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. On that note, here are three market-beating stocks that deserve a spot on your list.
AMETEK (AME)
Five-Year Return: +95.3%
Started from its humble beginnings in motor repair, AMETEK (NYSE: AME) manufactures electronic devices used in industries like aerospace, power, and healthcare.
Why Should AME Be on Your Watchlist?
- 9.8% annual revenue growth over the last five years surpassed the sector average as its offerings resonated with customers
- Healthy operating margin of 25.4% shows it’s a well-run company with efficient processes, and its profits increased over the last five years as it scaled
- Strong free cash flow margin of 21.7% enables it to reinvest or return capital consistently, and its improved cash conversion implies it’s becoming a less capital-intensive business
AMETEK’s stock price of $253.01 implies a valuation ratio of 28.1x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
BrightSpring Health Services (BTSG)
Return Since IPO: +409%
Founded in 1974, BrightSpring Health Services (NASDAQ: BTSG) offers home health care, hospice, neuro-rehabilitation, and pharmacy services.
Why Are We Fans of BTSG?
- Annual revenue growth of 23.9% over the last two years was superb and indicates its market share increased during this cycle
- Revenue base of $14.37 billion gives it economies of scale and some negotiating power
- Forecasted revenue growth of 14.1% for the next 12 months indicates its momentum over the last two years is sustainable
At $56.02 per share, BrightSpring Health Services trades at 27.6x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
Kinsale Capital Group (KNSL)
Five-Year Return: +100%
Founded in 2009 during the aftermath of the financial crisis when many insurers were retreating from riskier markets, Kinsale Capital Group (NYSE: KNSL) is an insurance company that specializes in writing policies for hard-to-place, unusual, or high-risk businesses that standard insurers typically avoid.
Why Is KNSL a Good Business?
- Net premiums earned surged by 16.3% annually over the past two years, reflecting strong market share gains this cycle
- Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Annual book value per share growth of 28.6% over the last two years was superb and indicates its capital strength increased during this cycle
Kinsale Capital Group is trading at $340.41 per share, or 3.6x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth 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-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.
