Over the past 10 years, the S&P 500 has posted lackluster 37% cumulative returns. But some big winners during this period, like Deere (NYSE:DE), up 364%, and Chevron (NYSE:CVX), up 209%, have kept the S&P afloat, if only barely.
So who will be the next big winner from the S&P 500? Based on the ratings from our 115,000-member community at Motley Fool CAPS, we've highlighted the five highest-rated S&P 500 component stocks. Why does this matter? We've found that four- and five-star rated stocks outperformed the market as a group by 7 and 12 percentage points, respectively, from November 2006 to July 2008.
|
Company |
Industry |
Research | |
|---|---|---|---|
|
Genuine Parts (NYSE:GPC) |
***** |
Auto parts wholesale | |
|
Noble (NYSE:NE) |
***** |
Oil and gas drilling and exploration | |
|
Emerson Electric (NYSE:EMR) |
***** |
Industrial equipment and components | |
|
Eaton (NYSE:ETN) |
***** |
Industrial electrical equipment | |
|
Ingersoll-Rand (NYSE:IR) |
***** |
Diversified machinery |
*Source: Motley Fool CAPS, as of Aug. 22, 2008.
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