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Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

Even if they go mostly unnoticed, industrial businesses are the backbone of our country. But they are at the whim of volatile macroeconomic factors that influence capital spending (like interest rates), and the market seems convinced that demand will slow. Due to this bearish outlook, the industry has tumbled by 12.6% over the past six months. This drawdown was worse than the S&P 500’s 6.4% decline.

Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages. Just because a business is in the green today doesn’t mean it will thrive tomorrow.

Companies with solid operating margins have a competitive edge, allowing them to reinvest for sustainable expansion. The best of these businesses balance profitability with reinvestment, setting themselves up for long-term success.

The European Union fined Apple and Meta Platforms hundreds of millions of dollars for breaching its Digital Markets Act.

Electrical connector manufacturer Amphenol (NYSE:APH) reported Q1 CY2025 results topping the market’s revenue expectations, with sales up 47.7% year on year to $4.81 billion. On top of that, next quarter’s revenue guidance ($4.95 billion at the midpoint) was surprisingly good and 7.9% above what analysts were expecting. Its non-GAAP profit of $0.63 per share was 21% above analysts’ consensus estimates.