3 Market-Beating Stocks to Consider Right Now

Companies that consistently increase their sales, margins, or returns on capital are usually rewarded with the best returns, and those that can do all three for years on end are almost always the legendary stocks that return 100 times your 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 with room for further growth.

Inter Parfums (IPAR)

Five-Year Return: +155%

With licenses to produce colognes and perfumes under brands such as Kate Spade, Van Cleef & Arpels, and Abercrombie & Fitch, Inter Parfums (NASDAQ:IPAR) manufactures and distributes fragrances worldwide.

Why Is IPAR a Good Business?

1. 14.6% annual revenue growth over the last three years surpassed the sector average as its brand resonated with consumers
2. Free cash flow margin expanded by 8.7 percentage points over the last year, providing additional flexibility for investments and share buybacks/dividends
3. Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures

Inter Parfums is trading at $114.94 per share, or 21.3x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

The Ensign Group (ENSG)

Five-Year Return: +198%

Founded in 1999 and named after a naval term for a flag-bearing ship, The Ensign Group (NASDAQ:ENSG) operates skilled nursing facilities, senior living communities, and rehabilitation services across 15 states, primarily serving high-acuity patients recovering from various medical conditions.

Why Do We Like ENSG?

1. Products are reaching more customers as its unit sales averaged 12.2% growth over the past two years
2. Estimated revenue growth of 15.2% for the next 12 months implies its momentum over the last two years will continue
3. Earnings growth has trumped its peers over the last five years as its EPS has compounded at 17.3% annually

The Ensign Group’s stock price of $174.99 implies a valuation ratio of 25.9x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.

ServisFirst Bancshares (SFBS)

Five-Year Return: +139%

Founded in 2005 with a focus on serving underserved mid-sized businesses, ServisFirst Bancshares (NYSE:SFBS) is a bank holding company that provides commercial banking services to businesses and professionals through its subsidiary ServisFirst Bank.

Why Should You Buy SFBS?

1. Unique value proposition resonates with borrowers, as seen in its above-market 9.7% annual net interest income growth over the last five years
2. Performance over the past five years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 10.6% outpaced its revenue gains
3. Impressive 13.4% annual tangible book value per share growth over the last five years indicates it’s building equity value this cycle

At $88.15 per share, ServisFirst Bancshares trades at 2.6x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 6 Stocks for this week. 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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