CME Group is a key player in futures and options, offering significant income potential through dividends and a low-beta investment that provides strong risk-adjusted returns.
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10 Stocks That Actually Make Money
Ticker Take with Jon ErlichmanMay 28, 2026
This video discusses the importance of Return on Invested Capital (ROIC) as a key metric for evaluating companies, favored by investors like Warren Buffett. The guest, David Driscoll, explains that a high ROIC (around 15%) indicates efficient use of capital and generates free cash flow, providing financial flexibility. Other important metrics discussed include operating margins and a debt-to-cash flow ratio of two times or less, ensuring financial stability during economic downturns.
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Tickers discussed in this post
Chub Limited is a top-tier property and casualty insurer with a strong combined ratio and conservative investment strategy, making it an attractive long-term investment.
Idex Laboratories is well-positioned to capitalize on increased pet spending with its efficient testing model and potential for high ROIC.
Franco Nevada is a lower-risk royalty company with efficient capital allocation, benefiting from potential commodity bull markets and a strong dividend.
Lamb Research is well-positioned due to its chip design capabilities and strong growth in Asian markets, but scaling back is advised after its significant run-up.
Comfort Systems USA has seen a massive price increase, prompting a recommendation to take profits due to its high valuation and rapid growth.
Microsoft is a key hyperscaler in the AI and cloud space, with strong capital generation and potential future growth from quantum computing.
ASML Holding is a recommended European tech stock, benefiting from high demand for its chip equipment driven by AI, strong financials, and potential for dividend growth.