By monthly tradition, you’ll get an update on our Best Buys of the month.
What’s going on in the markets? And what are our favorite stocks?
Let’s become a little bit wiser today.
June 2025
The S&P 500 increased by +4.2% in June.
Investors are optimistic (“Greedy”) today according to the Fear & Greed Index:

Best & Worst Performers
This overview shows you the best and worst performers in our investable universe.
Worst performers
The cheaper we can buy great companies, the better.
Lululemon Athletica seems to have a hard time currently.
The big question is whether Lululemon Athletica has a wide moat. Will people still be wearing yoga pants from the company in 10 years from now?
The company is now trading at its lowest valuation level of the past 10 years:

Best performers
It's great to see two companies from Our Portfolio on this list.
Performance
Here’s what the performance of Our Portfolio looks like.
It’s great to see that we are outperforming the S&P 500 without owning any Big Tech.
So far, Our Portfolio has achieved an average yearly return of 27.1%.
A phenomenal result. I definitely don’t expect this trend to continue. A return of 12% per year on average would already be amazing.
I use Interactive Brokers to execute all my transactions. Discover more about Interactive Brokers here.
Spotlight: The Vita Coco Company ($COCO)
How does the company make money?
Vita Coco makes money by selling coconut water and other coconut-based drinks to retailers, cafes, and online platforms. Most of their revenue comes from their flagship Vita Coco brand, which is popular for being a natural and healthy beverage.
The Vita Coco Company sells coconut water products. This means they are active in an attractively growing end market (living a healthier lifestyle).
$COCO offers the following products:
Coconut oil
Coconut milk
Sparkling water
Purified water
A protein-infused fitness drink
…
Michael Kirban and Ira Liran founded the company in 2004. They are both still active within $COCO.
Martin Roper is the CEO and has been working for the company since 2019. In total, insiders own 10.3% of the business.
The fundamentals of The Vita Coco Company look as follows:
Debt/Equity: 0.0x
Net Profit Margin: 11.3%
ROIC: 50.8%
Forward PE: 31.6x
Expected Long-Term EPS Growth: 16.6%
CAGR since IPO in 2021: 29.5%
Vita Coco is a potential candidate for Tiny Titans. Interested? You can put yourself on the exclusive behind-the-scenes newsletter here.
Best Buys July 2025
Now let’s dive into our favorite stocks for July 2025.
Please note that I only mention companies that can’t be found in the Portfolio today.
Why? Because I truly believe in every single stock in the Portfolio.
This month, I only want to talk about small-cap stocks.
Why? Warren Buffett said you should go where the competition is weak. The market is way less effective in the small-cap space.
Small caps tend to outperform over time:
Before diving into the list, I want to start with a ❗serious warning❗.
The liquidity of some of the stocks mentioned is VERY low.
Never put an order in the market for these companies without using a strict limit price. Otherwise, you might buy the company at a very unfavorable price.
Just look at what happened here:
Just imagine that you forget to use a limit price and bought this company for $31.66.
The stock went back to its normal price, declining over 50% in just a few minutes.
This is something you want to avoid.
❗I’ll repeat it because this is very important: Always use a strict limit price when buying small caps. If not, you risk paying way too much❗
Now you know this, let’s dive into the Top 5.
5. Chapters Group ($CHG)
How does the company make money?
Chapters Group is a German serial acquirer active in VMS Software (just like Constellation Software). The company is led by Owner-Operator Jan Mohr.
Next week, I’ll travel to Hamburg to personally meet Jan Mohr (CEO of Chapters Group).
Chapters Group is a serial acquirer that is following in the footsteps of Constellation Software:
✅ A mini Berkshire Hathaway with plenty of growth potential
✅ Specific focus on VMS Software (just like Constellation Software)
✅ Jan Mohr is an excellent Owner-Operator
Since 2015, the stock is up almost +3,000%:

You can read a Not So Deep about the company here.
4. Mainstreet Equity ($MEQ)
How does the company make money?
Mainstreet Equity buys, renovates, and rents out mid-market apartment buildings in Western Canada. It makes money through rental income and property value appreciation.
Mainstreet Equity is a Canadian company that buys older, smaller apartment buildings that are in bad shape.
They renovate the homes (adding better kitchens, cleaner spaces, and a nicer look) and then rent them out at a higher price.
The goal? To become Canada’s top provider of affordable, good-quality rental homes.
The company has a moat based on 5 pillars:
Acquire under-performing assets at attractive prices
Limited to no competition from REITs and Pension Funds in the mid-market sector
Internalized construction capabilities
Internalized operations platform/systems are scalable
Internalized marketing and effective branding
The company is an Owner-Operator company. Bob Dhillon is the Founder, President, and CEO. He founded the company in 1997. In total, insiders own 7.8% of the company.
Just look at how much value the business created over the past 24 years:
Now let’s dive into the top 3.