10 stocks you should have bought the last time the Fed raised interest rates

By Philip van Doorn, MarketWatch

Bloomberg News/Landov

Shares of Priceline Group have returned 4,297% since June 29, 2006, the last time the Federal Reserve raised interest rates.

There’s plenty of speculation about whether the Federal Open Market Committee will raise interest rates on Thursday.

If the Federal Reserve’s policy makers do so, it will be the first time the official federal funds rate has increased in nine years.

That rate has been locked in a range of zero to 0.25% since late 2008, and there are loads of arguments in favor of lifting short-term interest rates and against making any move now.

We thought it would be interesting to see which S&P 500 stocks have fared best since the last time the Fed raised interest rates:

The S&P 500 Index /zigman2/quotes/210599714/realtime SPX +1.30%  in contrast, has returned 89% in that time.

Read: Where every Fed member stands on raising interest rates.

A lot has changed since June 29, 2006, when the central bank last raised the federal funds rate, by a quarter point to 5.25%.

Even though the U.S. economy emerged from the Great Recession in the second half of 2009 and the unemployment rate has dropped to its lowest level since 2008, rates of all kinds are near record lows. The average rate for a 30-year mortgage loan, for example, was just 3.86% on Tuesday, according to Bankrate.

Read: These stocks might work best when the Fed raises interest rates

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Add to watchlist REGN

Regeneron Pharmaceuticals Inc.

US : U.S.: Nasdaq

$ 725.05

+0.05 +0.0069%

Volume: 750,770

May 26, 2023 4:00p

P/E Ratio

19.70

Dividend Yield

N/A

Market Cap

$78.23 billion

Rev. per Employee

$1.04M

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Add to watchlist NFLX

Netflix Inc.

US : U.S.: Nasdaq

$ 378.88

+19.88 +5.54%

Volume: 9.36M

May 26, 2023 4:00p

P/E Ratio

40.68

Dividend Yield

N/A

Market Cap

$168.43 billion

Rev. per Employee

$2.49M

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Add to watchlist CF

CF Industries Holdings Inc.

US : U.S.: NYSE

$ 62.85

-1.01 -1.58%

Volume: 2.17M

May 26, 2023 4:00p

P/E Ratio

4.20

Dividend Yield

2.55%

Market Cap

$12.25 billion

Rev. per Employee

$3.83M

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Add to watchlist MA

Mastercard Inc.

US : U.S.: NYSE

$ 374.37

+4.33 +1.17%

Volume: 2.69M

May 26, 2023 4:00p

P/E Ratio

37.39

Dividend Yield

0.61%

Market Cap

$351.98 billion

Rev. per Employee

$763,043

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Add to watchlist SWKS

Skyworks Solutions Inc.

US : U.S.: Nasdaq

$ 105.05

+5.69 +5.73%

Volume: 2.76M

May 26, 2023 4:00p

P/E Ratio

15.18

Dividend Yield

2.36%

Market Cap

$16.72 billion

Rev. per Employee

$459,372

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Add to watchlist AAPL

Apple Inc.

US : U.S.: Nasdaq

$ 175.43

+2.44 +1.41%

Volume: 54.83M

May 26, 2023 4:00p

P/E Ratio

29.81

Dividend Yield

0.55%

Market Cap

$2759.29 billion

Rev. per Employee

$2.35M

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Add to watchlist AMZN

Amazon.com Inc.

US : U.S.: Nasdaq

$ 120.11

+5.11 +4.44%

Volume: 96.78M

May 26, 2023 4:00p

P/E Ratio

291.39

Dividend Yield

N/A

Market Cap

$1170.51 billion

Rev. per Employee

$340,621

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Add to watchlist SPX

S&P 500 Index

US : S&P US

4,205.45

+54.17 +1.30%

Volume: 0.00

May 26, 2023 5:20p