3 Market-Beating Stocks with Exciting Potential
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.
The bottom line is that over the long term, earnings growth goes hand in hand with the biggest winners. Taking that into account, here are three market-beating stocks that could turbocharge your returns.
RBC Bearings (RBC)
Five-Year Return: +156%
With a Guinness World Record for engineering the largest spherical plain bearing, RBC Bearings (NYSE:RBC) is a manufacturer of bearings and related components for the aerospace & defense, industrial, and transportation industries.
Why Will RBC Beat the Market?
- Annual revenue growth of 21% over the last five years was superb and indicates its market share increased during this cycle
- Earnings per share grew by 19.7% annually over the last five years and trumped its peers
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends
At $456.32 per share, RBC Bearings trades at 36.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
W. R. Berkley (WRB)
Five-Year Return: +141%
Founded in 1967 and operating through more than 50 specialized insurance units across the globe, W. R. Berkley (NYSE:WRB) underwrites commercial insurance and reinsurance through specialized subsidiaries serving industries from healthcare to construction to transportation.
Why Are We Bullish on WRB?
- Strong 12.4% annualized net premiums earned expansion over the last five years shows it’s capturing market share this cycle
- Share repurchases over the last five years enabled its annual earnings per share growth of 35.5% to outpace its revenue gains
- Book value per share outlook for the upcoming 12 months is outstanding and shows it’s on track to build significant equity value
W. R. Berkley is trading at $70.54 per share, or 2.7x forward P/B. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free for active Edge members .
Progressive (PGR)
Five-Year Return: +132%
Starting as a small auto insurance company in 1937 with a pioneering focus on high-risk drivers, Progressive (NYSE:PGR) is a major auto, property, and commercial insurance provider that offers policies through independent agents, online platforms, and over the phone.
Why Is PGR a Top Pick?
- Strong 19.5% annualized net premiums earned expansion over the last two years shows it’s capturing market share this cycle
- Incremental sales significantly boosted profitability as its annual earnings per share growth of 93.9% over the last two years outstripped its revenue performance
- Annual book value per share growth of 44.7% over the last two years was superb and indicates its capital strength increased during this cycle
Progressive’s stock price of $226.63 implies a valuation ratio of 3.8x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
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 Tecnoglass (+1,754% 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.