S&P 500: 7 Stocks Turned $10,000 To $76,175 In 7 Months

If you still think you can’t find winning stocks in the S&P 500, you’re not looking hard enough. Investors paying attention to this market are still finding ways to make money.

All told, 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 Etsy (ETSY) in July, you’d have $76,175 now, says an Investor’s Business Daily analysis of data from S&P Global Market Intelligence and MarketSmith. That’s an impressive six-month gain of 660%. That’s quite a feat in a year the S&P 500 is down 20% and has been brushing with a bear market all year. The same $10,000 invested in the S&P 500 would be worth just $8,000 now. That’s a loss of roughly $2,000.

While these seven stocks jumped the most, the S&P 500 finally had a decent month. Despite being down 20% this year, the S&P 500 gained 7.6% in July. That’s the first time in three months that the S&P 500 moved higher. And to date, the S&P 500 dropped in two of the past seven months.

Gaining In The S&P 500 Is Possible During A Bear

Hindsight is 20/20. And clearly, few if any investors could have picked out the top stock each of the past seven months, as it’s not a repeatable strategy. But the staggering numbers are a reminder to investors that gains can be found in a bear market.

Three stocks in the world’s most popular index, including online craft marketplace Etsy, information technology play Enphase Energy (ENPH) and Bath & Body Works (BBWI), jumped more than 30% in July alone, says an Investor’s Business Daily analysis of data from S&P Global Market Intelligence and MarketSmith.

And that offers a much-needed lift to markets. More than 400 stocks in the S&P 500, or roughly 80% of the index, gained in July. Still, the damage is done with nearly 80% of the stocks in the S&P 500 still down for the year.

Biggest S&P 500 Winners For The Year

Looking at the top stocks of July tells you S&P 500 investors are trying to find bargains.

Just look at Etsy. Even after a powerful 43% rally in July, the stock is still down 66% this year. The company’s profit is seen falling more than 13% this year. But investors seem to think that’s priced in. Instead they’re looking forward to the company’s profit in fiscal 2023 rising again, by more than 13% to $4.24 a share. Similarly, investors are trying to scoop up a value in mall-based personal care and beauty products seller Bath & Body Works. Shares are off 61%, even after a 31.4% gain in July.

In fact, just looking at the S&P 500’s top stock during each month shows you how investors’ attention has shifted during the year. January was all about energy, with Halliburton (HAL) jumping 34.4%. Investors loved energy for their inflation protection, low valuations and dividends. But energy excitement has eased. And that enthusiasm shifted to a hopeful rally in March, with a 3.6% rise in the S&P 500 and 56.4% jump in media marketing information company Nielsen Holdings (NLSN). That’s the largest monthly jump of any stock all year.

And July brought some huge gains, too. We’ll see if that’s a fluke or the start of something new. One thing’s for sure, though, ignore the market at your own risk as you might miss some big gains.

How To Turn $10,000 Into $76,175 In Seven Months

Top S&P 500 stock in each month of the year so far

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 best stock each month
January	Halliburton	(HAL)	34.4%	Energy	-5.3%	$10,000	$13,440
February	SolarEdge	(SEDG)	34.1	Information Technology	-3.1	$13,440	$18,023
March	Nielsen Holdings	(NLSN)	56.4	Industrials	3.6	$18,023	$28,188
April	Twitter	(TWTR)	26.9	Communication Services	-5.4	$28,188	$35,771
May	Albemarle	(ALB)	33.40	Materials	-5.3	$35,771	$47,718
June	Dollar General	(DG)	11.40	Consumer Discretionary	-8.4	$47,718	$53,158
July	Etsy	(ETSY)	43.30	Consumer Discretionary	7.6	$53,158	$76,175