
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.
Fastenal (FAST)
Five-Year Return: +76.9%
Founded in 1967, Fastenal (NASDAQ:FAST) provides industrial and construction supplies, including fasteners, tools, safety products, and many other product categories to businesses globally.
Why Is FAST on Our Radar?
- Unit sales averaged 9.1% growth over the past two years and imply healthy demand for its products
- Offerings are mission-critical for businesses and lead to a best-in-class gross margin of 45.5%
- Healthy operating margin of 20.4% shows it’s a well-run company with efficient processes
Fastenal is trading at $44.86 per share, or 35.9x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
Tutor Perini (TPC)
Five-Year Return: +475%
Known for constructing the Philadelphia Eagles’ Stadium, Tutor Perini (NYSE:TPC) is a civil and building construction company offering diversified general contracting and design-build services.
Why Could TPC Be a Winner?
- Annual revenue growth of 17% over the past two years was outstanding, reflecting market share gains this cycle
- Earnings growth has trumped its peers over the last two years as its EPS has compounded at 102% annually
- Free cash flow margin jumped by 12.9 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
At $77.92 per share, Tutor Perini trades at 14.1x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Vertex Pharmaceuticals (VRTX)
Five-Year Return: +143%
Founded in 1989 with a mission to create medicines that treat the underlying causes of disease rather than just symptoms, Vertex Pharmaceuticals (NASDAQ:VRTX) develops and markets transformative medicines for serious diseases, with a focus on cystic fibrosis, sickle cell disease, and pain management.
Why Does VRTX Stand Out?
- Annual revenue growth of 13.8% over the last five years beat the sector average and underscores the unique value of its offerings
- Strong free cash flow margin of 24.7% enables it to reinvest or return capital consistently
- Industry-leading 49.4% return on capital demonstrates management’s skill in finding high-return investments
Vertex Pharmaceuticals’s stock price of $456.33 implies a valuation ratio of 23.1x forward P/E. Is now the time to initiate a position? 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.
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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.