The S&P 500 (^GSPC) is full of established businesses, but only some continue to outperform the market. A few standout companies are thriving thanks to strong fundamentals and sustained competitive advantages.
Identifying the best companies in the S&P 500 isn’t always easy, and that’s why we started StockStory. That said, here are three S&P 500 stocks leading the market forward.
Meta (META)
Market Cap: $1.39 trillion
Famously founded by Mark Zuckerberg in his Harvard dorm, Meta Platforms (NASDAQ: META) operates a collection of the largest social networks in the world - Facebook, Instagram, WhatsApp, and Messenger, along with its metaverse focused Reality Labs.
Why Are We Backing META?
- Customer spending is rising as the company has focused on monetization over the last two years, leading to 29.9% annual growth in its average revenue per user
- Share repurchases over the last three years enabled its annual earnings per share growth of 51.3% to outpace its revenue gains
- META is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its recently improved profitability means it has even more resources to invest or distribute
Meta is trading at $549.78 per share, or 10.8x forward EV/EBITDA. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Intuit (INTU)
Market Cap: $119.6 billion
Originally named after its founding product "Intuitive for the first-time user," Intuit (NASDAQ: INTU) provides financial management software and services including TurboTax, QuickBooks, Credit Karma, and Mailchimp to help consumers and small businesses manage their finances.
Why Do We Like INTU?
- Winning new contracts that can potentially increase in value as its billings growth has averaged 17.6% over the last year
- Healthy operating margin of 27.1% shows it’s a well-run company with efficient processes, and its operating leverage amplified its profits over the last year
- Strong free cash flow margin of 34% enables it to reinvest or return capital consistently
At $435.61 per share, Intuit trades at 5.4x forward price-to-sales. Is now the right time to buy? Find out in our full research report, it’s free.
Comfort Systems (FIX)
Market Cap: $47.71 billion
Formed through the merger of 12 companies, Comfort Systems (NYSE: FIX) provides mechanical and electrical contracting services.
Why Should You Buy FIX?
- Backlog has averaged 47.6% growth over the past two years, showing it has a pipeline of unfulfilled orders that will support revenue in the future
- Free cash flow margin jumped by 6.1 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
- Improving returns on capital reflect management’s ability to monetize investments
Comfort Systems’s stock price of $1,375 implies a valuation ratio of 40x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it's flagging for this month — FREE. Get Our Top 5 Growth Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.
