1 S&P 500 Stock to Consider Right Now and 2 That Underwhelm Radek Strnad Thu, October 8, 2026 at 8:24 AM EDT 3 min read ^GSPC -0.22% SWK -1.87% LULU -1.85% IVZ +0.39% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
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.
Picking the right S&P 500 stocks requires more than just buying big names, and that's where StockStory comes in. That said, here is one S&P 500 stock that could deliver good returns and two best left off your watchlist.
With an iconic "STANLEY" logo which has remained virtually unchanged for over a century, Stanley Black & Decker (NYSE:SWK) is a manufacturer primarily catering to the tool and outdoor equipment industry.
Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
Estimated sales for the next 12 months are flat and imply a softer demand environment
Falling earnings per share over the last five years has some investors worried as stock prices ultimately follow EPS over the long term
Stanley Black & Decker is trading at $88.02 per share, or 15.5x forward P/E. Dive into our free research report to see why there are better opportunities than SWK.
With roots dating back to 1935 when it pioneered the first mutual fund with an objective of capital growth, Invesco (NYSE:IVZ) is a global asset management firm that offers investment solutions across equities, fixed income, alternatives, and multi-asset strategies.
Sales stagnated over the last five years and signal the need for new growth strategies
Performance over the past five years shows each sale was less profitable, as its earnings per share fell by 1.5% annually
At $30.52 per share, Invesco trades at 10x forward P/E. If you're considering IVZ for your portfolio, see our FREE research report to learn more.
Originally serving yogis and hockey players, Lululemon (NASDAQ:LULU) is a designer, distributor, and retailer of athletic apparel for men and women.
Fast expansion of new stores indicates an aggressive approach to attacking untapped market opportunities
Differentiated product assortment leads to a best-in-class gross margin of 57%
Disciplined cost controls and effective management resulted in a strong two-year operating margin of 20.3%
Lululemon's stock price of $91.73 implies a valuation ratio of 11.2x forward P/E. Is now the right time to buy? See for yourself in our full research report, it's free.
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