Investors can learn a lot from the stocks that generate phenomenal returns over a relatively short timeframe. For instance, in the past year, we've learned once again that cash flow is king and companies focusing on what they do best is important. 

Three great stocks that exemplify these particular lessons are (NYSE: RACE), with its 64% gain over the past year, Transocean (NYSE: RIG) and its 49% jump, and General Electric's (NYSE: GE) 72% rise. These three have been magnificent stocks and the companies behind them are the reason why.

One of the top-performing auto companies in the world over the past year is Ferrari, and it's not because the company is transitioning to electric vehicles (EVs) or adding products in new markets. This is a company that's focused on the high-end performance niche in automotive and charges a premium for its products.

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Source Fool.com