Stocks to buy

7 Stocks to Buy Now if You Think the S&P 500’s Winning Streak Will Continue

This earnings season has been explosive. Several stocks hit all-time highs. And major indices, like the S&P 500 are at an all-time high. At this pace, I strongly believe the index could see higher highs moving forward.

That being said, here are just a few of the hottest S&P 500 stocks you may want to buy and hold today.

Palantir Technologies (PLTR)

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Palantir Technologies (NYSE:PLTR) just reported its first-ever profit of $210 million. It also locked in 103 deals in the recent quarter. Better, company revenues were up 20% year over year (YOY), with commercial revenues up 32%.

For several years, the company relied on government contracts but it is using bootcamps to attract commercial clients and this has certainly helped the company. It is one of the top stocks to buy for the long term. Palantir has the potential to become an industry winner in the coming years. 

Amazon (AMZN) 

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Amazon (NASDAQ:AMZN) is a globally recognized business that offers a wide range of products and services to customers. The industry leader has been using AI for several business segments and it has reported impressive quarterly numbers driven by holiday sales. 

It is growing its advertising business at a rapid pace and its Amazon Web Services (AWS) is making the most of the AI hype. The stock is up 16% year to date and trading at $174, but there is a lot more upside to come. Amazon Bedrock, its AI tool allows clients to customize and build from a range of large language models that works for their business. It could be a game-changer for AI. 

Additionally, the company saw a 27% YOY growth in the advertising segment and a 13% growth in AWS. The management is highly optimistic for the year and is aiming for growth in the range of 8% to 13% in the quarter. 

Johnson & Johnson (JNJ)

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Trading at $160, Johnson & Johnson (NYSE:JNJ) could have a solid year based on the pipeline of products in the Medtech and innovative medicine sector. Better, it expects 25 blockbuster drugs to drive sales growth in the near term. It is anticipating sales growth between 5% to 7% between 2025 to 2030. 

Additionally, JNJ is a dividend aristocrat with a record of increasing dividends for the past 61 years. It enjoys a dividend yield of 2.97%. The future looks bright for JNJ, and the stock will continue rewarding you for years to come. The S&P rally could give a boost to the stock. 

Alphabet (GOOG, GOOGL)

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If there is one stock that can make you a millionaire, it is Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL). A global giant, it is impossible to imagine life without Alphabet. Its Google Search engine is one of the biggest revenue generators, and it has been expanding its services while also growing the advertising network.

It has a strong presence across multiple industries and generates huge revenue from Google’s ecosystem. It is upgrading its search capabilities with new features and has also introduced Gemini, its own AI model. 

Alphabet already has a stronghold in the market with its products and services. It has seen a slowdown in ad revenue, but this could be temporary. The company has reported a strong quarter recently, and the stock is trading for $145 today, up 59% in the past year. If you want to make the most of the S&P’s upside, buy and hold GOOG stock. 

Microsoft (MSFT)

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A tech dinosaur, Microsoft (NASDAQ:MSFT) is one of the best stocks to own. The company is enjoying some of its best days and has made significant investments in AI. It has already invested in OpenAI and has integrated AI into its services. 

The company reported strong financials and beat expectations in the recent quarterly report. It has also committed to investing $3.44 billion in Germany and $2.1 billion in Spain to expand AI. As one of the biggest tech giants in the world, Microsoft has a long way to go, and an improvement in the PC segment could drive growth. 

The company is also set to benefit from the Activision acquisition and could continue reporting stellar financials. MSFT stock is trading for $411 today and is up 11% year to date. The stock has the potential to keep hitting new highs while it enjoys a modest dividend yield of 0.73%. 

Procter & Gamble (PG)

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Consumer staples giant Procter & Gamble (NYSE:PG) is another stock that could rally while the market is up. The company has a massive portfolio that continues to generate steady income over the years. It has seen a 3% rise in organic sales in the recent quarter and the EPS came in at $1.84. It has boosted the earnings forecast for the year and expects a profit in the range of 8% to 9% in 2024.

One of the top dividend stocks, PG enjoys a dividend yield of 2.34% and it is sustainable. The stock is trading for $160 and is at its 52-week high, but there could be more upside from here. The company has been paying dividends for more than 100 years and it includes 67 years of dividend hikes.

This is a mature stock that will bring resilience to your portfolio. The business is solid and it has a strong brand name, that will help expand the market share. 

SoFi Technologies (SOFI)

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One of the best fintech players in the industry, SoFi Technologies (NASDAQ:SOFI) has impressed investors with its strong quarterly results. It delivered exactly what it had promised. The company reported its first GAAP profit of $48 million and ended the year with 7.5 million users. 

It aims to add at least one million users each quarter. The company’s products are a huge hit amongst consumers and it has seen 24% revenue growth in lending products and a 115% revenue growth in financial products. Trading at $8 today, the stock looks highly undervalued to me and is one that can double in the coming years. 

SoFi is working hard to replace traditional banking and it has been successful to some extent. While it is yet to have a fully profitable year, I think it is on the right path. It is working on reducing reliance on lending so that the company does not suffer during periods of tight credit. I have a very optimistic outlook for SOFI stock this year. 

On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Vandita Jadeja is a CPA and a freelance financial copywriter who loves to read and write about stocks. She believes in buying and holding for long term gains. Her knowledge of words and numbers helps her write clear stock analysis.

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