It might be tempting to pull your money out of the S&P 500 given President Trump's trade-war mongering. But analysts still see spots where you can make money.
Six S&P 500 stocks, including Micron Technology, Devon Energy and Super Micro Computer, are expected to rise 30% or more in the next 12 months, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSurge. And that's encouraging as shares of all these stocks are already up this year while the S&P 500 itself is down 1.6%.
"The reality is that investors are reacting to the direct consequences of his (Trump's) trade policies," said Nigel Green of deVere Group. "Shifting tariffs on Mexico, Canada and China, alongside threats to extend the same to the EU, are sowing uncertainty and instability, triggering market turbulence. This isn't the work of shadowy international figures — it's the predictable result of protectionist economics colliding with global financial reality."
Technology Stocks Still Promising
Magnificent Seven stocks might be struggling so far this year, but analysts still see opportunity in the technology sector. Just not in obvious places.
One of the more surprising picks is Super Micro Computer. Shares of the maker of systems largely used in AI are already up 22% this year — making them one of the best stocks of the year. The stock bounced back after the company released updated financial statements, easing investors' worries. But analysts think the company will see its shares soar another 25% in the next 12 months.
Analysts might be bullish on the stock, but the chart looks challenging. Despite a big run-up this year, the stock still carries a low RS Rating of just 12. Earnings are the saving grace. The EPS Rating is 95 and analysts think the company will make $2.63 a share this year, up 19% from the previous year.
More Tech
In fact, analysts' top winning pick for the coming 12 months is a tech stock. But again, it's not one most people think of: It's memory-chip maker Micron. Analysts think the stock is primed to rise another 41% in the next 12 months. And that's on top of a 6.1% gain already this year.
But it's a challenging chart. The RS Rating is just 24. And yet, analysts think the company will earn $7.03 a share in 2025. If that materializes, it would mark growth of 441%. Micron's EPS Rating is already 80.
Who knows if the analysts are right. But at least they see opportunity in the tumult.
Analysts' Top Picks Among S&P 500 Stocks Up This Year
| Company | Ticker | YTD % ch. | Implied upside to analysts' 12-month target |
|---|---|---|---|
| Micron Technology | MU | 6.1% | 45.7% |
| Devon Energy | DVN | 6.2% | 41.8% |
| Super Micro Computer | SMCI | 25.7% | 35.1% |
| Seagate Technology | STX | 2.0% | 34.9% |
| Coterra Energy | CTRA | 2.2% | 33.0% |
| Dexcom | DXCM | 0.1% | 30.8% |
