In recent years, when investors have considered market outperformance, many of the usual suspects have likely come to mind, such as AI stocks, semiconductor names, and mega-cap technology. For much of the past few years, that's been the story. But 2026 has thrown up something different so far. Many of the S&P 500's strongest performers year to date aren't tech companies, with three in particular standing out. They're a refiner, a petrochemical giant, and an oil producer. Valero Energy (NYSE: VLO), LyondellBasell (NYSE: LYB), and APA Corporation (NASDAQ: APA) rank 25th, 11th, and 14th among S&P 500 performers year to date.
The common thread is the geopolitical shock triggered by the U.S. and Israel's conflict with Iran in late February, which sent oil prices surging and disrupted global supply chains. And after a stellar run, all three outperformers have just pulled back significantly, possibly giving investors a fresh momentum entry.
Valero Energy: The Refiner Built for This Moment
Valero Energy is one of the largest independent petroleum refiners and fuel producers in the world. The company has operations spanning refining, renewable fuels, ethanol production, and an extensive logistics network.
It's a business that has historically been overlooked in favor of producers and explorers higher up the energy supply chain. But in 2026, refiners have been among the most powerful trades in the market, and Valero has led the way with close to a 44% year-to-date gain, ranking as the 25th best-performing stock in the S&P 500.
The Iran conflict has been the primary catalyst. Disruptions to oil flows through the Strait of Hormuz tightened global refining capacity significantly, pushing crack spreads higher and improving the economics of U.S.-based refiners like Valero that source feedstock domestically. The company had already demonstrated its earnings power before the geopolitical tailwind arrived. In Q4 2025, Valero posted earnings per share of $3.82, beating the consensus estimate of $3.27 by 55 cents. Earnings are expected to grow nearly 32% in the coming year, to $10.45 per share. Institutional ownership stands at nearly 79%, with significant inflows over the prior 12 months, and the stock carries a 2% dividend yield. For investors looking to gain exposure to the refining giant, the recent 9% pullback from its 52-week high might offer a compelling opportunity if the trend holds.
LyondellBasell: The Petrochemical Winner Nobody Saw Coming
LyondellBasell is a global chemical company specializing in polyolefins and advanced polymers. Coming into 2026, the stock had fallen significantly in 2025 amid a prolonged industry downturn and negative earnings. And because of that poor performance, it certainly wasn’t a name on most investors' radar. Yet it has surged to nearly 66% year to date, ranking as the 11th-best-performing stock in the S&P 500.
With the conflict disrupting oil flows through the Strait of Hormuz, input costs have sharply risen for international petrochemical producers that rely on oil-based naphtha cracking. LYB, which uses low-cost North American natural gas liquids as feedstock, suddenly found itself with a significant competitive advantage.
Earnings for the company are expected to grow 26.15% in the coming year, from $6.31 to $7.96 per share, as the company targets over $1 billion in cost savings by year-end. The cease-fire announcement earlier this week prompted profit-taking, sending the stock down almost 6%. If the stock can confirm a higher low within this uptrend, this pullback might turn out to be a great momentum entry point in one of the S&P 500 top-performers for the year.
APA Corporation: The Oil Producer Quietly Delivering
APA Corporation is an independent oil and gas exploration and production company with operations in the Permian Basin, Egypt, and the North Sea. Like LYB, it wasn't generating significant buzz at the start of the year. But it’s almost 60% gain on the year has made it the 14th-best-performing S&P 500 stock. The move has been driven by surging oil prices and operational improvements that have largely flown under the radar.
APA delivered over $1 billion in free cash flow in 2025 despite declining oil prices, cutting annual costs by $300 million, and maintaining flat production.
In its most recent earnings report, the company posted earnings per share of 91 cents, beating the consensus estimate by 29 cents. And like the two names mentioned above, it’s recently pulled back on the week following the decline in oil prices after the cease-fire was announced.
But that pullback, especially for investors who believe that the supply-chain disruptions won't be solved overnight, could provide the perfect entry point. The April 8 low of almost $35 would need to hold firm for the stock to confirm a higher low within its uptrend, keeping its year-to-date trend intact.
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The article "3 Surprising S&P 500 Outperformers of 2026" first appeared on MarketBeat.
