Stocks have enjoyed strong performance in 2024 driven by a resilient economy and generally positive earnings results, with the S&P 500 gaining 12% year to date. Large-cap technologies have helped lead the rise, especially the Magnificent 7 group.
An incredible fact is that only 30% of the S&P 500 stocks have outperformed the index so far this year. ANDThis is slightly higher than the 29% that occurred in 2023. Since 1990, a streak of two consecutive years with such a low percentage has occurred only during the 2000 dotcom bubble.
By comparison, the historical median is 49%, which typically implies healthy market breadth. The S&P 500 is up 12% so far this year, driven largely by a few technology stocks. A few stocks are driving the entire market: the famous G7 of technology: Apple, Microsoft, Alphabet, Amazon, Meta, Nvidia and Tesla.
However, in terms of the best performance so far in 2024, three stocks –Super Micro Computer (SMCI), Constellation Energy (CEG), and Nvidia (NVDA)– reflect some of the best-performing companies in the S&P 500.
Super Micro Computer raised the sales outlook and the stock has performed well thanks to the rise of artificial intelligence, rising by almost a staggering +200% so far this year. The company is a total IT solutions provider for AI, cloud, storage, and 5G/Edge, reflecting a unique investment angle to take advantage of the frenzy.
Analysts have been notably optimistic, raising their earnings expectations across the board. Strong quarterly results have kept the optimism going, with the current Zacks Consensus EPS Estimate of $23.51 for its current fiscal year suggesting 100% year-over-year growth.
Ranking of the best 10 stocks so far this year
1) Symbol: SMCI
Name: Super Micro Computer Inc.
Industry: Hardware technology, storage.
Total profitability 2024: 197.1%
2) Symbol: NVDA
Denomination: NVIDIA Corp
Industry: semiconductors and semiconductor equipment
Total profitability 2024: 166.3%
3) Symbol:VST
Name: Vistra Corp
Industry: electric companies
Total profitability 2024: 128.2%
4) Symbol: CEG
Name: Constellation Energy Corp: Constellation Energy Corp
Industry: Electrical companies
Total profitability 2024: 84.5%
5) Symbol:MU
Name: Micron Technology Inc.
Industry: Semiconductors and semiconductor equipment
Total profitability 2024: 65.8%
6) Symbol: FSLR
Name: First Solar Inc.
Industry: Semiconductors and semiconductor equipment
Total profitability 2024: 58.8%
7) Symbol: AVGO
Name: Broadcom Inc: Broadcom Inc
Industry: Semiconductors and semiconductor equipment
Total profitability 2024: 56.1%
8) Symbol: NRG
Name: NRG Energy Inc: NRG Energy Inc
Industry: Electrical companies
Total profitability 2024: 54.1%
9) Symbol: DECK
Name: Deckers Outdoor Corp
Industry: Textile, clothing and luxury goods
Total profitability 2024: 53.2%
10) Symbol: GE
Denomination: General Electric Co.
Industry: Aerospace and Defense Aerospace and Defense
2024 Total profitability: 53.1%
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
