Afraid you missed out on some S&P 500 stocks that already doubled this year? Not so fast.
Three of the four S&P 500 stocks up 100% or more this year, including utility Vistra, Nvidia and Constellation Energy, are still undervalued compared with analysts' 12-month price targets, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSurge.
Seeing top stocks still with upside in front of them is a reminder why savvy S&P 500 investors buy into strength.
"This bull market recently celebrated its second birthday and remains young for typical bull," said Wealth Enhancement Group. "The average bull market going back to 1949 is 5.5 years, which if history holds means we are only about one-third into this bull market."
The Winners Keep Winning
The big winner that keeps on going is the S&P 500's top stock of the year: Vistra. Shares of the electric utility are up 226% this year. That gives it an RS Rating of 98.
But despite that huge run, analysts still think the stock is undervalued by nearly 13%. The company's profit is seen rising 53% next year.
AI superstar Nvidia is another example. Shares are up 170% on unbridled growth for the company's chips. And yet, analysts still think shares of Nvidia are undervalued by 13%. Nvidia sports a perfect 99 Composite Rating. The company's profit is seen jumping 119% next fiscal year.
Plugging Into S&P 500 Gains
Another winning utility, Constellation Energy, stands to gain more still, analysts say. The stock is already up 125% this year. And analysts think it's good for another 7.4% on the upside in 12 months. Constellation already has a Composite Rating of 90. Analysts think its profit will rise 11% next year, after gaining 76% in 2024.
Some investors are afraid to buy S&P 500 stocks following a rally. But they might be missing out a second time.
Top S&P 500 Stocks That Doubled This Year
Analysts see upside for three of them in 12 months
| Company | Ticker | Stock YTD % ch. | Implied upside (downside) to target |
|---|---|---|---|
| Vistra | VST | 225.9% | 12.7% |
| Nvidia | NVDA | 169.8% | 12.8% |
| Palantir Technologies | PLTR | 142.6% | -32.3% |
| Constellation Energy | CEG | 125.0% | 7.4% |
