Terry Malloy, the former prizefighter turned mob errand boy in On the Waterfront, knows it's not easy to be a contender. Following misguided advice and focusing on short-term payoffs rather than long-term opportunities gets you a one-way ticket to Palookaville.
In August, four companies were recognized for doing what Malloy couldn't. These companies became contenders: Because they had established sustainable competitive advantages that should allow them to fight off others and earn high returns on capital for years to come, we upgraded the Morningstar economic moat ratings on three firms to narrow from none, and initiated coverage on a new narrow-moat stock.
Susan Dziubinski does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.