In this article, we will take a look at the 5 stocks that outperform the S&P 500 every year for the last 5 years. To read our analysis of the recent trends and market activity, you can go to the 13 Stocks That Outperform the S&P 500 Every Year for the Last 5 Years.
5. Deckers Outdoor Corporation (NASDAQ:DECK)
5-Year Share Price Returns as of November 16: 374%
Number of Hedge Fund Holders: 47
Founded in 1973 and based in Goleta, California, Deckers Outdoor Corporation (NASDAQ:DECK) is a global leader in designing, marketing, and distributing innovative footwear, apparel and accessories developed for both everyday casual lifestyle use and high performance activities. Its portfolio of brands includes UGG®, Koolaburra®, HOKA ONE ONE®, Teva® and Sanuk®.
On October 26, Deckers Outdoor Corporation (NASDAQ:DECK) released its financial results for the three months ended September 30, 2023. It managed to beat both the top and bottom line consensus estimates with $1.1 billion of revenue and $6.82 normalized EPS, $130 million and $2.34 more than the estimates, respectively.
According to the Insider Monkey data on 910 leading hedge funds, 47 hedge funds were long Deckers Outdoor Corporation (NASDAQ:DECK) as of Q2 2023 and held shares worth $1.1 billion. Robert Pitts’ Steadfast Capital Management was the largest hedge fund shareholder with ownership of 0.4 million shares valued at $219 million.
4. Medpace Holdings, Inc. (NASDAQ:MEDP)
5-Year Share Price Returns as of November 16: 407%
Number of Hedge Fund Holders: 37
Medpace Holdings, Inc. (NASDAQ:MEDP), based in Cincinnati, Ohio, offers clinical pharmacology and laboratory services including central laboratory, bioanalytical, ECG core lab, and imaging core labs. It employs approximately 5,800 people across 41 countries.
On October 24, following a solid quarterly performance, Baird analyst Eric Coldwell raised the price target on Medpace Holdings, Inc. (NASDAQ:MEDP) shares to $289 from $270 and upgraded the rating from ‘Neutral’ to ‘Overweight’.
As of Q2 2023, Medpace Holdings, Inc. (NASDAQ:MEDP) shares were held by 37 of the 910 hedge funds tracked by Insider Monkey with the total shares held by hedge funds valued at $386 million. Israel Englander’s Millennium Management was its biggest shareholder with ownership of 0.4 million shares valued at $103 million.
DexCom, Inc. (NASDAQ:DXCM) and Medpace Holdings, Inc. (NASDAQ:MEDP) are the only two healthcare sector companies that have made it onto our list of 13 stocks that outperform the S&P 500 every year for the last 5 years.
3. Cadence Design Systems, Inc. (NASDAQ:CDNS)
5-Year Share Price Returns as of November 16: 484%
Number of Hedge Fund Holders: 68
San Jose, California-based Cadence Design Systems, Inc. (NASDAQ:CDNS) is a leader in electronic systems design using its Intelligent System Design™ strategy to deliver computational software, hardware, and IP. It offers software, hardware, services, and reusable IC design blocks to its customers.
On November 2, Cadence Design Systems, Inc. (NASDAQ:CDNS) announced the new Cadence® Voltus™ InsightAI, the industry’s first generative AI technology that identifies the root cause of EM-IR drop violations early in the design process and selects and implements the most efficient fixes to improve power, performance, and area (PPA).
As of Q2 2023, 68 prominent hedge funds owned Cadence Design Systems, Inc. (NASDAQ:CDNS) shares valued at a combined total of $3.3 billion. Arrowstreet Capital was the leading hedge fund shareholder, followed closely by Alkeon Capital Management and Viking Global.
2. Synopsys, Inc. (NASDAQ:SNPS)
5-Year Share Price Returns as of November 16: 492%
Number of Hedge Fund Holders: 57
Sunnyvale, California-based Synopsys, Inc. (NASDAQ:SNPS) is an electronic design automation company with a focus on advanced tools for silicon chip design, verification, IP integration, and application security testing.
On August 23, Synopsys, Inc. (NASDAQ:SNPS) announced the acquisition of PikeTec GmbH, a leading solutions provider for the testing and verification of automotive software for control unit systems. Terms of the transaction were not disclosed.
As of Q2 2023, Synopsys, Inc. (NASDAQ:SNPS) shares were owned by 57 hedge funds with a total value of $2.5 billion. Alkeon Capital Management was the largest hedge fund shareholder with ownership of 1.3 million shares valued at $552 million.
In its Q3 2023 investor letter, Aristotle Atlantic Partners, LLC, an investment advisor, made the following comments about Synopsys, Inc. (NASDAQ:SNPS):
“Synopsys contributed to performance in the quarter as the company reported third quarter revenues that were above consensus, additionally the company raised fiscal year guidance for 2023. Synopsys continues to be a key beneficiary from the demand for semiconductors throughout the entire economy, as well as the increasing complexity of semiconductor design, particularly for silicon used in the artificial intelligence (AI) technology stack. The company is also leveraging AI for its design tools which can drive increased usage and improve margins for the company’s tools.”
1. Lattice Semiconductor Corporation (NASDAQ:LSCC)
5-Year Share Price Returns as of November 16: 915%
Number of Hedge Fund Holders: 35
Based in Hillsboro, Oregon, Lattice Semiconductor Corporation (NASDAQ:LSCC) designs, develops, and markets programmable logic devices with a focus on low power. It offers three types of semiconductor devices, including programmable logic devices, video connectivity application specific standard products, and millimeter wave devices.
On October 31, following an in-line quarterly report, Rosenblatt analyst Hans Mosesmann lowered the price target on Lattice Semiconductor Corporation (NASDAQ:LSCC) shares to $85 from $110 but maintained a ‘Buy’ rating for the shares. The target price represents a potential upside of 46.02% based on the share price on November 16.
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