3 Overlooked Giants-in-the-Making for Patient Investors

Core Insights - The article emphasizes the importance of patience in investing, highlighting that successful investors often hold stocks for long periods to realize significant profits. It suggests that identifying strong companies early in their public life can lead to substantial returns [1]. Company Summaries Cava Group (CAVA) - Cava Group, a Mediterranean restaurant chain, has seen its stock increase by 150% since its IPO in June 2023, making it one of the most successful IPOs in the last five years [2]. - The company reported an EPS of 13 cents for Q1, exceeding analyst expectations of 5 cents, with revenue of $259 million, surpassing the forecast of $246 million, and a year-over-year sales increase of 30% [2][3]. - Cava's growth is attributed to its rapid expansion, opening 14 new locations in the quarter, bringing the total to 323 outlets, and it has raised its full-year earnings forecast to $100 million to $105 million from an earlier estimate of $86 million to $92 million [3]. Arm Holdings (ARM) - Arm Holdings, a British microchip and semiconductor company, has experienced a remarkable 200% increase in stock price since its public debut in September 2023 [5]. - The company was added to the Nasdaq 100 index due to its market capitalization nearing $200 billion and reported fiscal Q4 revenue of $928 million, a 47% increase year-over-year, driven by demand for AI chips [5]. Viking Therapeutics (VKTX) - Viking Therapeutics has seen its stock rise by 180% this year, driven by positive results from its weight loss drug candidate [6]. - There are rumors of a potential acquisition by a larger pharmaceutical company, such as Pfizer, which could further enhance the stock's value, whether Viking remains independent or is acquired [6].