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Forget Nvidia: This Artificial Intelligence (AI) Stock Offers Stronger Growth Prospects

The Motley Fool

This has translated into explosive earnings growth for the company over the past three years -- and significant gains in return on invested capital. It sells the servers, storage systems, rack-scale solutions, and other equipment needed to deploy the core hardware that powers AI platforms.

Prospects 130
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Is Now a Good Time to Buy Stocks? Warren Buffett's Sensible Investing Advice Offers a Clue

The Motley Fool

had $147 billion in cash, cash equivalents, and short-term investments on its balance sheet as of June 30 -- a treasure chest of investable capital. Second, investors must find stocks with favorable prospects for long-term growth. Favorable long-term growth prospects cannot exist without a durable competitive advantage.

Investing 246
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7 Reasons Buying $1,000 of This 7.8%-Yielding Dividend Stock Could Be a Brilliant Move

The Motley Fool

For example, Enterprise delivered a double-digit return on invested capital (ROIC) in every year since 2005. Better industry growth prospects than you might think Last, but not least, there are better growth prospects for the midstream energy industry than you might think.

Taxes 244
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Here's the Best Airline Stock to Buy for 2024

The Motley Fool

The industry's long-term issue comes down to its inability to generate a return on capital necessary to cover its cost of capital. But it's not bad news for debt providers because they have been rewarded for putting up capital, with their investment backed up by a relatively liquid asset, the airplanes themselves.

Debt 240
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Alibaba Plans to Unlock Value for Shareholders. Here's How.

The Motley Fool

Then, it was the de facto e-commerce company in China, a leader in its technology industry rivaled only by Tencent , and its prospects for growth seemed unlimited. It faces severe competition from Pinduoduo and Douyin, it's no longer among the top-two technology companies in China by market capitalization, and its future looks bleak.

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Is This the 1 Secret to Home Depot's Success?

The Motley Fool

The market for professionals is more fragmented with better growth prospects, so it makes sense why the company acquired SRS Distribution to further tap the opportunity. Consequently, Home Depot has averaged a much better operating margin and return on invested capital in the past five years.

Prospects 228
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2 Top "Magnificent Seven" Artificial Intelligence (AI) Stocks to Buy With $500 and Hold for the Long Term

The Motley Fool

Amazon has a track record of growth in return on invested capital (ROIC) over time, showing the company has made wise investment decisions. These efforts also should lift earnings over the long haul. So, there's reason to believe this trend could continue.

Prospects 231