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. On that note, here are three market-beating stocks that deserve a spot on your list.

Ross Stores (ROST)

Five-Year Return: +103%

Selling excess inventory or overstocked items from other retailers, Ross Stores (NASDAQ: ROST) is an off-price concept that sells apparel and other goods at prices much lower than department stores.

Why Should You Buy ROST?

1. New store openings and solid same-store sales performance have boosted its top-line growth
2. Locations open for at least a year are seeing increased demand as same-store sales have averaged 5.4% growth over the past two years
3. Industry-leading 30.7% return on capital demonstrates management’s skill in finding high-return investments

Ross Stores is trading at $255.10 per share, or 32.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Sterling (STRL)

Five-Year Return: +2,295%

Involved in the construction of a major highway, the Grand Parkway in Houston, TX, Sterling Infrastructure (NASDAQ: STRL) provides civil infrastructure construction.

Why Are We Bullish on STRL?

1. Annual revenue growth of 28.9% over the past two years was outstanding, reflecting market share gains this cycle
2. Strong free cash flow margin of 15.1% enables it to reinvest or return capital consistently, and its rising cash conversion increases its margin of safety
3. Rising returns on capital show management is finding more attractive investment opportunities

At $550.04 per share, Sterling trades at 24x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.

ConocoPhillips (COP)

Five-Year Return: +107%

Operating the famous Prudhoe Bay field discovered in 1968 that transformed Alaska's economy, ConocoPhillips (NYSE: COP) explores for and produces crude oil, natural gas, and liquefied natural gas across North America, Europe, Asia, and Africa.

Why Is COP a Top Pick?

1. Annual revenue growth of 10.1% over the past ten years was outstanding, reflecting market share gains this cycle
2. Unparalleled revenue scale of $65.28 billion gives it advantageous pricing and terms with suppliers
3. COP is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders

ConocoPhillips’s stock price of $116.82 implies a valuation ratio of 12x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Stocks We Like Even More

ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.

Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.