In today’s fast-moving, highly competitive market environment, companies with wide economic moats stand out as exceptional long-term investments. These businesses possess enduring competitive advantages—like strong network effects, high switching costs, cost efficiencies, or valuable intellectual property—that help safeguard their market share and profitability. Thanks to these advantages, wide moat companies often deliver above-average returns on capital over long periods, enabling them to reinvest profits at attractive rates and compound shareholder value, even during challenging economic conditions or rising competition.
Validea’s guru-inspired moat models are designed to uncover these resilient businesses by applying time-tested investment principles from legendary investors who excelled at spotting sustainable advantages. These models evaluate a range of factors—including consistently high returns on capital, pricing power, brand strength, and market dominance—to identify companies with truly defensible business positions. This disciplined, quantitative approach helps filter out firms with fleeting strengths and zero in on those built for long-term success, making them ideal candidates for investors focused on quality, durability, and long-term performance.
Discover how Validea’s models can help you identify high-quality, long-term investments, even in changing market conditions. Visit Validea.com to access in-depth stock analysis and tools designed to emulate proven investment principles. Take a Free Trial Today!
Here are our top wide moat stocks for March of 2025.
| Ticker | Company Name | Price | Market Cap ($mil) | PE Ratio | Price/ Sales | Relative Strength | Price/ Book | Price/ Cash Flow | Return on Equity | Return on Capital |
|---|---|---|---|---|---|---|---|---|---|---|
| KNSL | KINSALE CAPITAL GROUP INC | $482.14 | $11,223 | 27.1 | 7.3 | 52 | 7.6 | 12.2 | 32.3% | 10.6% |
| PAYC | PAYCOM SOFTWARE INC | $218.75 | $12,247 | 24.6 | 6.5 | 72 | 7.8 | 18.9 | 34.9% | 34.2% |
| WSM | WILLIAMS-SONOMA INC | $158.98 | $19,636 | 18.0 | 2.6 | 63 | 9.1 | 14.5 | 52.7% | 43.3% |
| NVR | NVR INC | $7,181.68 | $21,322 | 14.2 | 2.0 | 50 | 5.1 | 12.5 | 39.2% | 457.5% |
| TSCO | TRACTOR SUPPLY CO | $53.47 | $28,425 | 26.2 | 1.9 | 65 | 12.5 | 18.4 | 49.8% | 20.5% |
| GWW | WW GRAINGER INC | $975.03 | $46,969 | 25.0 | 2.7 | 55 | 14.0 | 21.1 | 59.0% | 44.8% |
| AMAT | APPLIED MATERIALS INC | $145.06 | $117,853 | 19.0 | 4.3 | 37 | 6.3 | 17.5 | 35.2% | 37.8% |
| KLAC | KLA CORP | $673.60 | $89,513 | 28.3 | 8.3 | 56 | 25.0 | 24.8 | 96.8% | 51.1% |
| LRCX | LAM RESEARCH CORP | $72.61 | $93,207 | 22.1 | 5.8 | 40 | 10.6 | 20.0 | 50.4% | 37.5% |
| NVO | NOVO NORDISK A/S (ADR) | $69.30 | $232,666 | 21.1 | 5.5 | 27 | 14.8 | 14.0 | 80.8% | 108.0% |
Further Research
