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Do you consider a company's sales trends when comparing stocks? Since most companies earn a majority of their profits through revenue, a sales analysis is an important part of almost any company's story.

With that in mind, we ran a screen on outperforming stocks trading under $5, with performance over the last quarter above 20%.

We then screened these names for those with strong sales trends, comparing growth in revenue to growth in inventory over the last year. We screened for stocks with positive sales trends, with faster growth in revenue than inventory over the last year. Since inventory represents the portion of goods not yet sold, faster growth in revenue than inventory is considered a good sign.

To screen for healthy liquidity, we also only focused on those companies with inventory declining as a percent of current assets.

Interactive Chart: Press Play to compare changes in market cap over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.

We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.

Do you think these stocks will continue to outperform the market? Use this list as a starting point for your own analysis.

List sorted by increase in revenue over the last year.

1. Xinyuan Real Estate Co., Ltd. (NYSE:XIN): Engages in residential real estate development in China. Market cap at $231.19M, most recent closing price at $3.23. Price at $3.21. Performance over the last quarter at 30.99%. Revenue grew by 45.62% during the most recent quarter ($199.77M vs. $137.19M y/y). Inventory grew by 7.95% during the same time period ($768.65M vs. $712.05M y/y). Inventory, as a percentage of current assets, decreased from 66.23% to 56.24% during the most recent quarter (comparing 3 months ending 2011-12-31 to 3 months ending 2010-12-31).

2. Builders FirstSource, Inc. (NASDAQ:BLDR): Engages in the manufacture and supply of structural and related building products for residential new construction primarily in the southern and eastern United States. Market cap at $368.2M, most recent closing price at $3.79. Price at $3.88. Performance over the last quarter at 27.85%. Revenue grew by 34.74% during the most recent quarter ($219.39M vs. $162.83M y/y). Inventory grew by 12.81% during the same time period ($82.08M vs. $72.76M y/y). Inventory, as a percentage of current assets, decreased from 31.65% to 25.06% during the most recent quarter (comparing 3 months ending 2012-03-31 to 3 months ending 2011-03-31).

3. Himax Technologies, Inc. (NASDAQ:HIMX): Designs, develops, and markets semiconductors for flat panel displays. Market cap at $335.16M, most recent closing price at $2.01. Price at $2.02. Performance over the last quarter at 29.61%. Revenue grew by 19.84% during the most recent quarter ($169.23M vs. $141.21M y/y). Inventory grew by -4.25% during the same time period ($112.98M vs. $117.99M y/y). Inventory, as a percentage of current assets, decreased from 24.28% to 21.91% during the most recent quarter (comparing 3 months ending 2011-12-31 to 3 months ending 2010-12-31).

4. Mueller Water Products, Inc. (NYSE:MWA): Manufactures and markets a range of water infrastructure, flow control, and piping component system products for use in water distribution networks and water treatment facilities in the United States and Canada. Market cap at $585.35M, most recent closing price at $3.75. Price at $3.78. Performance over the last quarter at 30.31%. Revenue grew by 6.79% during the most recent quarter ($251.5M vs. $235.5M y/y). Inventory grew by -29.93% during the same time period ($190.8M vs. $272.3M y/y). Inventory, as a percentage of current assets, decreased from 44.46% to 31.84% during the most recent quarter (comparing 3 months ending 2012-03-31 to 3 months ending 2011-03-31).

5. Bluelinx Holdings Inc. (NYSE:BXC): Distributes building products in North America. Market cap at $182.18M, most recent closing price at $2.82. Price at $2.77. Performance over the last quarter at 48.96%. Revenue grew by 6.31% during the most recent quarter ($391.12M vs. $367.9M y/y). Inventory grew by -1.42% during the same time period ($185.58M vs. $188.25M y/y). Inventory, as a percentage of current assets, decreased from 54.62% to 52.06% during the most recent quarter (comparing 13 weeks ending 2011-12-31 to 13 weeks ending 2011-01-01).

*Accounting data sourced from Google Finance, all other data sourced from Finviz.

Source: 5 Outperforming Stocks Under $5 With Positive Inventory Trends