Ferguson is the largest distributor of plumbing, heating, cooling and waterworks products in North America, turning an apparently ordinary nine percent operating margin into returns on capital close to 30 percent. This deep dive finds that the margin works as a threshold rather than a rate: roughly three percent revenue growth is consumed by cost inflation before any expansion is available, and Ferguson has been below that line since 2022. We stress the business against the Wolseley 2008 to 2011 downturn, the only genuine multi-year construction recession in its history, and set out what the current price is asking for.

MercadoLibre is Latin America's dominant integrated e-commerce, payments, logistics, credit and advertising platform: a five-pillar flywheel competitors cannot replicate by writing a check, compounding revenue +49% in Q1 2026 on a $29 billion base into a region running at only 11% e-commerce penetration versus 17% in the US. Trading at a price that embeds approximately bear-case fundamentals on long-term margin, our 11.5% terminal-margin base case puts intrinsic value at $3,030 per share against today's $1,664, an attractive entry point into a high-quality compounder at a price that already discounts a structural-reset scenario most of the way.

Ingersoll Rand is a dominant industrial compounder whose installed-base lock-in, oligopoly pricing power, and disciplined M&A playbook have driven 70+ acquisitions since 2020 at mid-teens ROIC. Trading at 20x earnings, a 25% discount to high-quality industrial peers, the market is pricing in just 3.6% growth, well below our 8% base case, creating an attractive entry point into one of the best-managed compounding platforms in the public markets.

Topicus is a European vertical market software consolidator trading at its lowest-ever valuation. Our analysis, including a company-by-company AI disruption assessment of all 170+ operating companies, finds the market has significantly overstated the risk.

Rollins is a premier pest control compounder that pairs high-retention, nondiscretionary recurring revenue with a relentless M&A strategy and a new focus on operational modernization to drive long-term double-digit growth.

Cintas is a market-leading compounder that leverages its immense scale, service-oriented culture, and recurring B2B model to transform a stable uniform and facility services industry into highly predictable, infrastructure-like profit growth.

RB Global is positioned for significant earnings growth as it leverages an operational turnaround to recapture market share in the salvage auto auction industry.

Europe's leading out of home delivery platform trading at a deep discount.

GFL Environmental is a diversified environmental services company with robust growth and strategic market positioning.

Coupang is South Korea’s leading e-commerce and logistics platform with powerful customer lock-in and strong unit economics. Despite thin reported margins, its core business delivers exceptional returns and significant upside potential.

Copart dominates salvage car auctions with a powerful yard network and online platform. However, its moat versus IAA is narrower than believed, and the stock looks overpriced.

Kaspi.kz dominates Kazakhstan's digital economy through its super-app ecosystem, processing 78% of national payments and 77% of e-commerce while generating 70% ROE from proprietary infrastructure and deep user lock-in. Trading at just 8.7x earnings despite 20%+ growth and aligned management owning 50%+, it offers compelling value for investors willing to underwrite emerging market risks.

TransDigm dominates niche aerospace parts with 90 % proprietary, often sole-sourced components that lock in decades of high-margin aftermarket revenue. Its acquisition-driven, cash-rich model and aligned management give the business ample runway for durable, shareholder-friendly growth.

United Rentals is the largest equipment rental company in North America, benefitting from structural outsourcing tailwinds and unmatched scale advantages. Its resilient, cash-generative model and capital discipline position it well to deliver strong long-term returns under a range of outcomes.

Evolution AB (EVO) dominates live-casino supply with cost, brand and tech moats that support 15-20 %-plus EPS growth as online gambling expands worldwide. Yet it trades at just ~10 × earnings—its lowest multiple since listing—offering potential for 30 %+ annualised upside for a leader run by highly aligned management.