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 with room for further growth.
Wingstop (WING)
Five-Year Return: +150%
The passion project of two chicken wing aficionados in Texas, Wingstop (NASDAQ: WING) is a popular fast-food chain known for its flavorful and crispy chicken wings offered in a variety of sauces and seasonings.
Why Is WING a Good Business?
- Same-store sales growth averaged 16.9% over the past two years, showing it’s bringing new and repeat diners into its restaurants
- Excellent operating margin of 25.3% highlights the efficiency of its business model
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends
Wingstop is trading at $326.02 per share, or 82.5x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Howmet (HWM)
Five-Year Return: +1,048%
Inventing the first forged aluminum truck wheel, Howmet (NYSE: HWM) specializes in lightweight metals engineering and manufacturing multi-material components used in vehicles.
Why Is HWM a Top Pick?
- Market share has increased this cycle as its 12.7% annual revenue growth over the last two years was exceptional
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 40.5% exceeded its revenue gains over the last two years
- Free cash flow margin expanded by 12.6 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
At $180.19 per share, Howmet trades at 53.1x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
W. R. Berkley (WRB)
Five-Year Return: +159%
Founded in 1967 and operating through more than 50 specialized insurance units across the globe, W. R. Berkley (NYSE: WRB) underwrites commercial insurance and reinsurance through specialized subsidiaries serving industries from healthcare to construction to transportation.
Why Do We Love WRB?
- Market share has increased this cycle as its 13.6% annual net premiums earned growth over the last four years was exceptional
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 25.1% exceeded its revenue gains over the last five years
- Capital generation for the next 12 months is expected to accelerate above its two-year trend as Wall Street forecasts robust book value per share growth of 26.6%
W. R. Berkley’s stock price of $68.88 implies a valuation ratio of 2.7x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.
While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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