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S&P 500: These 7 Stocks Turned $10,000 To $89,827 In Just 7 Months 


Hope you didn’t follow doomsayers calling for the S&P 500 to fall this summer. The S&P 500 just put up its sixth monthly gain in a row — headlined by some stunning individual stock gains in July.




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This powerful rally starting to add up to real cash. Had you invested $10,000 in January and reinvested your money into the top stock currently in the S&P 500 each month this year, including Moderna (MRNA) in July, you’d have an eye-popping $89,827 now, says an Investor’s Business Daily analysis of data from S&P Global Market Intelligence and MarketSmith.

That’s a powerful seven-month gain of 798% from holding seven stocks. That even beats the impressive rise in the S&P 500 this year so far, which turned a $10,000 investment into $11,704. The S&P 500 is up 2.3% in July.

And that’s just the beginning of what’s turning out to be a great 2021 for the S&P 500 so far. Investors hauled in $6.7 trillion this year so far in paper gains, says Wilshire Associates.

June Is Another Good Month For The S&P 500

Hindsight is 20/20. And clearly, few if any investors could have pulled this off as it’s not a repeatable strategy like this is.

But the staggering gains from top stocks this this year so far reminds investors major money can be made even more than a year into a bull market with continued market leadership. And that’s even the case as momentum continues to shift back and forth between “growth” and “value” oriented parts of the S&P 500. That’s why the wealthiest people in the world know to stay invested in S&P 500 winners.

Remarkably, big gains were had in the S&P 500 in July even as investors turned a bit cautious. Moderna was the top S&P 500 stock, gaining 47.1%. But materials firm Albemarle (ALB) and fellow health care play HCA Healthcare (HCA) followed closely with 20.4% and 19.9% gains, respectively.

Top S&P 500 Stocks In July 2021

Company Symbol July % Gain Sector
Moderna (MRNA) 51.1% Health Care
Albemarle (ALB) 22.6% Materials
Chipotle Mexican Grill (CMG) 20.3% Consumer Discretionary
HCA Healthcare (HCA) 20.0% Health Care
Monolithic Power Systems (MPWR) 19.9% Information Technology
PerkinElmer (PKI) 18.1% Health Care
Mid-America Apartment Communities (MAA) 14.7% Real Estate
Fortinet (FTNT) 14.6% Information Technology
Yum Brands (YUM) 14.2% Consumer Discretionary
Advanced Micro Devices (AMD) 13.1% Information Technology
Source: IBD, S&P Global Market Intelligence

Defensive Areas Of S&P 500 Perk Up

Scanning the top-performing S&P 500 sectors in July highlights a theme: Investors sought safety. Areas of the market thought to be less subject to the ups and downs of the economy did best.

Specifically, the Utilities Select Sector SPDR ETF (XLU) jumped more than 4%, just in July alone. That’s among the larger gains with the other 10 S&P 500 sectors. Consumers and businesses need power and energy no matter what’s going on in the economy.

But what’s another top S&P 500 sector during the month? That’s another defensive industry: health care. The Health Care Select Sector SPDR ETF (XLV) is up 4.9% during the month. And three of the top 10 S&P 500 stocks during the month hail from the health care sector, including Moderna.

Moderna’s profit is seen absolutely exploding in 2021. Analysts think the company behind one of the Covid-19 vaccines to make more than $10 billion, $25.67 a share, in 2021. That’s up from a $747 million loss in 2020. Meanwhile, Moderna’s revenue is expected to jump nearly 2,300% this year to $19.1 billion. Should you buy Moderna stock now?

Monthly S&P 500 Winners Show Market’s Mood

The shift to the healthcare sector is just the latest twist in the S&P 500’s uncertain path this year.

Biogen (BIIB), another health care stock, was tops in the S&P 500 in June. But prior to that, in March and April, the rush to profit on the economy’s reopening was in full force. During March, materials firm Nucor (NUE) ruled followed by industrial Equifax (EFX) in April. And back in January, when speculation raged, beat-up communication services firm Discovery (DISCA) topped the S&P 500.

Market leadership is fickle. But as another month of S&P 500 gains shows, money is to be made in stocks — even in the summer.

Top Current S&P 500 Stocks Each Month In 2021

Being in the right stock each month turned $10,000 into $89,827

Month Top S&P 500 Stock Symbol Stock Monthly % Gain Sector S&P 500 % Monthly Ch. Beg. Bal. Cumulative Value Of $10,000 Investment In January Reinvested In Top Stock Each Month Composite Rating
January Discovery, Inc. (DISCA) 37.7% Communication Services -1.1% $10,000 $13,770 32
February Marathon Oil Corporation (MRO) 53.3% Energy 2.6% $13,770 $21,109 53
March Nucor (NUE) 34.2% Materials 4.2% $21,109 $28,329 99
April Equifax (EFX) 26.6% Industrials 5.3% $28,329 $35,864 95
May NortonLifeLock (NLOK) 28.0% Information Technology 0.5% $35,864 $45,906 77
June Biogen (BIIB) 29.5% Health Care 2.2% $45,906 $59,449 49
July Moderna (MRNA) 51.1% Health Care 2.3% $59,449 $89,827 75
Sources: IBD, S&P Global Market Intelligence
Follow Matt Krantz on Twitter @mattkrantz

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