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. Keeping that in mind, here are three market-beating stocks that deserve a spot on your list.
Comfort Systems (FIX)
Five-Year Return: +1,415%
Formed through the merger of 12 companies, Comfort Systems (NYSE:FIX) provides mechanical and electrical contracting services.
Why Will FIX Outperform?
- Average backlog growth of 29.5% over the past two years shows it has a steady sales pipeline that will drive future orders
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 69.7% exceeded its revenue gains over the last two years
- Improving returns on capital reflect management’s ability to monetize investments
At $845 per share, Comfort Systems trades at 34.4x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
Cencora (COR)
Five-Year Return: +220%
Formerly known as AmerisourceBergen until its 2023 rebranding, Cencora (NYSE:COR) is a global pharmaceutical distribution company that connects manufacturers with healthcare providers while offering logistics, data analytics, and consulting services.
Why Do We Love COR?
- Massive revenue base of $316.7 billion gives it meaningful leverage when negotiating reimbursement rates
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 15.2% exceeded its revenue gains over the last five years
- Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures
Cencora is trading at $315 per share, or 18.6x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free for active Edge members.
PJT (PJT)
Five-Year Return: +159%
Spun off from Blackstone in 2015 and founded by former Morgan Stanley executive Paul J. Taubman, PJT Partners (NYSE:PJT) is an advisory-focused investment bank that provides strategic advice, restructuring services, and fundraising solutions to corporations, boards, and investment firms.
Why Is PJT on Our Radar?
- Market share has increased this cycle as its 18.5% annual revenue growth over the last two years was exceptional
- Incremental sales over the last two years have been highly profitable as its earnings per share increased by 23.2% annually, topping its revenue gains
- Market-beating return on equity illustrates that management has a knack for investing in profitable ventures
PJT’s stock price of $173.72 implies a valuation ratio of 25.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking 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-micro-cap company Kadant (+351% 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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