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华尔街日报3 Market-Beating Stocks with Solid Fundamentals
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. On that note, here are three market-beating stocks with room for further growth.
Axon (AXON)
Five-Year Return: +349%
Providing body cameras and tasers for first responders, AXON (NASDAQ:AXON) develops technology solutions and weapons products for military, law enforcement, and civilians.
Why Do We Love AXON?
- Average unit sales growth of 26.3% over the past two years reflects steady demand for its products
- Operating margin improvement of 14.4 percentage points over the last five years demonstrates its ability to scale efficiently
- Earnings growth has trumped its peers over the last two years as its EPS has compounded at 35.2% annually
Axon’s stock price of $553.00 implies a valuation ratio of 79.7x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free for active Edge members .
Woodward (WWD)
Five-Year Return: +156%
Initially designing controls for water wheels in the early 1900s, Woodward (NASDAQ:WWD) designs, services, and manufactures energy control products and optimization solutions.
Why Does WWD Catch Our Eye?
- Core business is healthy and doesn’t need acquisitions to boost sales as its organic revenue growth averaged 11.1% over the past two years
- Sales outlook for the upcoming 12 months implies the business will stay on its desirable two-year growth trajectory
- Earnings per share grew by 38.1% annually over the last two years and trumped its peers
At $298.48 per share, Woodward trades at 37.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Popular (BPOP)
Five-Year Return: +122%
Founded in 1893 as the first bank in Puerto Rico to serve the working class, Popular (NASDAQ:BPOP) is a financial holding company that provides retail, mortgage, and commercial banking services primarily in Puerto Rico and the mainland United States.
Why Are We Positive On BPOP?
- Net interest margin grew by 49.7 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more chips to play with
- Share buybacks propelled its annual earnings per share growth to 15.2%, which outperformed its revenue gains over the last five years
- Balance sheet strength has increased this cycle as its 27% annual tangible book value per share growth over the last two years was exceptional
Popular is trading at $116.30 per share, or 1.2x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free for active Edge members.
Stocks We Like Even More
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 5 Growth Stocks for this month. 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-small-cap company Exlservice (+354% 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
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