Nvidia, Walmart and Amazon.com count among the five best Dow Jones stocks of 2024. Goldman Sachs and American Express also make the cut.
Best Dow Jones Stocks Of 2024
The Dow Jones Industrial Average fell modestly on Tuesday, the final trading day of 2024. The 30-stock, blue-chip index posted a roughly 13% gain for the year.
Led by Nvidia stock, the best Dow Jones stocks all surged in 2024 to record highs. But they have all pulled back to their 10-week moving averages in December amid the broad market sell-off. IBD Leaderboard stock NVDA is consolidating around the 10-week line.
Four of the top Dow Jones stocks of 2024 flourish a Composite Rating of 90 or above. The IBD Composite Rating, which ranges from 1 (worst) to 99 (best), gives an instant overview of a stock based on a combination of fundamental and technical metrics.
Stock Market Caps Best Two-Year Gain Of 21st Century
Nvidia Stock
Shares of Nvidia nearly tripled in 2024, skyrocketing 171%, making it the best of the best Dow Jones stocks. That includes an almost 13% gain in the fourth quarter.
Nvidia stock shows a 152.89 buy point in a seven-week consolidation pattern, according to IBD MarketSurge charts.
This AI leader has a near-perfect 98 Composite Rating. Its EPS Rating is a perfect 99. A 94 RS Rating means that NVDA stock has outperformed 94% of all stocks in IBD's database over the past year.
Nvidia is the clear U.S. leader in advanced semiconductors for artificial intelligence (AI) applications and accelerated computing. But Nvidia stock wilted in December after China said it's investigating the chip giant on antimonopoly concerns.
Nvidia replaced Intel in the Dow Jones index on Nov. 8.
Since joining the Dow, Nvidia stock has fallen roughly 10%. So the AI chip leader has actually been a drag on blue chips so far.
On Nov. 20, the chip firm posted a 103% surge in quarterly earnings, above expectations, as revenue almost doubled, surging 94%. Nvidia's revenue guidance slightly topped views.
Walmart Stock
Shares of Walmart stock have jumped about 72% in 2024, including a 12% Q4 advance.
The retail giant holds an 84 Composite Rating. Its EPS Rating is 85 and RS Rating is 91. All those IBD ratings are out of a best-possible 99.
Big-box retailer Walmart has embraced technology to grow e-commerce sales and make operations more efficient. Its famously low prices continue to resonate with inflation-weary shoppers. And Walmart's earnings surprised to the upside in the last 10 quarters.
As a result, Walmart is the second-best Dow stock of 2024, trailing only Nvidia and outpacing retail rivaler Amazon.
American Express Stock
Shares of the credit card company surged about 59% in 2024, including a 10% Q4 gain.
The third-best Dow Jones stock of 2024 earns a Composite Rating of 95. Its EPS Rating is 87 and RS Rating is 89.
American Express says it continues to attract high-spending, high-credit-quality customers. It benefited from a recovery in travel and entertainment spending after the pandemic. Now, its growing appeal with younger cardholders has boosted new card acquisitions.
In October, the financial firm raised earnings guidance after beating quarterly views. Investors in American Express stock will watch the pace of Fed rate cuts in 2025. Lower interest rates are likely to drive consumer spending as well as AXP's transaction volumes and fees.
Goldman Sachs Also One Of The Best Dow Stocks
Shares of Goldman Sachs zoomed 48% higher in 2024, including a 16% Q4 jump.
Goldman Sachs stock bears a Composite Rating of 92. The EPS Rating is 87 and its RS Rating is 89.
The investment banking giant continues to expand its asset management business.
In coming years, analysts expect Goldman Sachs and big banks to be key beneficiaries of the incoming Trump administration's focus on deregulation. They also stand to gain from an anticipated rebound in capital markets activity under President-elect Trump.
Amazon.com Stock
Shares of the e-commerce technology giant surged 44% in 2024, including a 19% Q4 advance.
Growth in Amazon Web Services (AWS) and advertising revenue helped to power Amazon stock higher this year. Further, Amazon has leveraged AI technologies, by bringing its AI assistant Amazon Q to its AWS enterprise customers, for example.
The e-commerce retail pioneer joined the Dow Jones Industrial Average in February, replacing Walgreens Boots Alliance.
Please follow Aparna Narayanan on X @IBD_Aparna for more coverage.
