3 Market-Beating Stocks for Long-Term Investors
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.
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 with room for further growth.
JFrog (FROG)
Five-Year Return: +112%
Named after the amphibian that continuously evolves from egg to tadpole to adult, JFrog (NASDAQ:FROG) provides a platform that helps organizations securely create, store, manage, and distribute software packages across any system.
What Makes FROG Stand Out?
- ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
- Software platform has product-market fit given the rapid recovery of its customer acquisition costs
- Robust free cash flow margin of 26.9% gives it many options for capital deployment
JFrog is trading at $92.04 per share, or 16.7x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.
ATI (ATI)
Five-Year Return: +856%
With its materials flying in nearly every commercial and military aircraft in service today, ATI (NYSE:ATI) produces highly specialized materials and components for aerospace, defense, medical, and energy applications using advanced metallurgy and manufacturing processes.
Why Do We Love ATI?
- Annual revenue growth of 11.1% over the past five years was outstanding, reflecting market share gains this cycle
- Share repurchases over the last two years enabled its annual earnings per share growth of 24.8% to outpace its revenue gains
- Free cash flow margin increased by 21.7 percentage points over the last five years, giving the company more capital to invest or return to shareholders
At $192.28 per share, ATI trades at 40.7x forward P/E. Is now the right time to buy? See for yourself in our full research report, it’s free.
Texas Pacific Land (TPL)
Five-Year Return: +163%
One of America's largest private landowners with roughly 868,000 acres in the Permian Basin, Texas Pacific Land (NYSE:TPL) owns land in West Texas and earns revenue from oil and gas royalties, water services, and land leases.
Why Should You Buy TPL?
- Annual revenue growth of 31.3% over the past ten years was outstanding, reflecting market share gains this cycle
- Highly-profitable operating model results in strong unit economics and a best-in-class gross margin of 94.9%
- TPL is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
Texas Pacific Land’s stock price of $413.78 implies a valuation ratio of 32.5x forward EV-to-EBITDA. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating 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-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.