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.
Long story short, there is a near-perfect correlation between consistent earnings growth and huge winners. Keeping that in mind, here are three market-beating stocks that deserve a spot on your list.
AMD (AMD)
Five-Year Return: +124%
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 Could AMD Be a Winner?
- Impressive 30.8% annual revenue growth over the last five years indicates it’s winning market share this cycle
- Exciting sales outlook for the upcoming 12 months calls for 19.9% growth, an acceleration from its two-year trend
- Earnings growth has trumped its peers over the last five years as its EPS has compounded at 34.3% annually
At $173.72 per share, AMD trades at 38.4x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Robinhood (HOOD)
Return Since IPO: +190%
With a mission to democratize finance, Robinhood (NASDAQ:HOOD) is an online consumer finance platform known for its commission-free stock and crypto trading.
Why Is HOOD a Top Pick?
- Customer spending is rising as the company has focused on monetization over the last two years, leading to 40.9% annual growth in its average revenue per user
- Incremental sales over the last three years have been highly profitable as its earnings per share increased by 54.6% annually, topping its revenue gains
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends, and its growing cash flow gives it even more resources to deploy
Robinhood is trading at $100.91 per share, or 43.9x forward EV/EBITDA. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
SouthState (SSB)
Five-Year Return: +95.6%
With roots dating back to the Great Depression era of 1933, SouthState (NYSE:SSB) is a financial holding company that provides banking services, wealth management, and correspondent banking services across six southeastern states.
Why Do We Love SSB?
- Impressive 31% annual net interest income growth over the last five years indicates it’s winning market share this cycle
- Notable projected net interest income growth of 24.5% for the next 12 months hints at market share gains
- Earnings per share grew by 6.1% annually over the last two years, massively outpacing its peers
SouthState’s stock price of $94.17 implies a valuation ratio of 1.1x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
When Trump unveiled his aggressive tariff plan in April 2024, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.
Don’t let fear keep you from great opportunities and take a look at Top 9 Market-Beating Stocks. 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 Comfort Systems (+782% 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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