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5 Stocks With Strong Sales Growth to Bet on Amid Volatile Markets

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Key Takeaways

  • Sales growth offers clearer insight than earnings during uncertain market conditions.
  • Solid revenue trends aid steadier cash flows, enabling reinvestment and strategic flexibility for companies.
  • Names like TTWO, GMED, ROK, CNQ and VICI show expected sales growth supported by diverse business strengths.

At present, the U.S. equity markets are volatile. Rising concerns over high valuations, sluggish economic signals and ambiguity over the Federal Reserve’s next moves are weighing on investor sentiments, especially in growth and AI-linked stocks. Given the uncertainty around rates and economic data, volatility is expected in the near term. 

So, navigating such a situation to choose stocks and generate steady returns is difficult for retail investors. The traditional way of picking stocks is a good idea now. Sales growth provides a more reliable view for evaluating stocks compared with earnings-focused metrics. Stocks like Take-Two Interactive Software, Inc. (TTWO - Free Report) , Globus Medical, Inc. (GMED - Free Report) , Rockwell Automation, Inc. (ROK - Free Report) , Canadian Natural Resources Limited (CNQ - Free Report) and VICI Properties Inc. (VICI - Free Report) are worth betting on.

When evaluating a company, sales growth is often a more reliable indicator than earnings growth. Steady revenue expansion directly reflects underlying demand for a company’s products or services and provides clearer insight into the durability of its business model. Companies that can grow sales even during economic downturns typically demonstrate pricing power, competitive strength and the ability to gain market share.

Meanwhile, earnings can be distorted by one-off charges, cost-cutting, accounting adjustments or temporary margin expansions, making them a less dependable measure of long-term performance. 

Sustained sales growth also supports more predictable cash flows, giving management the capacity to reinvest in operations, pursue strategic opportunities and maintain stability without excessive borrowing. Strong cash generation provides the financial resilience needed to navigate uncertainty and drive long-term value creation.

Selecting the Potential Winning Stocks

To shortlist stocks with impressive sales growth and a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow of more than $500 million as our main screening parameters.

But sales growth and cash strength are not the absolute criteria for selecting stocks. Hence, we have added other factors to arrive at a winning strategy.

P/S Ratio less than X-Industry: This metric determines the value placed on each dollar of a company’s revenues. The lower the ratio, the better it is for picking a stock since the investor is paying less for each unit of sales.

% Change F1 Sales Estimate Revisions (four weeks) greater than X-Industry: Estimate revisions, better than the industry, are often seen to trigger an increase in stock price.

Operating Margin (average last five years) greater than 5%: Operating margin measures how much every dollar of a company's sales translates into profits. A high ratio indicates that the company has good cost control and sales are increasing faster than costs — an optimal situation.

Return on Equity (ROE) greater than 5%: This metric will ensure that sales growth is translated into profits and the company is not hoarding cash. A high ROE means that the company is spending wisely and is, in all likelihood, profitable.

Zacks Rank less than or equal to 2: Zacks Rank #1 (Strong Buy) or 2 (Buy) stocks are known to outperform, irrespective of the market environment. You can see the complete list of today’s Zacks #1 Rank stocks here.

5 Stocks With Robust Sales Growth to Buy

Take-Two Interactive, based in New York, is a leading developer and publisher of video games. TTWO earns revenues from the sale of disk-based video game products (known as packaged goods), downloadable contents (DLCs), subscriptions, micro-transactions and advertising.

TTWO’s expected sales growth rate for fiscal 2026 is 14.8%. Take-Two Interactive sports a Zacks Rank #1 at present.

Audubon, PA-based Globus Medical is a medical device company that develops and commercializes healthcare solutions for patients with musculoskeletal disorders. At present, GMED has more than 200 products in the market, comprising advanced and differentiated technologies used for treating a variety of musculoskeletal conditions of the spine, extremities and pelvis.

Globus Medical’s expected sales growth rate for 2025 is 14.5%. GMED currently sports a Zacks Rank #1.

Based in Milwaukee, WI, Rockwell Automation provides industrial automation and information solutions worldwide. ROK has a wide network spanning more than 100 countries. 

Rockwell Automation’s sales are expected to rise 5.8% in fiscal 2026. ROK carries a Zacks Rank #2 at present.

Calgary, Canada-based Canadian Natural Resources is one of the largest independent energy companies in the country, which is engaged in the exploration, development and production of oil and natural gas. CNQ boasts a diversified portfolio of crude oil, natural gas, bitumen and synthetic crude oil.

Canadian Natural Resources’ expected sales growth for 2025 is 5.7%. CNQ, at present, sports a Zacks Rank #1.

New York-based VICI Properties is an experiential real estate investment trust (REIT) engaged in the business of owning and acquiring gaming, hospitality and entertainment destinations. VICI’s geographically diverse portfolio comprises approximately 127 million square feet of space, encompassing around 60,300 hotel rooms and more than 500 restaurants, bars, nightclubs and sportsbooks.

VICI Properties’ sales are expected to grow 4.1% in 2025. VICI carries a Zacks Rank #2 at present.

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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.

Disclosure: Performance information for Zacks’ portfolios and strategies are available at:
https://www.zacks.com/performance

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