% B · D/E 1.86 C+ · P/E 17.0x B+ · PEG 0.64 A-
Why now. Packaging & Containers · market cap $12.8b. 3% off the 52-week high of $121.90. 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 +16% 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. 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 $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.
28. EME — EMCOR Group, Inc. · score 74.9
Engineering & Construction · price $797.43 · 1Y $1,000 · 5Y $1,263 · 10Y $1,619
FCF $1.2b C+ · Rev +18.9% B+ · D/E 0.13 A- · P/E 24.8x B+ · PEG 0.36 A
Why now. Engineering & Construction · market cap $35.2b. 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 $1,000 (implying +25% upside).
Moat. ROE 35% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which.
Risk. Value re-rating depends on a catalyst. Without one — analyst day, divestiture, margin recovery, capital return — the stock can stay cheap on these multiples for years.
Horizon. 1-3 yr $1,000 (analyst consensus (n=7)) — multiple re-rating thesis requires a catalyst. 5 yr $1,263 at ~10% CAGR — dividend + buyback compounding. 10 yr $1,619 if the moat survives secular pressure.
29. DEO — Diageo plc · score 74
Beverages - Wineries & Distilleries · price $88.06 · 1Y $101.43 · 5Y $148.50 · 10Y $220.29
FCF n/a · Rev +4.8% C+ · D/E 1.77 C · P/E 20.4x B · PEG 0.87 B+
Why now. Beverages - Wineries & Distilleries · market cap $49.0b. Down 24% from 52-week high of $116.41 — deep drawdown territory. PEG 0.87 — paying under fair value for the growth rate. 7 sell-side analysts rate this a Buy with a mean 1-yr target of $101.43 (implying +15% 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. 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 $101.43 (analyst consensus (n=7)) — fundamentals + valuation re-rating. 5 yr $148.50 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $220.29 if current growth sustains into durable earnings power.
30. IR — Ingersoll Rand Inc. · score 73.7
Specialty Industrial Machinery · price $83.38 · 1Y $93.64 · 5Y $137.10 · 10Y $203.37
FCF $1.2b C+ · Rev +7.8% B · D/E 0.47 B+ · P/E 34.5x C+ · PEG 0.81 B+
Why now. Specialty Industrial Machinery · market cap $32.6b. 17% off the 52-week high of $100.96. PEG 0.81 — paying under fair value for the growth rate. 13 sell-side analysts rate this a Buy with a mean 1-yr target of $93.64 (implying +12% 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. FCF converts 127% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk. 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 $93.64 (analyst consensus (n=13)) — fundamentals + valuation re-rating. 5 yr $137.10 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $203.37 if current growth sustains into durable earnings power.
Methodology footnote
Every pick on this list comes out of the same quality-growth model — one 0–100 score blending quality, growth, and value — applied to every US-listed common stock with a market cap above $1B. Each pick's score breakdown is auditable from the home page — click the ticker on the rankings page to see exactly which grades produced the number. Not investment advice. See terms for full disclosures.