These Were the S&P 500’s Best and Worst Stocks in July

Chipotle shares slumped after the restaurant chain reported a decline in same-store sales. (Luke Sharrett/Bloomberg)

As July winds to a close, it’s time to take a look back.

It should come as no surprise that healthcare stocks were among the biggest decliners this month, as a series of underwhelming earnings reports only compounded a brutal selloff.

However, there is no clear pattern to July’s winners—and the best-performing stock may come as a surprise.

Shortly before the close, Invesco had top honors, climbing 35.9%, nearly 8 percentage points more than its closest challenger. The investment management company filed a proxy statement with the Securities and Exchange Commission on July 17 to change its flagship exchange-traded fund from a “unit investment trust” to an “open-end fund.”

The regulatory move excited investors because it would allow Invesco to claim investment fees from the QQQ Trust Series 1 ETF—something it can’t do today. With around $353 billion in assets, QQQ is one of the largest ETFs on the market.

Norwegian Cruise Line Holdings rose 28.2% in July, having recovered from jitters about weak demand earlier in the year. Norwegian climbed into the top five with a strong showing Thursday, when the company posted second-quarter earnings in line with Wall Street’s expectations and reported healthy demand. Norwegian stock is now roughly flat in 2025 after its July surge.

Advanced Micro Devices finished a close third, soaring 27.7% for the month. In June, the company announced new artificial-intelligence chips to take on Nvidia, and UBS analyst Timothy Acuri believes the company’s AI semiconductor business is on the rise. AMD shares have climbed around 49% this year.

The backup-power-technology company Generac Holdings made a late push into the top five. The stock soared 27.6% in July—almost 20% on Wednesday alone—after reporting better-than-expected second-quarter earnings and lifting the low end of its range of forecasts for the full year. High power-outage activity last year has meant a higher baseline level of demand, the company said.

Synopsys surged 25.9% in what was a busy month for the chip-design software company, which has become an important player in the AI economy. First, the company confirmed that it was working to restore access to products after the U.S. eased restrictions on semiconductor-design exports to China. Synopsys then reported on July 14 that it had received conditional approval from Chinese regulators to move forward with its $35 billion acquisition of Ansys. Shares are up 32% this year.

As for laggards, Centene saw the most dramatic decline, falling 53% in July. While many health insurers have been struggling in recent months, Centene’s decision to withdraw its full-year guidance on July 2 sparked a 40% slide in the stock. Management cited lower-than-expected membership growth and higher-than-anticipated illness rates in plans it sells in Affordable Care Act marketplaces. On July 25, Centene posted a surprise quarterly loss, sending the stock lower yet again.

Molina Healthcare was right on its heels, falling 47%. The selloff in healthcare stocks earlier this month caused Molina to decline sharply. Then, the insurer slashed its guidance by 10% on July 7, two weeks before it was set to report second-quarter earnings. Management said medical costs were higher than expected across all the company’s businesses. Molina posted earnings that missed expectations in the second quarter and cut its guidance a second time, causing shares to tumble.

Charter Communications declined nearly 32% in July. The telecommunications company reported second-quarter earnings that missed expectations, while revenue was in line with expectations. Charter and peers have been grappling with intense competition in the broadband industry. The company said it lost about 417,000 subscribers across its internet, video, and wireline voice services in its latest quarter.

Centene, Molina, and Charter were all on pace to record their worst month on record, according to Dow Jones Market Data.

Elevance Health is another healthcare stock that has struggled as of late. Shares declined by double digits in mid-July after Elevance slashed its full-year earnings guidance, pointing to higher medical spending. Second-quarter earnings narrowly missed expectations while revenue was roughly in line with analysts’ projections. The company told investors to expect adjusted net income of $30 a share, which represents a 13% pullback from the midpoint of its prior range. Elevance stock fell 25% in July.

Chipotle Mexican Grill rounded out the top five worst performers of the month with a 23% drop in July. Shares ended Wednesday’s session at a 52-week low and were on track to fall further on Thursday. The Mexican-inspired restaurant chain reported results from the second quarter on July 23. While earnings and revenue were in line with forecasts, same-store sales fell 4% from the prior year, driving shares lower in after-hours trading.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com and Nate Wolf at nate.wolf@barrons.com