Missed big runs in some S&P 500 stocks? Don't worry — it's not too late. Analysts found rising stocks with plenty of more upside.
Eight S&P 500 stocks up 20% or more already this year, including Catalent, Uber Technologies and Walt Disney, are on target to rise 5% or even more in the next 12 months, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSurge.
Such glowing prospects on rising stocks show how there's still an opportunity to get into this market. And that's despite the S&P 500 gaining 7.2% already this year.
Investors are hopeful the S&P 500 can keep rallying due to the Federal Reserve standing pat at the worst. "Markets are breathing a sigh of relief as Powell alludes to the current Fed Funds rate being at a peak," said Jose Torres, Senior Economist at Interactive Brokers.
Looking At Big S&P 500 Gains
Some investors might worry the S&P 500's big gains are behind it. The rally this year so far continues to impress.
The S&P 500, just three months into the year, is up more than 70% of what it normally gains in all of a typical year. Meanwhile, the number of gaining stocks is swamping the losers. Nearly two-thirds of S&P 500 stocks are up this year. And all S&P 500 stocks are up an average of 3.9% this year.
And some S&P 500 stocks are up considerably more than that. In excess of 30 S&P 500 stocks are already up 20% or more this year. Analysts are still bullish, too, on a number of them.
Big Gains Beget More Gains
Catalent, a pioneer in making treatments with proteins and cell genes, has seen its shares rise 26% already this year. Investors are playing the long game with this one. Analysts think the company's profit will fall in half this year, but surge 192% in 2025. As a result, analysts expect shares to leap 12.1% in the next 12 months to 63.50 apiece.
Analysts are also bullish on shares of delivery firm Uber. The stock is predicted to add 8.3% in 12 months' time. And that's despite rising nearly 29% already this year. Again, it's a story of fundamental growth. Analysts think the company will make 40% more in 2024 than it did in 2023. Additionally, adjusted profit per share is seen rising 64% in 2025.
Setting Expectations
Not all expectations for additional gains from rising S&P 500 stocks are off the charts. Analysts expect Disney shares to rise 6.1% in the next 12 months. That's not amazing. But it's still respectable given that the stock is already up more than 22% this year.
The entertainment giant is still dogged by some investors wanting more improvement from lagging in years past. It's hard to argue, though, with a company of this size positioned to boost profit nearly 24% this year and another 17% in 2025.
And that's the bottom line. While some lagging stocks face a tough future, some of the winners can keep plowing ahead.
Bright Future For Gaining S&P 500 Stocks
Analysts think all will rise at least 5% more in 12 months
| Company | Ticker | YTD % stock gain | Upside |
|---|---|---|---|
| Catalent | 26.1% | 12.1% | |
| Uber Technologies | 28.5% | 8.3% | |
| Juniper Networks | 27.0% | 6.7% | |
| Builders FirstSource | 20.1% | 6.6% | |
| Fortinet | 21.8% | 6.2% | |
| Walt Disney | 21.9% | 6.1% | |
| Tapestry | 27.7% | 5.8% | |
| Targa Resources | 20.1% | 5.0% |
