The S&P 500 vaulted higher in August, stringing together the fourth-straight monthly gain. And some stocks scored seriously impressive gains.
If you invested $10,000 in January in the top-performing stock in the S&P 500 at the time and reinvested that in each month's top performer, including Intel in August, you'd have $112,390 now, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSurge.
That's an impressive seven-month gain of 1,023%. It's quite a feat given the S&P itself is up just 10.6% so far this year. The same $10,000 invested in the S&P 500 would be worth just $11,060 now. That's a gain of $1,060. The S&P 500 rose 2.5% in August, making it the fifth positive month this year since January.
Will The S&P 500 Sink In September?
Hindsight is 20-20. And, clearly, few if any investors could have picked the top stock in each of the past eight months, as it's not a repeatable strategy. But the staggering numbers this year remind investors that amazing gains can be scooped up by diligent investors who keep buy lists handy for big leaders when the S&P 500 starts to hit highs.
In fact, in the fourth-straight month of gains, the S&P 500 offered many ways to make money. Nearly 66% of the stocks in the S&P 500 rose during August. And of those, six stocks jumped more than 20% in just one month.
Top S&P 500 Stock Of August: Intel
The S&P 500 itself was so strong in August that competition to be No. 1 was fierce. Intel was well positioned. The company makes computer chips — an industry the U.S. government wants to protect. Shares surged 25.9% during the month, as the U.S. government said it now owns 10% of the struggling firm.
It marked the third month this year with an information technology stock on top of the S&P 500. Last month, Generac Holdings was the top stock with a 35.9% rally.
Analysts think that Intel's earnings per share will rise 203% in 2025. And profit is seen rising 417% in 2026. This is not the time to buy the stock, though. The RS Rating is just 79 and EPS Rating is 9, out of 99. And the stock is also well extended past its 200-day moving average.
The rest of the top 10 S&P 500 stocks in the eighth month of the year include a mixed bag of stocks. Materials firm Albemarle shares gained 25% in August, putting them down 1.4% for the year. UnitedHealth is also continuing to bounce. Shares of the health insurer rose 21% in August.
What's Coming Next For The S&P 500?
The big question, though, is: Will the S&P 500's winning ways continue in September? Historically, the odds are poor. Many investors like to sell in May and stay away.
September ranks last of all 12 months for S&P 500 performance going back to 1950, says the "Stock Trader's Almanac." The S&P 500 sinks 0.7% in September on average. Investors also have the risk of tariffs along with layoffs to contend with.
Following four solid months for the S&P 500, investors hope for more gains. But it's unclear if they'll get more.
How To Turn $10,000 Into $89,270 In 7 Months
Month | Top S&P 500 stock | Symbol | Monthly gain | Sector | S&P 500 monthly ch. | Starting balance | Cumulative value of $10,000 investment in January reinvested in best stock each month |
---|---|---|---|---|---|---|---|
January | Constellation Energy | CEG | 34.1% | Utilities | 2.7% | $10,000 | $13,410 |
February | Super Micro Computer | SMCI | 45.40% | Information Technology | -1.4% | $13,410 | $19,498 |
March | Dollar General | DG | 18.5% | Consumer Staples | -5.8% | $19,498 | $23,105 |
April | Palantir Technologies | PLTR | 40.3% | Information Technology | -0.8% | $23,105 | $32,417 |
May | NRG Energy | NRG | 42.3% | Utilities | 6.2% | $32,417 | $46,129 |
June | Coinbase Global | COIN | 42.4% | Financials | 5.0% | $46,129 | $65,688 |
July | Generac Holdings | GNRC | 35.9% | Industrials | 2.2% | $65,688 | $89,270 |
August | Intel | INTC | 25.9% | Information Technology | 2.5% | $89,270 | $112,390 |