Arthur J. Gallagher, an insurance brokerage and consulting firm, stands out amongst cash-producing stocks with a 12.8% trailing 12-month free cash flow margin. The company has demonstrated strong revenue growth of 17.9% annually over the past two years and earnings per share growth of 17.7% annually over five years, outperforming peers. In contrast, Grand Canyon Education faces challenges with underwhelming student numbers and modest earnings growth of just 7.2% annually over five years, despite a 21.6% free cash flow margin. GE HealthCare also struggles with weak 2.7% annual revenue growth over two years and limited organic expansion. Arthur J. Gallagher, operating in approximately 130 countries, provides insurance brokerage, reinsurance and consulting services globally.

Grand Canyon Education saw its stock decline in Q4 2025 despite reporting solid operating results, according to Riverwater Partners' investor letter. The education services company was the fund's largest detractor during the quarter. The stock's weakness stemmed from negative sentiment across the for-profit education sector, triggered by competitors reporting weaker-than-expected enrolment trends. Concerns around a potential government shutdown and Title IV funding flows created additional uncertainty, though Grand Canyon's direct exposure remains limited. Despite the selloff, Riverwater Partners maintains its positive view, describing Grand Canyon Education as "a high-quality compounder with a compelling long-term growth runway". The company reported third-quarter revenue of $261.1 million, up 9.6% year-over-year. The stock closed at $179.70 on 22 January 2026, with a market capitalisation of $5.047 billion.