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.

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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

1 S&P 500 Stock for Long-Term Investors and 2 We Avoid

QCOM Cover Image

The S&P 500 (^GSPC) is home to the biggest and most well-known companies in the market, making it a go-to index for investors seeking stability. But not all large-cap stocks are created equal - some are struggling with slowing growth, declining margins, or increased competition.

Picking the right S&P 500 stocks requires more than just buying big names, and that’s where StockStory comes in. Keeping that in mind, here is one S&P 500 stock that could deliver good returns and two that may struggle.

Two Stocks to Sell:

Carrier Global (CARR)

Market Cap: $50.07 billion

Founded by the inventor of air conditioning, Carrier Global (NYSE: CARR) manufactures heating, ventilation, air conditioning, and refrigeration products.

Why Does CARR Worry Us?

  1. Organic sales performance over the past two years indicates the company may need to make strategic adjustments or rely on M&A to catalyze faster growth
  2. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 5.3 percentage points
  3. Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability

Carrier Global’s stock price of $59.29 implies a valuation ratio of 17.9x forward P/E. Dive into our free research report to see why there are better opportunities than CARR.

CSX (CSX)

Market Cap: $63.4 billion

Established as part of the Chessie System and Seaboard Coast Line Industries merger, CSX (NASDAQ: CSX) is a transportation company specializing in freight rail services.

Why Should You Dump CSX?

  1. Flat unit sales over the past two years imply it may need to invest in improvements to get back on track
  2. Performance over the past two years shows each sale was less profitable as its earnings per share dropped by 8.4% annually, worse than its revenue
  3. Free cash flow margin dropped by 21.5 percentage points over the last five years, implying the company became more capital intensive as competition picked up

CSX is trading at $34.12 per share, or 18.9x forward P/E. To fully understand why you should be careful with CSX, check out our full research report (it’s free).

One Stock to Watch:

Qualcomm (QCOM)

Market Cap: $181.6 billion

Having been at the forefront of developing the standards for cellular connectivity for over four decades, Qualcomm (NASDAQ: QCOM) is a leading innovator and a fabless manufacturer of wireless technology chips used in smartphones, autos and internet of things appliances.

Why Are We Fans of QCOM?

  1. Annual revenue growth of 16.6% over the last five years was superb and indicates its market share increased during this cycle
  2. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends
  3. ROIC punches in at 51.2%, illustrating management’s expertise in identifying profitable investments

At $169.02 per share, Qualcomm trades at 14.5x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

Stocks We Like Even 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 Strong Momentum Stocks for this week. 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-small-cap company Comfort Systems (+782% 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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