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3 S&P 500 Stocks with Exciting Potential

MCK Cover Image

The biggest companies in the world call the S&P 500 (^GSPC) home, but only a handful are still growing rapidly. Some of these industry leaders are executing exceptionally well and rewarding shareholders.

Not every big company is a great investment, and we’re here to help you find the best opportunities. That said, here are three S&P 500 stocks that could deliver good returns.

McKesson (MCK)

Market Cap: $91.61 billion

With roots dating back to 1833, making it one of America's oldest continuously operating businesses, McKesson (NYSE: MCK) is a healthcare services company that distributes pharmaceuticals, medical supplies, and provides technology solutions to pharmacies, hospitals, and healthcare providers.

Why Is MCK a Top Pick?

  1. 15.3% annual revenue growth over the last two years surpassed the sector average as its offerings resonated with customers
  2. Dominant market position is represented by its $377.6 billion in revenue, which creates significant barriers to entry in this highly regulated industry
  3. Share repurchases over the last five years enabled its annual earnings per share growth of 18.3% to outpace its revenue gains

McKesson is trading at $736.38 per share, or 19.1x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.

Amphenol (APH)

Market Cap: $149.4 billion

With over 90 years of connecting the world's technologies, Amphenol (NYSE: APH) designs and manufactures connectors, cables, sensors, and interconnect systems that enable electrical and electronic connections across virtually every industry.

Why Should You Buy APH?

  1. Market share has increased this cycle as its 22.4% annual revenue growth over the last two years was exceptional
  2. Massive revenue base of $18.82 billion makes it a well-known name that influences purchasing decisions
  3. Incremental sales significantly boosted profitability as its annual earnings per share growth of 29.1% over the last two years outstripped its revenue performance

At $122.87 per share, Amphenol trades at 43.5x forward P/E. Is now the right time to buy? See for yourself in our full research report, it’s free.

Erie Indemnity (ERIE)

Market Cap: $16.36 billion

Operating under a unique business model dating back to 1925, Erie Indemnity (NASDAQ: ERIE) serves as the attorney-in-fact for Erie Insurance Exchange, managing policy issuance, claims handling, and investment services for this reciprocal insurer.

Why Will ERIE Outperform?

  1. Annual revenue growth of 14.4% over the last two years was superb and indicates its market share increased during this cycle
  2. Annual book value per share growth of 12.8% over the last five years was superb and indicates its capital strength increased during this cycle
  3. Market-beating return on equity illustrates that management has a knack for investing in profitable ventures

Erie Indemnity’s stock price of $311.20 implies a valuation ratio of 4.1x trailing 12-month price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

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. Find your next big winner with StockStory today. Find your next big winner with StockStory today

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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