2025 March Stock Idea
Finding a great investment idea isn’t easy, but we’re here to provide you with one great idea each month. We aim to highlight a compelling buy opportunity from the universe of stocks we cover, focusing on catalysts that can drive share prices higher and deliver solid returns.
This month’s edition features a market leader with exceptional margins and industry-leading returns on capital within a controversial industry. Over the past decade, this company has delivered remarkable shareholder returns of +5,015% (a CAGR of ~48%), closely aligned with its revenue CAGR of 46.5% and operating income CAGR of 58.9%. Today, its valuation multiples have been cut in half, trading at EV/EBITDA (NTM) 9.3x and P/E (NTM) 12.6x, presenting a compelling opportunity for long-term investors.
Contents:
The business
Valuation
Catalysts
Risks