Bulletin
Investor Alert

New York Markets Open in:

Philip van Doorn

Deep Dive Archives | Email alerts

Dec. 21, 2019, 9:48 a.m. EST

Here’s how Wall Street’s favorite stock picks turned out in 2019

Their small-cap selections fared best

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    S&P 500 Index (SPX)
  • X
    American Century Mid Cap Growth Impact ETF (MID)
  • X
    S&P Small Cap 600 Index (SML)

or Cancel Already have a watchlist? Log In

By Philip van Doorn, MarketWatch


Bloomberg
Shares of Norwegian Cruise Line have matched the performance of the S&P 500 in 2019.

As we head to a new year, predictions for financial markets and stock picks for 2020 are flowing. It’s also time for annual mea culpas, as stock pickers admit their failures — and, of course, brag about their successes.

It’s difficult for a fund manager to beat the broader market, which is a reason why low-cost index funds are so popular. The S&P 500 Index /zigman2/quotes/210599714/realtime SPX +0.28%  has returned 30% (with dividends reinvested) through Dec. 16. The benchmark index last performed so well in 2013, when it jumped 32%.

MarketWatch’s Jeff Reeves wrote an entertaining piece about his mixed record for 2019 stock selections, and readers chimed in with their own amusing comments.

We have already listed the favorite large-cap, mid-cap and small-cap stock picks among Wall Street analysts for 2020. Let’s see how their selections for 2019 performed.

How Wall Street’s favorites fared

On Jan. 2, we narrowed the S&P 500, the S&P 400 Mid Cap Index /zigman2/quotes/219506813/composite MID +1.43%  and the S&P Small Cap 600 Index /zigman2/quotes/210599868/delayed SML +2.26% to companies covered by at least five sell-side analysts with at least 75% “buy” or equivalent ratings. We then listed the 20 for each index with the highest implied upside for 2019, based on consensus price targets.

Large-cap

A favorite large-cap stock pick for 2019 was Anadarko Petroleum. The stock closed at $43.84 on Dec. 31, 2018, and analysts’ consensus price target for the shares on that date was $76.86. After Anadarko agreed in April to be acquired by Chevron /zigman2/quotes/205871374/composite CVX +0.21%  for $65 a share, Occidental Petroleum /zigman2/quotes/207018272/composite OXY +0.77%  outbid Chevron to take out Anadarko for $76 a share in August. Activist investor Carl Icahn sent a letter to Occidental’s shareholders criticizing the deal, and Occidental’s management team and board of directors.

The consensus price target wasn’t met, but that $76 takeout price was a 73% premium from Anadarko’s share price on Dec. 31. So this one is in the “win” column for the analysts.

Here are the other 19 large-cap picks for this year, with total returns (which include reinvested dividends) through Dec. 16, 2019:

Company Ticker Industry Total return - 2019
Aptiv PLC /zigman2/quotes/204162392/composite APTV Auto Parts: OEM 56%
LKQ Corp. /zigman2/quotes/210317139/composite LKQ Automotive Aftermarket 51%
Allergan plc Pharmaceuticals: Generic 45%
Conagra Brands Inc. /zigman2/quotes/200394144/composite CAG Food: Major Diversified 39%
Electronic Arts Inc. /zigman2/quotes/206954087/composite EA Recreational Products 34%
SVB Financial Group /zigman2/quotes/200548254/composite SIVB Regional Banks 32%
Norwegian Cruise Line Holdings Ltd. /zigman2/quotes/204183397/composite NCLH Hotels/Resorts/Cruiselines 30%
Alexion Pharmaceuticals Inc. Biotechnology 14%
PVH Corp. /zigman2/quotes/208313660/composite PVH Apparel/Footwear 13%
Pioneer Natural Resources Co. /zigman2/quotes/206736173/composite PXD Oil & Gas Production 10%
Marathon Petroleum Corp. /zigman2/quotes/209634297/composite MPC Oil Refining/Marketing 7%
TechnipFMC Plc /zigman2/quotes/207530935/composite FTI Oilfield Services/Equipment 4%
Diamondback Energy Inc. /zigman2/quotes/201200230/composite FANG Oil & Gas Production -5%
Halliburton Co. /zigman2/quotes/210488727/composite HAL Oilfield Services/Equipment -5%
American Airlines Group Inc. /zigman2/quotes/209207041/composite AAL Airlines -12%
Albemarle Corp. /zigman2/quotes/200578017/composite ALB Chemicals: Specialty -12%
Concho Resources Inc. Oil & Gas Production -21%
Mylan NV Pharmaceuticals: Generic -31%
Source: FactSet

Including Anadarko, eight of the 20 large-cap picks matched or beat the return of the S&P 500 in 2019. So 12 underperformed the index, with six having negative returns. Eleven of the 20 returned at least 10%.

Mid-cap

Here’s how the 20 mid-cap picks performed in 2019 through Dec. 16:

Company Ticker Industry Total return - 2019
Marriott Vacations Worldwide Corp. /zigman2/quotes/200002947/composite VAC Other Consumer Services 82%
Lumentum Holdings Inc. /zigman2/quotes/204419752/composite LITE Telecommunications Equipment 80%
MKS Instruments Inc. /zigman2/quotes/208573663/composite MKSI Electronic Production Equipment 72%
MasTec Inc. /zigman2/quotes/207965492/composite MTZ Engineering & Construction 52%
Knight-Swift Transportation Holdings Inc. Class A /zigman2/quotes/206974312/composite KNX Trucking 48%
Boyd Gaming Corp. /zigman2/quotes/206215159/composite BYD Casinos/Gaming 44%
Thor Industries Inc. /zigman2/quotes/202832948/composite THO Recreational Products 36%
Brunswick Corp. /zigman2/quotes/207511569/composite BC Recreational Products 32%
HealthEquity Inc. /zigman2/quotes/210521638/composite HQY Investment Managers 22%
East West Bancorp Inc. /zigman2/quotes/206183036/composite EWBC Regional Banks 14%
Cabot Corp. /zigman2/quotes/205436466/composite CBT Industrial Specialties 13%
SLM Corp /zigman2/quotes/205828282/composite SLM Finance/Rental/Leasing 9%
Apergy Corp. Oilfield Services/Equipment 8%
WPX Energy Inc. Oil & Gas Production 5%
Patterson-UTI Energy Inc. /zigman2/quotes/204120302/composite PTEN Contract Drilling 0%
Allegheny Technologies Inc. /zigman2/quotes/202946054/composite ATI Steel -2%
Ligand Pharmaceuticals Inc. /zigman2/quotes/202030140/composite LGND Biotechnology -22%
Granite Construction Inc. /zigman2/quotes/200569846/composite GVA Engineering & Construction -29%
Callon Petroleum Co. /zigman2/quotes/201917664/composite CPE Oil & Gas Production -32%
Inogen Inc. /zigman2/quotes/208161856/composite INGN Medical Specialties -43%
Source: FactSet
/zigman2/quotes/210599714/realtime
US : S&P US
4,410.13
+12.19 +0.28%
Volume: 3.89B
Jan. 24, 2022 5:04p
loading...
/zigman2/quotes/219506813/composite
US : U.S.: NYSE Arca
$ 47.71
+0.67 +1.43%
Volume: 41,727
Jan. 24, 2022 4:10p
loading...
/zigman2/quotes/210599868/delayed
US : S&P US
1,311.30
+29.03 +2.26%
Volume: 467.75M
Jan. 24, 2022 5:04p
loading...
/zigman2/quotes/205871374/composite
US : U.S.: NYSE
$ 127.18
+0.27 +0.21%
Volume: 19.53M
Jan. 24, 2022 4:02p
P/E Ratio
24.67
Dividend Yield
4.21%
Market Cap
$244.64 billion
Rev. per Employee
$1.98M
loading...
/zigman2/quotes/207018272/composite
US : U.S.: NYSE
$ 34.01
+0.26 +0.77%
Volume: 23.74M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
0.12%
Market Cap
$31.52 billion
Rev. per Employee
$1.93M
loading...
/zigman2/quotes/204162392/composite
US : U.S.: NYSE
$ 139.89
-0.30 -0.21%
Volume: 2.84M
Jan. 24, 2022 4:00p
P/E Ratio
47.70
Dividend Yield
0.00%
Market Cap
$37.92 billion
Rev. per Employee
$103,947
loading...
/zigman2/quotes/210317139/composite
US : U.S.: Nasdaq
$ 55.29
+1.54 +2.87%
Volume: 2.68M
Jan. 24, 2022 4:00p
P/E Ratio
16.06
Dividend Yield
1.81%
Market Cap
$15.71 billion
Rev. per Employee
$292,191
loading...
/zigman2/quotes/200394144/composite
US : U.S.: NYSE
$ 35.31
+0.06 +0.17%
Volume: 7.23M
Jan. 24, 2022 4:02p
P/E Ratio
15.50
Dividend Yield
3.54%
Market Cap
$16.91 billion
Rev. per Employee
$603,376
loading...
/zigman2/quotes/206954087/composite
US : U.S.: Nasdaq
$ 135.20
-3.81 -2.74%
Volume: 4.26M
Jan. 24, 2022 4:00p
P/E Ratio
49.80
Dividend Yield
0.50%
Market Cap
$39.31 billion
Rev. per Employee
$588,636
loading...
/zigman2/quotes/200548254/composite
US : U.S.: Nasdaq
$ 570.01
-11.75 -2.02%
Volume: 1.06M
Jan. 24, 2022 4:00p
P/E Ratio
18.05
Dividend Yield
N/A
Market Cap
$34.14 billion
Rev. per Employee
$1.23M
loading...
/zigman2/quotes/204183397/composite
US : U.S.: NYSE
$ 19.97
-0.09 -0.45%
Volume: 30.50M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$8.36 billion
Rev. per Employee
$4,960
loading...
/zigman2/quotes/208313660/composite
US : U.S.: NYSE
$ 96.55
+0.35 +0.36%
Volume: 3.92M
Jan. 24, 2022 4:00p
P/E Ratio
13.87
Dividend Yield
0.16%
Market Cap
$6.73 billion
Rev. per Employee
$267,115
loading...
/zigman2/quotes/206736173/composite
US : U.S.: NYSE
$ 206.00
-0.91 -0.44%
Volume: 3.20M
Jan. 24, 2022 4:00p
P/E Ratio
37.26
Dividend Yield
1.12%
Market Cap
$50.51 billion
Rev. per Employee
$7.72M
loading...
/zigman2/quotes/209634297/composite
US : U.S.: NYSE
$ 70.39
-0.31 -0.44%
Volume: 9.63M
Jan. 24, 2022 4:00p
P/E Ratio
39.91
Dividend Yield
3.30%
Market Cap
$43.52 billion
Rev. per Employee
$1.77M
loading...
/zigman2/quotes/207530935/composite
US : U.S.: NYSE
$ 6.44
-0.04 -0.62%
Volume: 10.34M
Jan. 24, 2022 4:00p
P/E Ratio
22.46
Dividend Yield
2.02%
Market Cap
$2.92 billion
Rev. per Employee
$238,215
loading...
/zigman2/quotes/201200230/composite
US : U.S.: Nasdaq
$ 119.42
+1.43 +1.21%
Volume: 3.54M
Jan. 24, 2022 4:00p
P/E Ratio
61.94
Dividend Yield
1.67%
Market Cap
$21.38 billion
Rev. per Employee
$7.57M
loading...
/zigman2/quotes/210488727/composite
US : U.S.: NYSE
$ 28.59
+1.05 +3.81%
Volume: 18.88M
Jan. 24, 2022 4:00p
P/E Ratio
17.54
Dividend Yield
0.63%
Market Cap
$24.65 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/209207041/composite
US : U.S.: Nasdaq
$ 16.41
+0.11 +0.67%
Volume: 60.01M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
0.00%
Market Cap
$10.56 billion
Rev. per Employee
$290,964
loading...
/zigman2/quotes/200578017/composite
US : U.S.: NYSE
$ 211.92
-0.83 -0.39%
Volume: 1.99M
Jan. 24, 2022 4:00p
P/E Ratio
112.10
Dividend Yield
0.74%
Market Cap
$24.89 billion
Rev. per Employee
$561,508
loading...
/zigman2/quotes/200002947/composite
US : U.S.: NYSE
$ 162.65
+3.19 +2.00%
Volume: 381,098
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
1.33%
Market Cap
$6.79 billion
Rev. per Employee
$196,500
loading...
/zigman2/quotes/204419752/composite
US : U.S.: Nasdaq
$ 98.52
+1.03 +1.06%
Volume: 779,944
Jan. 24, 2022 4:00p
P/E Ratio
18.71
Dividend Yield
N/A
Market Cap
$7.05 billion
Rev. per Employee
$309,505
loading...
/zigman2/quotes/208573663/composite
US : U.S.: Nasdaq
$ 163.61
+5.09 +3.21%
Volume: 622,296
Jan. 24, 2022 4:00p
P/E Ratio
17.61
Dividend Yield
0.54%
Market Cap
$8.79 billion
Rev. per Employee
$490,672
loading...
/zigman2/quotes/207965492/composite
US : U.S.: NYSE
$ 89.53
+0.68 +0.77%
Volume: 776,341
Jan. 24, 2022 4:00p
P/E Ratio
18.09
Dividend Yield
N/A
Market Cap
$6.60 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/206974312/composite
US : U.S.: NYSE
$ 57.16
+1.56 +2.81%
Volume: 1.57M
Jan. 24, 2022 4:00p
P/E Ratio
15.19
Dividend Yield
0.70%
Market Cap
$9.23 billion
Rev. per Employee
$240,490
loading...
/zigman2/quotes/206215159/composite
US : U.S.: NYSE
$ 58.92
+2.48 +4.39%
Volume: 1.27M
Jan. 24, 2022 4:00p
P/E Ratio
15.37
Dividend Yield
0.00%
Market Cap
$6.34 billion
Rev. per Employee
$218,835
loading...
/zigman2/quotes/202832948/composite
US : U.S.: NYSE
$ 94.67
+7.35 +8.42%
Volume: 1.63M
Jan. 24, 2022 4:00p
P/E Ratio
6.70
Dividend Yield
1.82%
Market Cap
$4.86 billion
Rev. per Employee
$443,169
loading...
/zigman2/quotes/207511569/composite
US : U.S.: NYSE
$ 88.37
+4.29 +5.10%
Volume: 1.63M
Jan. 24, 2022 4:00p
P/E Ratio
11.84
Dividend Yield
1.52%
Market Cap
$6.48 billion
Rev. per Employee
$387,728
loading...
/zigman2/quotes/210521638/composite
US : U.S.: Nasdaq
$ 51.32
+1.35 +2.70%
Volume: 1.09M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$4.18 billion
Rev. per Employee
$247,060
loading...
/zigman2/quotes/206183036/composite
US : U.S.: Nasdaq
$ 83.49
+0.77 +0.93%
Volume: 1.30M
Jan. 24, 2022 4:00p
P/E Ratio
14.56
Dividend Yield
1.58%
Market Cap
$11.74 billion
Rev. per Employee
$558,981
loading...
/zigman2/quotes/205436466/composite
US : U.S.: NYSE
$ 55.82
+0.19 +0.34%
Volume: 441,649
Jan. 24, 2022 4:00p
P/E Ratio
12.78
Dividend Yield
2.65%
Market Cap
$3.16 billion
Rev. per Employee
$757,556
loading...
/zigman2/quotes/205828282/composite
US : U.S.: Nasdaq
$ 17.34
+0.13 +0.76%
Volume: 3.75M
Jan. 24, 2022 4:00p
P/E Ratio
4.88
Dividend Yield
2.54%
Market Cap
$5.05 billion
Rev. per Employee
$1.38M
loading...
/zigman2/quotes/204120302/composite
US : U.S.: Nasdaq
$ 9.81
+0.41 +4.36%
Volume: 3.50M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
0.82%
Market Cap
$2.02 billion
Rev. per Employee
$370,463
loading...
/zigman2/quotes/202946054/composite
US : U.S.: NYSE
$ 19.83
-0.17 -0.85%
Volume: 2.55M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.54 billion
Rev. per Employee
$414,262
loading...
/zigman2/quotes/202030140/composite
US : U.S.: Nasdaq
$ 117.69
+3.51 +3.07%
Volume: 206,740
Jan. 24, 2022 4:00p
P/E Ratio
29.53
Dividend Yield
N/A
Market Cap
$1.91 billion
Rev. per Employee
$1.77M
loading...
/zigman2/quotes/200569846/composite
US : U.S.: NYSE
$ 37.06
+1.08 +3.00%
Volume: 325,335
Jan. 24, 2022 4:00p
P/E Ratio
62.24
Dividend Yield
1.40%
Market Cap
$1.65 billion
Rev. per Employee
$674,405
loading...
/zigman2/quotes/201917664/composite
US : U.S.: NYSE
$ 49.35
+2.12 +4.49%
Volume: 2.31M
Jan. 24, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.90 billion
Rev. per Employee
$5.44M
loading...
/zigman2/quotes/208161856/composite
US : U.S.: Nasdaq
$ 31.25
+1.17 +3.89%
Volume: 453,208
Jan. 24, 2022 4:00p
P/E Ratio
63.72
Dividend Yield
N/A
Market Cap
$683.54 million
Rev. per Employee
$379,081
loading...
1 2
This Story has 0 Comments
Be the first to comment
More News In
Investing

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.