The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how CSW (NASDAQ:CSW) and the rest of the hvac and water systems stocks fared in Q2.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
CSW Industrials excels in quality investing with high ROIC, strong EBIT growth, zero debt, and superior profit margins, making it a standout long-term growth pick.
