Stocks that outperform the market usually share key traits such as rising sales, expanding margins, and increasing returns on capital. The select few that can do all three for many years are often the ones that make you life-changing money.
The bottom line is that over the long term, earnings growth goes hand in hand with the biggest winners. Keeping that in mind, here are three market-beating stocks that could turbocharge your returns.
Natera (NTRA)
Five-Year Return: +127%
Founded in 2003 as Gene Security Network before rebranding in 2012, Natera (NASDAQ: NTRA) develops and commercializes genetic tests for prenatal screening, cancer detection, and organ transplant monitoring using its proprietary cell-free DNA technology.
Why Is NTRA a Top Pick?
- Average unit sales growth of 19.4% over the past two years reflects steady demand for its products
- Adjusted operating margin improvement of 15.7 percentage points over the last two years demonstrates its ability to scale efficiently
- Free cash flow flipped to positive over the last five years, showing the company is at an important crossroads
At $265.24 per share, Natera trades at 12.9x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it’s free.
iRhythm (IRTC)
Five-Year Return: +113%
Pioneering the shift from bulky, short-term heart monitors to sleek, wire-free patches, iRhythm Technologies (NASDAQ: IRTC) provides wearable cardiac monitoring devices and AI-powered analysis services that help physicians detect and diagnose heart rhythm disorders.
Why Does IRTC Catch Our Eye?
- Market share has increased this cycle as its 23.9% annual revenue growth over the last two years was exceptional
- Performance over the past five years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 27.5% outpaced its revenue gains
- Free cash flow flipped to positive over the last five years, showing the company has crossed a key inflection point
iRhythm’s stock price of $109.10 implies a valuation ratio of 347.4x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
1st Source (SRCE)
Five-Year Return: +95.1%
Tracing its roots back to 1863 during the Civil War era, 1st Source Corporation (NASDAQ: SRCE) is a regional bank holding company that provides commercial, consumer, specialty finance, and wealth management services across Indiana, Michigan, and Florida.
Why Does SRCE Stand Out?
- Net interest margin jumped by 66.4 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more resources to pursue growth initiatives
- Share buybacks propelled its annual earnings per share growth to 12.7%, which outperformed its revenue gains over the last five years
- Impressive 9.4% annual tangible book value per share growth over the last five years indicates it’s building equity value this cycle
1st Source is trading at $83.30 per share, or 1.5x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
