The S&P 500 (^GSPC) is often seen as a benchmark for strong businesses, but that doesn’t mean every stock is worth owning. Some companies face significant challenges, whether it’s stagnating growth, heavy debt, or disruptive new competitors.
Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. Keeping that in mind, here are two S&P 500 stocks leading the market forward and one that may struggle.
One Stock to Sell:
Cincinnati Financial (CINF)
Market Cap: $25.86 billion
Founded in 1950 by independent insurance agents seeking stable market options for their clients, Cincinnati Financial (NASDAQ: CINF) provides property casualty insurance, life insurance, and related financial services through independent agencies across 46 states.
Why Are We Cautious About CINF?
- Costs have risen faster than its revenue over the last five years, causing its pre-tax profit margin to decline by 16.2 percentage points
- Earnings growth underperformed the sector average over the last two years as its EPS grew by just 18.4% annually
- Estimated book value per share growth of 4.7% for the next 12 months implies profitability will slow from its two-year trend
Cincinnati Financial is trading at $168.80 per share, or 1.5x forward P/B. Check out our free in-depth research report to learn more about why CINF doesn’t pass our bar.
Two Stocks to Watch:
Uber (UBER)
Market Cap: $159.4 billion
Notoriously funded with $7.7 billion from the Softbank Vision Fund, Uber (NYSE: UBER) operates a platform of on-demand services such as ride-hailing, food delivery, and freight.
Why Will UBER Outperform?
- Monthly Active Platform Consumers are rising, meaning the company can increase revenue without incurring additional customer acquisition costs if it can cross-sell additional products and features
- Share repurchases over the last three years enabled its annual earnings per share growth of 41% to outpace its revenue gains
- Free cash flow margin increased by 13.3 percentage points over the last few years, giving the company more capital to invest or return to shareholders
At $78.28 per share, Uber trades at 12.6x forward EV/EBITDA. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
UnitedHealth (UNH)
Market Cap: $348.8 billion
With over 100 million people served across its various businesses and a workforce of more than 400,000, UnitedHealth Group (NYSE: UNH) operates a health insurance business and Optum, a healthcare services division that provides everything from pharmacy benefits to primary care.
Why Does UNH Stand Out?
- Annual revenue growth of 10.6% over the last five years was above the sector average and underscores its products and services value to customers
- Enormous revenue base of $450.1 billion gives it leverage over plan holders and advantageous reimbursement terms with healthcare providers
- ROIC punches in at 19.2%, illustrating management’s expertise in identifying profitable investments
UnitedHealth’s stock price of $388.62 implies a valuation ratio of 18.5x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
