With Washington attention turning to corporate ties to the Trump administration, many large companies now face a new layer of headline and regulatory risk. For investors, that can feel unsettling, yet it also puts a spotlight on businesses that sit largely outside the government contract spotlight. This article walks through three stocks exposed to the current news theme that sit in the Non Government Contracted Companies screener and explains why they might deserve a closer look.

The three stocks highlighted below are only a starting sample. The full screen surfaced 28 more companies with equally compelling narratives that are not covered in this article.

To go deeper into this theme, head straight into the Non-Government Contracted Companies screener to identify, filter, and analyze the companies that best fit your own risk and return preferences.

Napco Security Technologies (NSSC)

Napco Security Technologies develops and sells electronic security systems, from access control and intrusion alarms to electronic door locks and video surveillance, serving commercial, residential, institutional, industrial, and government customers. The business currently generates about $197 million in revenue from electronic security devices, with the vast majority of sales coming from the United States. The stock has a market cap of roughly $1.48b, putting it firmly in mid cap territory.

Napco Security Technologies sits in an interesting spot for this theme. It focuses on commercial and residential security hardware and recurring service revenue, while having minimal direct exposure to U.S. federal contracts that could attract new political scrutiny. At the same time, investors are weighing a high P/E multiple and recent one off losses against strong returns on equity, growing high margin subscription style revenue, and management changes aimed at supporting the next phase of growth. For anyone watching how Washington risk is being repriced, Napco offers a way to stay close to the security sector without being pulled into the current oversight spotlight.

Napco Security Technologies sits at the intersection of a rich P/E, strong returns on equity, and rising subscription style revenue, yet the full picture is not obvious. Get the context in the 2 key rewards and 1 important warning sign

Build your own high ROE and subscription revenue shortlist

Napco Security Technologies and the two other stocks in this article all surfaced from a single Simply Wall St screener, which you can easily adapt to your own checklist. Use our flexible Screener to mix filters like valuation, balance sheet strength, growth and risks, or tap straight into our curated Investing Ideas.

Harmonic (HLIT)

Harmonic provides software based broadband access solutions and related hardware to cable and telecom operators, helping them run faster, more flexible networks backed by cloud management and subscription style support services. Revenue is concentrated in the Americas at about $352 million, with smaller contributions from EMEA at about $36 million and APAC at about $10 million, reflecting a business still heavily skewed to North American operators. The stock has a market cap of roughly $1.28b, putting Harmonic in mid cap territory.

Harmonic sits at the heart of the global broadband upgrade story, supplying the software and gear that operators are using to roll out multi gigabit services while shifting more of its business toward higher margin SaaS and recurring contracts. Recent deals with operators like Bluepeak, DNA Finland and Canal Alpha, plus raised 2026 guidance in May, point to solid commercial traction. At the same time, investors need to weigh thin current net margins, heavy reliance on a few large customers and a capital structure funded entirely by higher risk borrowing. For a stock that screens as having strong growth forecasts and a valuation gap to some analyst targets, the real question is whether that mix of upside and concentration risk fits your own comfort level with Non Government Contracted broadband plays.

Harmonic’s broadband story is accelerating, yet thin margins and customer concentration still remain in the background. Get the full risk reward picture in the 2 key rewards and 2 important warning signs

DocuSign (DOCU)

DocuSign helps companies move from paper to digital agreements, offering e-signatures, contract lifecycle management and an AI powered agreement platform that automates how contracts are created, approved and stored. Almost all of its roughly $3.29b in revenue comes from subscriptions to its software platform, with about US$2.30b generated in the U.S. and US$981 million from international customers. The stock currently carries a market cap of about US$10.9b, keeping DocuSign squarely in large mid cap territory.

DocuSign provides exposure to the long term shift toward automated, AI driven workflows, backed by mostly subscription revenue and expanding use cases across sectors from real estate to life sciences. Simply Wall St’s DCF suggests the shares trade below estimated fair value, while profitability has come under pressure, growth has been modest and competition is rising. For investors looking for digital agreement and AI exposure without heavy reliance on politically sensitive federal contracts, DocuSign is a stock where both the opportunity and the risks sit just below the headline story.

DocuSign’s subscription heavy, AI driven story, along with Simply Wall St’s DCF fair value estimate, hint at a gap that many investors may be missing. Step into the analysis report for DocuSign and see what could be hiding in plain sight

Seeking Fresh Alternatives Beyond Today’s Headlines

Some of the most interesting breakout stories are often caught before the crowd. Fresh momentum can drop off fast once attention arrives. Scan these ideas while it matters and consider them early.

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• Track early leaders in AI adoption by reviewing the hand picked 69 profitable AI stocks that aren't just burning cash while these companies are still flying under most radars.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.