Kicking off the year with a review of your investment portfolio? If your New Year’s resolution is to invest better or you just want to keep track of market trends, a closer look at the best-performing stocks may give you a sense of which sectors or individual stocks could perform well in the future.
While past success doesn’t guarantee positive future outcomes, the stocks listed below have outperformed the S&P 500 Index, a stock market benchmark for the broader market which tracks the performance of roughly 500 companies trading on U.S. exchanges.
What Are January 2023’s Best-Performing Stocks?
The Best Stocks of the Past Year as of January 2023
| Name | 1Y Total Return |
|---|---|
| Scorpio Tankers (STNG) | 325% |
| Torm (TRMD) | 287% |
| Madrigal Pharmaceuticals (MDGL) | 243% |
| PBF Energy (PBF) | 216% |
| CONSOL Energy (CEIX) | 196% |
| Vista Energy SAB de CV (VIST) | 192% |
| Prometheus Biosciences (RXDX) | 178% |
| Sigma Lithium (SGML) | 171% |
| Peabody Energy (BTU) | 162% |
| Nextier Oilfield Solutions (NEX) | 160% |
Data as of December 30, 2022
Led by Scorpio Tankers (STNG), a tanker shipping company, the best-performing mid- and large-cap stocks of the past year are from the materials, energy and health care sectors.
The Best Stocks of the Past 3 Years as of January 2023
| Name | 3Y Total Return |
|---|---|
| Celsius Holdings (CELH) | 2054% |
| Sigma Lithium (SGML) | 1933% |
| Celldex Therapeutics (CLDX) | 1899% |
| Alpha Metallurgical Resources (AMR) | 1647% |
| GameStop (GME) | 1114% |
| Antero Resources (AR) | 987% |
| Enphase Energy (ENPH) | 914% |
| Moderna (MRNA) | 818% |
| Calix (CALX) | 755% |
| Range Resources (RRC) | 419% |
Data as of December 30, 2022
Over the past three years, the best-performing stocks have been from the consumer staples, materials, health care, consumer discretionary, energy, and information technology sectors. Notable “meme stock” favorite GameStop (GME) ranks fifth for its performance over the past 36 months.
The Best Stocks of the Past 5 Years as of January 2023
| Name | 5Y Total Return |
|---|---|
| Enphase Energy (ENPH) | 10091% |
| FLEX LNG (FLNG) | 2607% |
| Celsius Holdings (CELH) | 1968% |
| Tandem Diabetes Care (TNDN) | 1670% |
| Axsome Therapeutics (AXSM) | 1309% |
| Xenon Pharmaceuticals (XENE) | 1271% |
| Calix (CALX) | 1080% |
| Lattice Semiconductor (LSCC) | 1000% |
| Arrowhead Pharmaceuticals (ARWR) | 990% |
| Inspire Medical Systems (INSP) | 908% |
Data as of December 30, 2022
The top ten stocks over the last five years are from the information technology, energy, consumer staples, and health care sectors, led by Enphase Energy (ENPH), a manufacturer of solar micro-inverters and electric vehicle batteries.
The Best Stocks of the Past 10 Years as of January 2023
| Name | 10Y Total Return |
|---|---|
| Celsius Holdings (CELH) | 51507% |
| Freedom Holding (FRHC) | 10990% |
| Enphase Energy (ENPH) | 7159% |
| Tesla (TSLA) | 5355% |
| Texas Pacific Land (TPL) | 4830% |
| Horizon Therapeutics (HZNP) | 4784% |
| Dexcom (DXCM) | 3233% |
| Advanced Micro Devices (AMD) | 2599% |
| Repligen (RGEN) | 2596% |
| Plug Power (PLUG) | 2374% |
Data as of December 30, 2022
Looking for a longer time horizon? The top ten stocks of the past decade include the electric vehicle maker Tesla (TSLA). These stocks are in the financials, consumer staples, informational technology, consumer discretionary, energy, and health care sectors.
What Should You Do With Appreciated Stock?
When you hold stocks that have appreciated in value since the date of purchase, you have several options. First, you can hold them to see if they’ll increase in value further. Of course, that’s a risk you have to be willing to take. If you’re less inclined to hold, you have a couple of alternatives, including:
- Selling some (or all) your shares of the stock and taking the gains in cash
- Selling the stock, then reinvesting the gains into other assets
- Donating the stock to your favorite charity
Are There Tax Benefits for Donating Stocks?
Donating some of your appreciated stocks can be a tax-savvy way to make a positive difference in the world while reducing your tax burden. If you sell a stock, you’ll be liable for paying capital gains taxes, which can be as high as 20% on long term investments held for at least a year.
But by directly donating some or all of the appreciated stock before you sell, you won’t have to pay capital gains tax on the shares that you donated. (That’s because, for tax purposes, the IRS and tax collecting agencies in several other countries treat stocks as property, which is not subject to the same rules as cash donations.)
The bottom line is that, by donating stock directly, you may have less to owe the IRS and more to donate to a charity. Doing so can be a smart way to offset some of your total capital gains liability for the fiscal year.
How to Donate Stocks and Other Non-Cash Assets
Investors that wish to donate stock shares or cryptocurrencies to registered charities can browse thousands of nonprofits listed on The Giving Block’s philanthropy platform.
Discover the benefits of donating stocks to charitable causes.
Disclaimer: This post is informational only and is not intended as tax advice. For tax advice, please consult a tax professional.
