The COVID-19 economy has been brutal for millions of people who have been directly affected, through illness and loss of family members and friends, but also though lost jobs, destroyed businesses and disrupted careers. The stock market has been a different story: Unprecedented stimulus efforts of the federal government and Federal Reserve have sent it soaring.
Some of the best-known stock-market winners of 2020 are companies with innovative technology and services that businesses and consumers have relied on for remote access. Yet many aren’t yet included in the S&P 500 Index
the part of the market tracked by most of the money invested in low-cost index funds, including the SPDR S&P 500 ETF
Others, while part of the Nasdaq Composite Index
aren’t yet included in the Nasdaq-100 Index
which is tracked by the Invesco QQQ Trust ETF
SPY has risen 18% while QQQ has surged an impressive 48%, both through Dec. 28.
This list doesn’t include Tesla Inc.
which was added to the S&P 500 on Dec. 21; the electric car maker’s shares had soared 731% by then.
Here are 15 stocks that have soared this year but aren’t included in the broad S&P indexes or the Nasdaq-100:
|Company||Ticker||Industry||Price change – 2020||Market capitalization ($mil)|
|Cloudflare Inc. Class A||US:NET||Information Technology Services||398%||19,878|
|CrowdStrike Holdings Inc. Class A||US:CRWD||Packaged Software||343%||41,632|
|Pinterest Inc. Class A||US:PINS||Internet Software/Services||281%||36,291|
|Twilio Inc. Class A||US:TWLO||Software||269%||50,898|
|Square Inc. Class A||US:SQ||Information Technology Services||265%||87,615|
|Trade Desk Inc. Class A||US:TTD||Advertising/Marketing Services||259%||39,087|
|Zillow Group Inc. Class C||US:Z||Information Technology Services||202%||22,999|
|Carvana Co. Class A||US:CVNA||Specialty Stores||198%||19,389|
|Wayfair Inc. Class A||US:W||Internet Retail||180%||18,408|
|Roku Inc. Class A||US:ROKU||Electronics/Appliances||167%||38,907|
|Teladoc Health Inc.||US:TDOC||Hospital/Nursing Management||148%||30,145|
|RingCentral Inc. Class A||US:RNG||Software||136%||31,613|
|Spotify Technology SA||US:SPOT||Internet Software/Services||120%||61,422|
|Veeva Systems Inc. Class A||US:VEEV||Software||104%||39,218|
Scroll the table to see all the data.
You can click on the tickers for more about each company, including profiles, news coverage, price ratios and charts.
Here’s a summary of Wall Street analysts’ opinions about these stocks after such remarkable gains:
|Company||Ticker||Share ‘buy’ ratings||Share neutral ratings||Share ‘sell’ ratings||Closing Price||Consensus price target||Implied 12-month upside potential|
|Cloudflare Inc. Class A||US:NET||81%||19%||0%||$84.98||$72.60||-15%|
|CrowdStrike Holdings Inc. Class A||US:CRWD||75%||20%||5%||$221.12||$188.26||-15%|
|Pinterest Inc. Class A||US:PINS||64%||32%||4%||$71.04||$69.46||-2%|
|Twilio Inc. Class A||US:TWLO||78%||15%||7%||$362.88||$366.70||1%|
|Square Inc. Class A||US:SQ||57%||34%||9%||$228.28||$217.66||-5%|
|Trade Desk Inc. Class A||US:TTD||42%||53%||5%||$931.77||$751.44||-19%|
|Zillow Group Inc. Class C||US:Z||48%||39%||13%||$138.64||$130.20||-6%|
|Carvana Co. Class A||US:CVNA||62%||38%||0%||$274.71||$241.95||-12%|
|Wayfair Inc. Class A||US:W||45%||39%||16%||$252.82||$304.08||20%|
|Roku Inc. Class A||US:ROKU||59%||33%||8%||$356.99||$275.67||-23%|
|Teladoc Health Inc.||US:TDOC||60%||40%||0%||$207.95||$242.78||17%|
|RingCentral Inc. Class A||US:RNG||96%||0%||4%||$398.51||$364.13||-9%|
|Spotify Technology SA||US:SPOT||47%||33%||20%||$328.39||$285.78||-13%|
|Veeva Systems Inc. Class A||US:VEEV||65%||26%||9%||$287.58||$308.43||7%|
Analysts have majority “buy” or equivalent ratings on 11 of these 15 stocks; however, most of the stock have gotten ahead of the consensus price targets. These price targets are usually for 12 months, so it is clear the analysts are confident for many as longer-term plays, despite valuations that appear lofty for the short term.