The S&P 500 Index and its ETFs, like SPY, VOO, and the IVV had a strong performance in 2025 as the technology boom accelerated. It soared by 20% this year, and Wall Street analysts believe that the trend will continue in the coming year.
Most companies in the S&P 500 Index were in the green, with Sandisk soaring by 585%. Other top gainers during the year were companies like Western Digital, Micron, Seagate, and Robinhood. This article looks at some of the top constituent companies to watch in 2026.
Warner Bros. Discovery is the top S&P 500 Index stock to watch
The WBD stock price jumped by 171% this year, making it the sixth-best-performing company in the S&P 500 Index. This surge was mostly driven by the bidding war by Netflix and Paramount Skydance, a company backed by Larry Ellison.
The two companies have already made their bids, with Paramount offering a $30 bid for the whole company. Netflix reached a smaller deal that did not include the company’s TV networks.
Now, according to Bloomberg, Warner will reject Skydance’s bid as soon as next week, noting that it had not increased the offer. Skydance, on the other hand, has hinted that it will go directly to its shareholders.
Therefore, WBD will be the top stock to watch as investors watch the developments on the acquisition.
Nvidia (NVDA)
Nvidia, the biggest company in the world, will be another S&P 500 Index constituent to watch in 2026. It has become a giant company that is the face of the AI industry because of its chips.
Nvidia has also become the face of the circular investment approach, where it buys stakes in its clients, who use the cash to buy its chips, boosting its stock.
Analysts are optimistic that Nvidia will continue its growth trajectory in 2026, with the average revenue estimate for the year being $319 billion, a 50% surge from what it will make this year. Its earnings per share are expected to come in at $7.57 from $4.69 this year.
Oracle (ORCL)
Oracle is another top company in the S&P 500 Index to watch. Its stock surged to a record high of $345 this year and then pulled back to a low of $180. The surge briefly made Larry Elisson the richest man on earth.
Oracle stock jumped after its earnings report showed a backlog of over $493 billion, a figure that then soared to over $523 billion in the last quarter.
The challenge, however, is that analysts are doubting whether the backlog is real as most of it came from OpenAI, a loss-making company. Also, investors are focused on its soaring debt, upcoming maturities, and the fact that it made a negative free cash flow.
Lululemon Athletica (LULU)
Lululemon stock price continued its strong downward trend this year as it crashed by 45%. It has erased billions of dollars in value, becoming a fallen angel.
The company’s decline is mostly because of the ongoing competition in the industry, with companies like Nike and Adidas fighting for market share. It also dropped as its growth accelerated during the year
Lululemon will be in the spotlight in 2026 as Chip Wilson, its founder, launched a proxy fight by nominating three independent directors. This announcement came three weeks after the company’s CEO left without a clear successor.
Therefore, the company will be in the spotlight as investors watch how it will evolve. Also, investors will be watching the actions of Elliot Management, which took a $1 billion stake. Elliot has suggested that Jane Nielsen, a former executive at Ralph Lauren should take over as the CEO.
Fiserv (FISV)
Fiserv, the giant fintech company, will be in the spotlight in 2026 after the stock plunged by over 40% within a day after the management slashed its guidance and added more board members and a new CEO.
The company said that its adjusted earnings will be between $8.50 and $8’60, much lower than the previous guidance of between $10.15 and $10.30, pointing to more deterioration in Argentina..
Other key companies to watch are big laggards like Chipotle Mexican Grill, The Trade Desk, Deckers Outdoor, Dow, FactSet, and UnitedHealth.
On the other hand, investors will pay a close attention to its big winners like Sandisk, Western Digital, Micron, and Robinhood.
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