S&P 500 stocks have experienced a compound annual growth rate (CAGR) of 3.5% in real trailing 12-month total revenue per share over the past five years. The benchmark index for the U.S. stock market closed at 4,328.87 on Friday, up nearly 82.5% over the past five years through March 4.
Thus, investors may want to consider the four stocks listed below, as they have outperformed the S&P 500 in terms of higher five-year revenue per share growth rates. A company's history of growing profits is no guarantee of its future, but historically, rising sales are a powerful catalyst for higher stock prices.
Alphabet Inc.
The first stock that makes the cut is Alphabet Inc. (GOOG, Financial) (GOOGL, Financial), a Mountain View, California-based tech conglomerate.
The company saw its revenue per share increase by 22.60% on average per year over the past five years.
The share price has risen 209.04% over the past five years to close at $2,638.13 on Friday for a market capitalization of $1.75 trillion and a 52-week range of $1,996.09 to $3,030.93.
Wall Street sell-side analysts issued a median recommendation rating of buy for this stock and have established an average target price of $3,481.97 per share.
Vanguard Group, BlackRock Inc. and FMR LLC are among the company's largest shareholders with 3.48%, 3.10% and 2.03% of shares outstanding, respectively.
Adobe Inc.
The second company that qualifies is Adobe Inc. (ADBE, Financial), a San Jose, California-based software company.
The company saw its revenue per share increase by 22.90% on average per year over the past five years.
The share price has risen 278.04% over the past five years to close at $452.13 on Friday for a market capitalization of $213.56 billion and a 52-week range of $416.81 to $699.54.
Wall Street sell-side analysts issued a median recommendation rating of overweight for this stock and have established an average target price of $655.58 per share.
Vanguard Group, BlackRock Inc. and FMR LLC are among the company's largest shareholders with 8.14%, 7.94% and 5.04% of shares outstanding, respectively.
Comcast Corp
The third company that qualifies is Comcast Corp. (CMCSA, Financial), a Philadelphia, Pennsylvania-based global operator of media and technology.
The company saw its revenue per share increase by 8.70% on average per year over the past five years.
The share price has risen 27.22% over the past five years to close at $47.21 on Friday for a market capitalization of $214.01 billion and a 52-week range of $44.27 to $61.80.
Wall Street sell-side analysts issued a median recommendation rating of overweight for this stock and have established an average target price of $60.82 per share.
Vanguard Group, BlackRock Inc. and Capital International Investors are among the company's largest shareholders with 8.75%, 6.89% and 4.77% of shares outstanding, respectively.
Crown Castle International Corp
The fourth stock that meets the criteria is Crown Castle International Corp. (CCI, Financial), a Houston-based provider of infrastructure for shared communications.
The company saw its revenue per share increase by 5.60% on average per year over the past five years.
The stock has risen by 97.66% over the past five years to close at $179.10 per share on Friday for a market capitalization of $77.41 billion and a 52-week range of $44.27 to $61.80.
Wall Street sell-side analysts issued a median recommendation rating of overweight for this stock and have established an average target price of $199.83 per share.
Vanguard Group, BlackRock Inc. and State Street Corp are among the company's largest shareholders with 12.93%, 8.56% and 4.55% of shares outstanding, respectively.
