
The best-performing stocks typically have robust sales growth, increasing margins, and rising returns on capital, and those that can maintain this trifecta year in and year out often become the legends of the investing world.
Long story short, there is a near-perfect correlation between consistent earnings growth and huge winners. On that note, here are three market-beating stocks with room for further growth.
AMD (AMD)
Five-Year Return: +171%
Founded in 1969 by a group of former Fairchild semiconductor executives led by Jerry Sanders, Advanced Micro Devices (NASDAQ: AMD) is one of the leading designers of computer processors and graphics chips used in PCs and data centers.
Why Are We Backing AMD?
- Annual revenue growth of 28.8% over the last five years was superb and indicates its market share increased during this cycle
- Market share is on track to rise over the next 12 months as its 34.8% projected revenue growth implies demand will accelerate from its two-year trend
- Earnings growth has easily exceeded the peer group average over the last five years as its EPS has compounded at 26.4% annually
AMD’s stock price of $206.93 implies a valuation ratio of 30.4x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
Carlisle (CSL)
Five-Year Return: +111%
Originally founded as Carlisle Tire and Rubber Company, Carlisle Companies (NYSE: CSL) is a multi-industry product manufacturer focusing on construction materials and weatherproofing technologies.
Why Do We Like CSL?
- Highly efficient business model is illustrated by its impressive 19.7% operating margin, and its operating leverage amplified its profits over the last five years
- Share buybacks catapulted its annual earnings per share growth to 25.1%, which outperformed its revenue gains over the last five years
- Robust free cash flow margin of 15.7% gives it many options for capital deployment, and its recently improved profitability means it has even more resources to invest or distribute
At $340.91 per share, Carlisle trades at 16.2x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Goldman Sachs (GS)
Five-Year Return: +155%
Founded in 1869 as a small commercial paper business in New York City, Goldman Sachs (NYSE: GS) is a global financial institution that provides investment banking, securities, asset management, and consumer banking services to corporations, governments, and individuals.
Why Does GS Catch Our Eye?
- Solid 12.3% annual revenue growth over the last two years indicates its offering’s solve complex business issues
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 49.9% exceeded its revenue gains over the last two years
- Acceptable return on equity suggests management generated shareholder value by investing in profitable projects
Goldman Sachs is trading at $844.25 per share, or 14.1x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
Stocks We Like Even More
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 (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.
