1 S&P 500 Stock with Competitive Advantages and 2 We Brush Off Kayode Omotosho Wed, October 14, 2026 at 5:06 AM EDT 3 min read ^GSPC -0.02% SBUX -0.31% ZBH -0.10% ABBV -2.40% 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.
Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. Keeping that in mind, here is one S&P 500 stock that is leading the market forward and two that may struggle.
Started by three friends in Seattle's historic Pike Place Market, Starbucks (NASDAQ:SBUX) is a globally-renowned coffeehouse chain that offers a wide selection of high-quality coffee, beverages, and food items.
Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new restaurants
Projected sales decline of 1.9% for the next 12 months points to a tough demand environment ahead
Day-to-day expenses have swelled relative to revenue over the last year as its operating margin fell by 3 percentage points
Starbucks is trading at $91.86 per share, or 31.5x forward P/E. Check out our free in-depth research report to learn more about why SBUX doesn't pass our bar.
With a history dating back to 1927 and a presence in over 100 countries worldwide, Zimmer Biomet (NYSE:ZBH) designs and manufactures orthopedic products including knee and hip replacements, surgical tools, and robotic technologies for joint reconstruction and spine surgeries.
Sales trends were unexciting over the last five years as its 4.4% annual growth was below the typical healthcare company
Incremental sales over the last five years were less profitable as its 2.4% annual earnings per share growth lagged its revenue gains
Below-average returns on capital indicate management struggled to find compelling investment opportunities
At $91.48 per share, Zimmer Biomet trades at 10.5x forward P/E. To fully understand why you should be careful with ZBH, check out our full research report (it's free).
Born from a 2013 spinoff of Abbott Laboratories' pharmaceutical business, AbbVie (NYSE:ABBV) is a biopharmaceutical company that develops and markets medications for autoimmune diseases, cancer, neurological disorders, and other complex health conditions.
Massive revenue base of $64.39 billion in a highly regulated sector makes the company difficult to replace, giving it meaningful negotiating power
ABBV is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures
AbbVie's stock price of $274.75 implies a valuation ratio of 18.6x forward P/E. Is now the time to initiate a position? Find out in our full research report, it's free.
WHILE YOU'RE HERE: Top 9 Market-Beating Stocks. The best stocks don't just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn't over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
