To The Moon

One of the best things about the stock market? There are thousands of great businesses you’ve probably never heard of. Take $First Cash(FCFS)$ . I only came across it recently, and it’s a perfect reminder of why investors should keep digging beyond the usual mega-cap names. 📈 Dividend growth has been remarkably consistent 💰 Earnings have continued to compound 🚀 The share price has delivered strong long-term appreciation And the business is still executing. FirstCash reported 29% revenue growth and 58% GAAP EPS growth in Q2 2026, while also raising capital returns through a new $150M buyback authorization. This is why I love researching stocks. You don’t need to find the next $NVDA. Sometimes the best opportunities are hiding in companies most of t

One of the best ways to find great businesses isn’t to ask: “Who has the biggest market share?” Ask this instead: “What happens if customers can’t use them?” 👀 That’s where the real monopolies and oligopolies show up. 🏰 MONOPOLIES / NEAR-MONOPOLIES $ASML Holding NV(ASML)$ — EUV lithography$Taiwan Semiconductor Manufacturing(TSM)$ — advanced semiconductor manufacturing$VeriSign(VRSN)$ — .com domain registry$CoStar(CSGP)$ — U.S. commercial real estate data$Fair Isaac(FICO)$ — credit scoring$CME Group Inc(CME)$ — futures & derivatives in

When I look at $MSCI Inc(MSCI)$ , three things stand out. First, it’s a great company with strong financial metrics. Second, the valuation looks attractive. And third, the stock price has basically gone nowhere for five years. 🤔 That combination is what makes $MSCI interesting. Because if the business looks good and the valuation looks reasonable, why hasn’t the stock gone anywhere? There are really two possibilities. 👉 The market is right. Future profitability and business quality could deteriorate, and the current valuation is already pricing in what looks like an attractive setup. 👉 The market is wrong. Investors may be underestimating how strong MSCI’s profitability and business quality can remain in the future. If it’s the second one, there’s

Nearly every great long-term investor seems to own at least one of these six companies: $Alphabet(GOOG)$ $Alphabet(GOOGL)$ $Microsoft(MSFT)$ $Moody's(MCO)$ $S&P Global(SPGI)$ $MasterCard(MA)$ $Visa(V)$ There is a clear common thread: high-quality businesses with strong competitive moats, recurring revenue, pricing power, high returns on capital and relatively asset-light business models. And importantly, this is not simply an AI basket. You have AI/cloud exposure through Microsoft and Alphabet,

Revenue growth is only the first step. The real compounding happens when a company can turn higher revenue into even faster FCF growth, and then turn that FCF growth into even faster FCF per share growth. 📈 That is where three powerful forces come together: Margin expansion + Buybacks + Multiple contraction A company doesn't necessarily need explosive revenue growth to generate strong long-term shareholder returns. If margins keep expanding, cash flow can grow faster than revenue. If management keeps buying back shares, FCF per share can grow even faster. And if the valuation multiple doesn't expand — or even contracts — the underlying business can still deliver strong returns. 🔥 The companies that stand out The following 24 companies show the characteristics of this kind of compounding mo

$Apple(AAPL)$ has delivered a staggering 2,860% gain 📈, but its impressive track record does not mean the stock is without risk. 🔊 Pricing Power vs. Mega Client Apple controls an estimated 40–50% of the smartphone audio market, yet more than 85% of revenue comes from a single mega-client. That concentration creates a structural risk that investors cannot ignore, even with strong market share. 💰 Capital Efficiency Its asset-light, fabless model keeps capital requirements low while generating roughly 28% cash return on capital. Steady buybacks add another layer of shareholder support. 📊 Valuation Matters Our conservative two-year forecast looks at whether a 9%+ FCF yield provides enough margin of safety at current levels. 🔎 The key question is no lo

During 13F season, one of the most useful exercises is comparing the holdings of several high-quality growth funds to see where their portfolios overlap. $MasterCard(MA)$ and $Visa(V)$ sit at the top of the list, with all six funds holding both names. But the more interesting opportunities may come from the companies with less consensus, where fewer investors are paying attention. $Moody's(MCO)$ $Fair Isaac(FICO)$ $Alphabet(GOOGL)$ $Microsoft(MSFT)$ $Amazon.com(AMZN)$

There are three drives of share price appreciation: ● Multiple expansion - turning revenue growth into even higher FCF growth ● Buybacks - turning FCF growth into even higher FCF per share growth ● Multiple expansion - turning FCF per share growth into even higher share price growth Here are the $S&P 500(.SPX)$ and S&P 400 companies that are leading the charge. Take a look at $Cintas(CTAS)$ ● Margin expansion turned 9% revenue growth into 26% FCF growth ● Buybacks turned 26% FCF growth into 27% FCFps growth ● Multiple contraction meant that the 27% FCFps growth only produced 22% share price growth, suggesting that this cash generating machine is now undervalued. Other examples on the list are: - <

Terry Smith's Early Investments Fundsmith's change in strategy Terry Smith is the Founder and Chief Investment Officer of the UK-based fund $Fundsmith Equity ETF(ETFT)$ . Earlier this month, a letter published by Terry caused a subsequent flurry of commentary concerning a deviation in his investment style. Terry is a quality-focused investor. His strategy is to run a concentrated and low-turnover portfolio of quality companies trading at a reasonable valuation. In his most recent letter, he announced that he's going to make a slight tweak to this approach: We will take more account of momentum — both fundamental and share price — in our investment decisions. In particular, we will be much less willing to deploy the time-honoured technique of buyin

These companies have something unusual and rare in common. Their FCF has high and predictable growth (2nd and 3rd column), while their FCF yield remains fairly constant (4th column). In other words, their share price appreciation has been through FCF going up, not a re-rating leading to FCF yield contracting. $Republic(RSG)$ $Nordson(NDSN)$ $Allegion PLC(ALLE)$ $Travelers(TRV)$ $Medpace(MEDP)$ $Intercontinental Exchange(ICE)$ $Primerica(PRI)$ $Hartford Insuranc