Update Buy-Hold-Sell List: August 2025
Undervalued stocks
The S&P 500 is trading at its all-time high again.
Currently, 34 stocks on Our Watchlist are on ‘Buy’.
Let’s update our Buy-Hold-Sell List. Which stocks look attractive right now?
Buy-Hold-Sell List
Imagine we’re in the Middle Ages. You own a beautiful castle.
Logically, you’d want walls so high and thick that no army could break through.
And a moat, of course, to make it even more difficult for enemies to enter.
If we fast forward to today, Fortinet is exactly the company that can defend your castle. I’ll explain.
How does Fortinet make money?
Fortinet makes money by selling cybersecurity hardware, software, and services. They protect networks, cloud systems, and data centers from, hackers, viruses, ransomware, and data breaches.
In a world where everything is online, from your bank account to your personal information, keeping bad actors out is mission-critical.
The world’s going digital fast. This means we need more cybersecurity.
According to Grand View Research, the cybersecurity market will grow by 12.9% per year from 2025 to 2030.
That’s a clear secular tailwind.
Fortinet is a high-quality stock with amazing Fundamentals:
Balance sheet: Net cash position
Net Profit Margin: 30.6%
Return on Invested Capital: 20.3%
Forward PE: 30.5x
Expected Long-Term EPS Growth: 13.8%
CAGR since IPO in 2017: 27.8%
Currently, we are looking into Fortinet. Is it an interesting buy for Our Portfolio?
It has also become a ‘Buy’ on our Buy-Hold-Sell List.
The market punished the stock because Fortinet lowered its guidance for the next quarter:
Long-term investors like you and me can benefit from this.
Now let’s take a look at our updated Buy-Hold-Sell list.
Buy-Hold-Sell List
The Buy-Hold-Sell List is a list of quality companies.
I already wrote a few articles about it in the past:
We look for cheap Quality Stocks based on three valuation methods:
Comparing the Forward PE multiple to its historical average
Earnings Growth Model
Reverse Discounted-Cash Flow
Based on this, we give each company a Buy, Hold, or Sell recommendation.
Update August 2025
Since the last update, I’ve removed two companies from the Buy-Hold-Sell list.
Ansys ($ANSS): The company was acquired by Synopsys
Fortnox ($FNOX): The company got delisted because the majority owner forced a share buyout
We have also updated the recommendations for some companies since the last time.
Seven companies went from Hold to Buy:
Adyen ($ADYEN): Global payments platform connecting merchants
Brown & Brown ($BRO): Insurance broker and serial acquirer
Columbia Sportswear ($COLM): Outdoor apparel company selling sportswear
Constellation Software ($CSU): Acquires and manages VMS businesses
Fortinet ($FTNT): Provider of cybersecurity solutions
Gartner ($IT): Research and advisory company delivering insights to businesses
Sonova ($SOON): Hearing care company manufacturing hearing aids
Medpace ($MEDP) went from Buy to Hold.
The stock price increased by +50% after releasing its earnings at the end of July.
You can download the entire Buy-Hold-Sell list here: