LMT – LOCKHEED MARTIN CORPORATION (HQ: USA/Industry: Aerospace & Defense)
Lockheed is a global security and aerospace company primarily engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. Providing these services for U.S. and international customers with products and services that have defense, civil and commercial applications, with the company’s principal customers being agencies of the U.S. Government that accounts for 71% of revenue. Though the company is not in a high growth stage, it has achieved greater than 30% ROIC over the last 10-years, indicating management’s ability to effectively allocate capital. While also paying an increasing dividend (155%) and buying back shares (16%) during this same period. To value the business at their current market price Lockheed would need greater than 11% per year growth for the next 10-years.
SEC filing link: https://www.sec.gov/edgar/browse/?CIK=936468&owner=exclude

GOOG – ALPHABET INC. (HQ: USA/Industry: Interactive Media & Services)
Alphabet is a collection of businesses that includes their largest Google (services and cloud) and YouTube, both ranking among the world’s most popular websites. Along with other business ventures which contains their early stage technologies, while their R&D investments exceeded over $100 billion in the previous 5 years. The company plans to continue investing in new businesses, services and technologies, data centers and offices, including strategic acquisitions and investments. With Alphabet being a financially strong business that has achieved exceptional growth over the past 10-years with revenue, EPS, net income and free cash flow all greatly increasing during this period. However, to value the business at their current market price Alphabet would need a 25% per year growth for the next 10-years.
SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1652044&owner=exclude

VOYA – VOYA FINANCIAL, INC. (HQ: USA/Industry: Diversified Financial Services)
Voya Financial is a leading retirement, investment and employee benefits company providing complementary solutions to improve the financial outcomes of approximately 14.3 million customers, workplace participants and institutions in the US. Focused on executing its mission to make a secure financial future possible for customers by helping them to save, grow, protect and enjoy their wealth. While appearing to be a stable business with minimum leverage, decreasing its share count by 51% and increasing dividends from $0.02 to $0.69 since 2012, the company will most likely have limited growth potential. Also, 4 of the recent 6 years resulted in negative income, although free cash flow has always been positive.
SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1535929&owner=exclude

THRM – GENTHERM INCORPORATED (HQ: USA/Industry: Auto Components)
Gentherm is a global developer, manufacturer and marketer of innovative thermal management technologies for a broad range of heating and cooling and temperature control applications in the automotive and medical industries. The company is minimally leveraged and has been increasing revenue, net income, EPS and free cash flow for the last 10-years, showing to be a financially stable and growing business. To value the business at their current market price Gentherm would need to grow at 21% per year for the next 10-years.
SEC filing link: https://www.sec.gov/edgar/browse/?CIK=903129&owner=exclude

IOSP – INNOSPEC INC. (HQ: USA/Industry: Chemicals)
Innospec develops, manufactures, blends, markets and supplies specialty chemicals for use as fuel additives, ingredients for personal care, home care, agrochemical, metal extraction and other applications and oilfield chemicals. The company is minimally leveraged, with modest stable growth over the last 10-years. One of its highest growth metrics has been the company’s book value averaging 13% per year, although the previous 3-years has been in the mid-single digits. Another growth point has been its dividend increasing 132% since 2013. To value the business at their current market price Innospec would need to grow at 13% per year for the next 10-years.
SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1054905&owner=exclude