As the stock market has shown signs of recovery from the early August sell-off, some stocks have emerged as potential winners with strong momentum. The S & P 500, Dow Jones Industrial Average, and Nasdaq Composite have all rebounded, setting a more positive tone for the overall market. CNBC Pro recently conducted a screen using FactSet data to identify stocks that stood out during the market’s rebound and could continue to climb.
One of the companies that made the list is pharmaceutical firm Eli Lilly. The stock has seen significant gains in 2024, with a notable 19% increase in August alone. Analysts are optimistic about Eli Lilly’s future prospects, with a majority of them maintaining a buy rating on the stock. The company’s recent announcement of a cheaper version of Zepbound has also contributed to the positive sentiment surrounding the stock.
Retail giant Walmart is another stock that has shown strong performance this year, with a 45% increase in share price and an 11% gain in August. The company’s fiscal second-quarter results exceeded expectations, reflecting strong consumer spending. Walmart’s upward revised sales growth forecast further indicates the company’s positive outlook. Analysts are bullish on Walmart’s stock, with a significant percentage maintaining a buy rating.
In addition to Eli Lilly and Walmart, other stocks that have demonstrated strong rebounds include insurance firm Progressive and retailer Ross Stores. These companies have shown resilience in the face of market volatility, indicating potential for further gains in the future. As the stock market continues to recover from recent turbulence, these stocks could be well-positioned for continued upside.
The post-pandemic stock market presents opportunities for investors to capitalize on companies with strong momentum and growth potential. As evidenced by the performance of stocks like Eli Lilly and Walmart, there is room for further upside in select sectors. By conducting thorough research and analysis, investors can identify stocks that are likely to outperform in the current market environment.