3 Market-Beating Stocks to Research Further

The best-performing stocks typically have robust sales growth, increasing margins, and rising returns on capital, and those that can maintain this trifecta year in and year out often become the legends of the investing world.

It’s clear there’s a strong connection between sustained earnings growth and hall-of-fame returns. Keeping that in mind, here are three market-beating stocks that could turbocharge your returns.

Western Digital (WDC)

Five-Year Return: +278%

Founded in 1970 by a Motorola employee, Western Digital (NASDAQ: WDC) is a leading producer of hard disk drives, SSDs and flash memory.

Why Does WDC Stand Out?

1. Projected revenue growth of 31.9% for the next 12 months is above its two-year trend, pointing to accelerating demand
2. Operating margin increased by 16.1 percentage points over the last five years as it refined its cost structure
3. Free cash flow margin increased by 14.7 percentage points over the last five years, giving the company more capital to invest or return to shareholders

At $260.29 per share, Western Digital trades at 23.1x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.

Howmet (HWM)

Five-Year Return: +747%

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 Good Business?

1. Annual revenue growth of 11.5% over the past two years was outstanding, reflecting market share gains this cycle
2. Share repurchases over the last two years enabled its annual earnings per share growth of 42.8% to outpace its revenue gains
3. Free cash flow margin increased by 12.3 percentage points over the last five years, giving the company more capital to invest or return to shareholders

Howmet’s stock price of $252.35 implies a valuation ratio of 56.4x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Tradeweb Markets (TW)

Five-Year Return: +65%

Founded in 1996 as one of the pioneers in electronic bond trading, Tradeweb Markets (NASDAQ:TW) builds and operates electronic marketplaces that connect financial institutions for trading across rates, credit, equities, and money markets.

Why Are We Backing TW?

1. Annual revenue growth of 23.8% over the past two years was outstanding, reflecting market share gains this cycle
2. Earnings per share grew by 24.2% annually over the last two years and trumped its peers

Tradeweb Markets is trading at $119.53 per share, or 31.4x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.

Stocks We Like Even More

ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.

Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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.