Growth is oxygen. But when it evaporates, the consequences can be severe - ask anyone who bought Cisco in the Dot-Com Bubble or newer investors who lived through the 2020 to 2022 COVID cycle.
Deciphering which businesses can sustain their high growth rates is a challenge for even the most seasoned professionals, which is why we started StockStory. On that note, here are three growth stocks expanding their competitive advantages.
Northwest Pipe (NWPX)
One-Year Revenue Growth: +15.1%
Playing a large role in the Integrated Pipeline (IPL) project in Texas to deliver ~350 million gallons of water per day, Northwest Pipe (NASDAQ: NWPX) is a manufacturer of pipeline systems for water infrastructure.
Why Could NWPX Be a Winner?
- Impressive 14.4% annual revenue growth over the last five years indicates it’s winning market share this cycle
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 41.6% exceeded its revenue gains over the last two years
- Free cash flow margin jumped by 18.1 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Northwest Pipe is trading at $123.08 per share, or 23.9x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.
Bel Fuse (BELFA)
One-Year Revenue Growth: +25.3%
Founded by 26-year-old Elliot Bernstein during the electronics boom after WW2, Bel Fuse (NASDAQ: BELF.A) provides electronic systems and devices to the telecommunications, networking, transportation, and industrial sectors.
What Makes BELFA Stand Out?
- Annual revenue growth of 15.3% over the last two years was superb and indicates its market share increased during this cycle
- Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 27.1% outpaced its revenue gains
- Free cash flow margin grew by 8.7 percentage points over the last five years, giving the company more chips to play with
Bel Fuse’s stock price of $223.13 implies a valuation ratio of 29.2x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
ServisFirst Bancshares (SFBS)
One-Year Revenue Growth: +19.9%
Founded in 2005 with a focus on serving underserved mid-sized businesses, ServisFirst Bancshares (NYSE: SFBS) is a bank holding company that provides commercial banking services to businesses and professionals through its subsidiary ServisFirst Bank.
Why Is SFBS a Top Pick?
- Annual revenue growth of 19.5% over the last two years was superb and indicates its market share increased during this cycle
- Net interest margin increased by 71.1 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more capital to invest or return to shareholders
- Incremental sales over the last two years have been highly profitable as its earnings per share increased by 25.7% annually, topping its revenue gains
At $89.50 per share, ServisFirst Bancshares trades at 2.3x forward P/B. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
High-Quality Stocks for All Market Conditions
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 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.
