Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

Our 80,000 qualified print subscribers—and 130,000 12-month engaged online audience—trust us to dive in and provide original journalism you won’t find elsewhere covering key emerging areas such as laser-driven inertial confinement fusion, lasers in space, integrated photonics, chipscale lasers, LiDAR, metasurfaces, high-energy laser weaponry, photonic crystals, and quantum computing/sensors/communications. We cover the innovations driving these markets.

Laser Focus World is part of Endeavor Business Media, a division of EndeavorB2B.

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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

3 Profitable Stocks Walking a Fine Line

TER Cover Image

Even if a company is profitable, it doesn’t always mean it’s a great investment. Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.

Profits are valuable, but they’re not everything. At StockStory, we help you identify the companies that have real staying power. That said, here are three profitable companies to avoid and some better opportunities instead.

Teradyne (TER)

Trailing 12-Month GAAP Operating Margin: 18.3%

Sporting most major chip manufacturers as its customers, Teradyne (NASDAQ: TER) is a US-based supplier of automated test equipment for semiconductors as well as other technologies and devices.

Why Are We Cautious About TER?

  1. Products and services are facing end-market challenges during this cycle, as seen in its flat sales over the last five years
  2. Day-to-day expenses have swelled relative to revenue over the last five years as its operating margin fell by 14.4 percentage points
  3. Sales over the last five years were less profitable as its earnings per share fell by 4.4% annually while its revenue was flat

Teradyne is trading at $137.58 per share, or 35.5x forward P/E. Read our free research report to see why you should think twice about including TER in your portfolio.

Union Pacific (UNP)

Trailing 12-Month GAAP Operating Margin: 40.3%

Part of the transcontinental railroad project, Union Pacific (NYSE: UNP) is a freight transportation company that operates a major railroad network.

Why Should You Dump UNP?

  1. Underwhelming unit sales over the past two years suggest it might have to lower prices to accelerate growth
  2. Earnings growth underperformed the sector average over the last two years as its EPS grew by just 2.9% annually
  3. Free cash flow margin shrank by 3.9 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive

Union Pacific’s stock price of $227.50 implies a valuation ratio of 18.7x forward P/E. Check out our free in-depth research report to learn more about why UNP doesn’t pass our bar.

CSG (CSGS)

Trailing 12-Month GAAP Operating Margin: 11%

Powering billions of critical customer interactions annually, CSG Systems (NASDAQ: CSGS) provides cloud-based software platforms that help companies manage customer interactions, process payments, and monetize their services.

Why Do We Avoid CSGS?

  1. Annual revenue growth of 2.6% over the last two years was below our standards for the business services sector
  2. Modest revenue base of $1.21 billion gives it less fixed cost leverage and fewer distribution channels than larger companies
  3. Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value

At $64.75 per share, CSG trades at 13.3x forward P/E. To fully understand why you should be careful with CSGS, check out our full research report (it’s free for active Edge members).

Stocks We Like More

When Trump unveiled his aggressive tariff plan in April 2025, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.

Don’t let fear keep you from great opportunities and take a look at Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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