The Great 10-Year Compounders

March 26, 2026

The Great 10-Year Compounders

The power of compounding.  The best SMID compounders over the past ten years grew sales at a 15% average rate, EPS at a 21% average rate and improved ROIC from 6% to 14% on average.  But even great stocks undergo great corrections along the way with an average -58% max drawdown occurring during the 10-year period with three seeing their greatest drawdowns culminate as late as Nov ’25 (ODFL, MUSA, DECK) and yet still make the compounders list.  Stocks needed to possess a market cap between $1Bn and $6Bn at 12/31/15 and produce a ten-year compound annualized return (ending 12/31/25) in excess of 20% in order to qualify