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. That said, here is one S&P 500 stock that is leading the market forward and two best left off your watchlist. Two Stocks to Sell: Charter (CHTR) Market Cap: $56.63 billion Operating as Spectrum, Charter (NASDAQ:CHTR) is a leading telecommunications company offering cable television, high-speed internet, and voice services across the United States. Why Does CHTR Give Us Pause? Sluggish trends in its internet subscribers suggest customers aren’t adopting its solutions as quickly as the company hoped Sales are projected to be flat over the next 12 months and imply weak demand Below-average returns on capital indicate management struggled to find compelling investment opportunities Charter’s stock price of $408.17 implies a valuation ratio of 10.6x forward P/E. If you’re considering CHTR for your portfolio, see our FREE research report to learn more. AT&T (T) Market Cap: $195.9 billion Founded by Alexander Graham Bell, AT&T (NYSE:T) is a multinational telecomm conglomerate providing a range of communications and internet services. Why Is T Risky? Sales tumbled by 7.3% annually over the last five years, showing consumer trends are working against its favor Performance over the past five years shows each sale was less profitable as its earnings per share dropped by 9% annually, worse than its revenue Low returns on capital reflect management’s struggle to allocate funds effectively At $27.29 per share, AT&T trades at 13.1x forward P/E. Dive into our free research report to see why there are better opportunities than T. One Stock to Buy: O'Reilly (ORLY) Market Cap: $77.78 billion Serving both the DIY customer and professional mechanic, O’Reilly Automotive (NASDAQ:ORLY) is an auto parts and accessories retailer that sells everything from fuel pumps to car air fresheners to mufflers. Why Should You Buy ORLY? Comparable store sales rose by 4.5% on average over the past two years, demonstrating its ability to drive increased spending at existing locations Unique assortment of products and pricing power result in a best-in-class gross margin of 51.3% ORLY is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders Story Continues O'Reilly is trading at $1,363 per share, or 29.9x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free. Stocks We Like Even More The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. View Comments
1 S&P 500 Stock for Long-Term Investors and 2 to Ignore
You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research.
Start Your Free Trial Now!Not sure where to invest today?
Kalkine’s latest research highlights three companies identified through in-depth analysis and market insights.
Explore these research reports to learn about companies currently being tracked by our analysts and make more informed investment decisions.
View 3 Research ReportsThis information, including any data, is sourced from Unicorn Data Services SAS, trading as EOD Historical Data (“EODHD”) on ‘as is’ basis, using their API. The information and data provided on this page, as well as via the API, are not guaranteed to be real-time or accurate. In some cases, the data may include analyst ratings or recommendations sourced through the EODHD API, which are intended solely for general informational purposes.
This information does not consider your personal objectives, financial situation, or needs. Kalkine does not assume any responsibility for any trading losses you might incur as a result of using this information, data, or any analyst rating or recommendation provided. Kalkine will not accept any liability for any loss or damage resulting from reliance on the information, including but not limited to data, quotes, charts, analyst ratings, recommendations, and buy/sell signals sourced via the API.
Please be fully informed about the risks and costs associated with trading in the financial markets, as it is one of the riskiest forms of investment. Kalkine does not provide any warranties regarding the information on this page, including, without limitation, warranties of merchantability or fitness for a particular purpose or use.
Please wait processing your request...