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.

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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 S&P 500 Stocks Walking a Fine Line

MCHP Cover Image

While the S&P 500 includes industry leaders, not every stock in the index is a winner. Some companies are past their prime, weighed down by poor execution, weak financials, or structural headwinds.

Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. That said, here are three S&P 500 stocks that don’t make the cut and some better choices instead.

Microchip Technology (MCHP)

Market Cap: $20.49 billion

Spun out from General Instrument in 1987, Microchip Technology (NASDAQ: MCHP) is a leading provider of microcontrollers and integrated circuits used mainly in the automotive world, especially in electric vehicles and their charging devices.

Why Is MCHP Risky?

  1. Annual sales declines of 2.1% for the past five years show its products and services struggled to connect with the market during this cycle
  2. Projected sales decline of 9% over the next 12 months indicates demand will continue deteriorating
  3. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 13.4 percentage points

At $38.86 per share, Microchip Technology trades at 20.6x forward price-to-earnings. To fully understand why you should be careful with MCHP, check out our full research report (it’s free).

Campbell's (CPB)

Market Cap: $11.36 billion

With its iconic canned soup as its cornerstone product, Campbell's (NASDAQ: CPB) is a packaged food company with an illustrious portfolio of brands.

Why Are We Hesitant About CPB?

  1. Declining unit sales over the past two years show it’s struggled to move its products and had to rely on price increases
  2. Estimated sales growth of 1.4% for the next 12 months implies demand will slow from its three-year trend
  3. Day-to-day expenses have swelled relative to revenue over the last year as its operating margin fell by 2.9 percentage points

Campbell's is trading at $38 per share, or 11.9x forward price-to-earnings. If you’re considering CPB for your portfolio, see our FREE research report to learn more.

Union Pacific (UNP)

Market Cap: $126.9 billion

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

Why Do We Avoid UNP?

  1. Underwhelming unit sales over the past two years indicate demand is soft and that the company may need to revise its strategy
  2. Falling earnings per share over the last two years has some investors worried as stock prices ultimately follow EPS over the long term
  3. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 5 percentage points

Union Pacific’s stock price of $217.06 implies a valuation ratio of 17.4x forward price-to-earnings. Check out our free in-depth research report to learn more about why UNP doesn’t pass our bar.

Stocks We Like More

The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.

While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years.

Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free.

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