15 Stocks That Outperform the S&P 500 Every Year For the Last 3 Years

1. Celestica Inc. (NYSE:CLS)

3-Year Return as of the Close of March 12: 669%

Celestica Inc. (NYSE:CLS) is a Canada-based supply chain solutions provider across North America, Europe, and Asia. The company has mainly two segments: Advanced Technology Solutions (ATS), and Connectivity & Cloud Solutions (CCS). Incorporated in 1994, Celestica serves a wide clientele including original equipment manufacturers, cloud-based service providers, and companies in aerospace and defense, health, capital equipment, industrial, communication, and enterprise markets. From manufacturing and supply chain services to hardware platform solutions, it has a diverse product portfolio. The company, with a market capitalization of $10.475 billion, is considered an under-the-radar pick.

Celestica Inc. (NYSE:CLS) is one of those stocks that perform quietly but yield solid results. The stock rose by 669% compared to the 32% growth of the market in three years. The growth of its CSS segment, with a contribution of US$6.49b (67% of total revenue), is attributed to the success of the company.

In just one year, Celestica Inc. (NYSE:CLS) has delivered a return of around 92%. This electronics manufacturing services giant is expected to achieve substantial double-digit sales and earnings growth in 2025 and 2026.

There are many reasons to be positive about the stock. One of them is the industry Celestica Inc. (NYSE:CLS) operates in. The company’s CCS segment is immensely successful in harnessing the rise of global data center spending. Industry giants have set aside more than $300 billion to boost their AI infrastructures. This reflects a significant surge in contrast to last year’s accumulated AI CAPEX spending of $246 billion.

Overall, Celestica Inc. (NYSE:CLS) ranks first on our list of the stocks that outperformed the market in the last three years. While we acknowledge the potential for CLS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CLS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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