These Large-Cap Growth Stocks Have All Doubled Already this Year
It’s been an up-and-down year for growth stocks, particularly the large-cap growth stocks that led the 2020 market rebound.
First, the up: growth stocks carried their momentum over from last November’s election, as the Nasdaq jumped more than 9% in the first six weeks of the year.
Then came the down: the Nasdaq fell sharply in the month that followed, slipping as much as 12% at the mid-March bottom. Two months of choppiness followed, with the Nasdaq re-testing its March lows in mid-May. Since then, however, they’ve gone nowhere but up, with the Nasdaq at fresh all-time highs and up more than 13% for the year. No matter how we got here, that’s some strong performance for half of a calendar year.
Not surprisingly, the 10 best large-cap stocks through the first six months of 2021 have all either more than doubled or nearly done so (the laggard is up a mere 99%). What is surprising is the names making the list – or at least the likes of AMC Entertainment (AMC) and GameStop (GME) posting triple- and quadruple-digit gains (!) in six months would have seemed like a shock before they became Reddit darlings back in January.
Ditto energy stocks – three of those made the list; this time a year ago, anything in the oil and gas realm would have seemed toxic, fresh off record-low oil prices (remember futures going below zero last May?).
Some are less surprising – namely the two companies that (along with Pfizer) have played the biggest role in delivering the Covid-19 vaccine to the world. With the pandemic looking more and more like it’s in America’s rear-view mirror (knock on wood), investors have been snatching up shares of two of the companies most responsible for getting us to this point.
The remaining three include a Hong Kong fintech stock, an upstart biotech (it was not a large-cap stock entering 2021), and an up-and-coming software stock.
So, without further ado, here’s what companies made the list (in descending order of 2021 returns)…
The Best Large-Cap Growth Stocks of 2021 (So Far)
AMC Entertainment (AMC): 2,258%
GameStop (GME): 937%
Futu Holdings Limited (FUTU): 220%
Intellia Therapeutics (NTLA): 170%
BioNTech (BNTX): 161%
Asana (ASAN): 130%
Continental Resources (CLR): 130%
Moderna (MRNA): 123%
Texas Pacific Land Corp. (TPL): 113%
Marathon Oil (MRO): 99%
The AMC and GME returns are still jaw-dropping, even knowing the reasons behind the massive moves. Entering the year, AMC was a $2 stock, and the movie theater company – like movie theaters in general – looked dead. It’s now a $50 stock, down from being a $62 stock just a month ago. GME’s leap from $18 a share to over $200 a share this year is equally impressive, especially for a seemingly (though not actually, it turns out) forgotten video game retailer.
There’s a big drop-off after those two, with Futu Holdings – the Hong Kong digitized brokerage and wealth management company founded by a former Tencent Holdings employee – the only other stock to crack a 200% return. BioNTech and Moderna should come as no surprise. Marathon Oil and Continental Resources are oil and gas companies that have ridden the coattails of soaring oil prices. Texas Pacific has benefitted from rising energy prices and rising water prices, as it specializes in both those precious resources.
Asana is a mobile app stock that helps companies organize, manage and track their workflow; its sales were up 60% in the latest quarter. Intellia is a gene editing biotech that aims to treat the rare disease transthyretin amyloidosis.
Now, if you want to know the names of other promising growth stocks that didn’t make this list, and will perhaps make the list in the next six months, I highly recommend you subscribe to our Cabot Growth Investor advisory, where Mike Cintolo routinely beats the market by not only uncovering the market’s best growth stocks, but protecting you from portfolio-ruining losses by setting strict loss limits.
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Do you own any of the best large-cap growth stocks? When did you buy them?
Investment analyst and Chief Analyst of Cabot Wealth Daily, Chris Preston brings you all the latest from the investing world. Sign up to get updates and breaking news delivered FREE to your inbox. Get unlimited access to our library of complimentary investing reports.Sign up now!
*This post has been updated from an original version, published in 2018.