What to buy now with the market at all-time highs, according to UBS

UBS argues that powerful return opportunities remain even at all-time highs, highlighting Broadcom as an example with positive momentum. The bank identifies two baskets: items with inflecting fundamentals and quality laggards. Broadcom is cited for a 22% rise this year and a CFROI forecast of 77.1%, with expectations for over 80% in 2027, signaling high-quality leadership in AI-related workloads. Other names on the radar include Nvidia, Micron Technology, Palantir Technologies and Reddit. In the quality-laggards group, firms with CFROI forecasts above 8% and strong peer ranking have declined 5% or more year-to-date, suggesting valuation discounts amid AI concerns for software and IT services. Accenture, down 34% YTD, is highlighted for its historically high CFROI resilience, at 43.7% forecast, illustrating the enduring value of quality software and consulting franchises despite near-term profit volatility.