Investing in the stock market is a great way to grow your wealth over time. Companies that experience growth often reward their shareholders with dividends and increased stock prices.
Having a diversified portfolio, such as an S&P 500 index fund, is a smart investment choice. However, some individual stocks can significantly outperform the market indexes.
Here are some of the top-performing stocks over the past decade.
Best-performing stocks over the past 10 years
*Data as of Sept. 13, 2024. Source: macrotrends.
1. Nvidia (NVDA)
Nvidia has been one of the top-performing stocks in history, rewarding shareholders handsomely over the past decade. The company’s revenue soared to $60.9 billion in its 2024 fiscal year, up from $27.0 billion in 2023, thanks to the growth of artificial intelligence.
- 10-year annualized return: 74.4 percent
- Market cap: $2.93 trillion
2. Advanced Micro Devices (AMD)
AMD, a semiconductor company, offers products used in data centers and supercomputers. The rise of AI and machine-learning technologies has contributed to its success, with $22.7 billion in revenue generated in 2023.
- 10-year annualized return: 44.1 percent
- Market cap: $246.4 billion
3. Champion Homes (SKY)
Champion Homes is a major builder of mobile homes in North America, with revenue reaching $2.6 billion in 2023. The company also constructs tiny homes, park-model RVs, and modular buildings.
- 10-year annualized return: 42.8 percent
- Market cap: $5.5 billion
4. Fair Isaac Corp. (FICO)
Fair Isaac, known for its FICO score, is an applied analytics company used by various industries to measure consumer credit risk. The company generated $1.5 billion in revenue in 2023.
- 10-year annualized return: 41 percent
- Market cap: $46.1 billion
5. Builders FirstSource (BLDR)
Builders FirstSource supplies building materials and construction services to professional homebuilders and consumers. With $17.1 billion in revenue in 2023, the company has seen significant growth.
- 10-year annualized return: 39.7 percent
- Market cap: $21.9 billion
6. Casella Waste Systems (CWST)
Casella Waste Systems provides waste management services, including solid waste collection and recycling. Revenue reached $1.3 billion in 2023.
- 10-year annualized return: 38.5 percent
- Market cap: $6.3 billion
7. Comfort Systems USA (FIX)
Comfort Systems USA offers HVAC services for commercial and industrial facilities. With $5.2 billion in annual revenue in 2023, the company has experienced growth.
- 10-year annualized return: 38 percent
- Market cap: $12.4 billion
8. Broadcom (AVGO)
Broadcom provides semiconductor and infrastructure software solutions, with $35.8 billion in revenue in 2023. The company acquired VMware for $86.3 billion in November 2023.
- 10-year annualized return: 37.8 percent
- Market cap: $781.9 billion
9. Camtek (CAMT)
Camtek, an Israeli company, specializes in metrology equipment for the semiconductor industry. Revenue was $315 million in 2023.
- 10-year annualized return: 36.3 percent
- Market cap: $3.7 billion
10. Monolithic Power Systems (MPWR)
Monolithic Power Systems provides semiconductor-based power electronic solutions, with $1.8 billion in revenue in 2023.
- 10-year annualized return: 36.1 percent
- Market cap: $44.5 billion
Bottom line
While diversifying your portfolio is important, some stocks have significantly outperformed the market in the past decade. Companies like Nvidia, AMD, and Camtek have seen remarkable growth due to advancements in artificial intelligence. As with any investment, thorough research and risk management are crucial.
— Bankrate’s Brian Baker contributed to an earlier version of this story.
Editorial Disclaimer: All investors should conduct their own research before making investment decisions. Past performance is not indicative of future results.