The bull market has narrowed of late, with more than 70% of the S&P 500 now in correction territory (or worse). But despite that fact, the headline indexes are clearly reflecting an ongoing bull market, as the Nasdaq (up 17.9% so far this year) is hitting new all-time highs and the S&P 500 (up 13.2% YTD) is not far off its own.
At the same time, the Dow Jones Industrial Average, which my colleague Chris Preston has argued is more representative of the broader economy, has lagged (up only 5.8% in 2026). Add that all up, and we’re in an increasingly narrow bull market that is predominantly being driven by technology.
But for as much ink as has been spilled over the Magnificent 7 stocks over the last few years, the best-performing large-cap stocks have left all of them in the dust.
In fact, none of those seven stocks even made the following top 20 list, which sports a surprisingly high barrier to entry: Every single name on this list has doubled (or better) in 2026 alone.
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Here they are, in descending order of their year-to-date (YTD) returns.
The 20 Best-Performing Large-Cap Stocks by YTD Returns
1. Moderna (MRNA): 537%
2. Twist Bioscience (TWST): 524%
3. Sandisk (SNDK): 523%
4. 10x Genomics (TXG): 468%
5. ImmunityBio (IBRX): 403%
6. Dell (DELL): 335%
7. Micron Tech (MU): 237%
8. Corcept Therapeutics (CORT): 212%
9. Seagate Tech (STX): 208%
10. Marvell Tech (MRVL): 205%
11. United Microelectronics (UMC): 201%
12. Intel (INTC): 197%
13. Bloom Energy (BE): 193%
14. Hewlett Packard Enterprise (HPE): 184%
15. Advanced Micro Devices (AMD): 182%
16. DigitalOcean (DOCN): 182%
17. ASE Technology (ASX): 181%
18. Lumentum (LITE): 181%
19. Arm Holdings (ARM): 164%
20. Marathon Petroleum (MPC): 161%
As you can see, half of the top 10 (and four of the top five) companies on this list are biotech stocks (including the best-performing large-cap stock, Moderna), with most of the rest of the top 20 being made up of companies that are directly tied to the AI buildout in some form or another (including Bloom Energy, a fuel cell manufacturer that specializes in on-site power for data centers and the like).
The only exception is Marathon Petroleum (MPC), which is a petroleum refining and transportation company that’s directly benefiting from the disruption to the oil markets brought on by global conflict.
While you could frame this list as a tale of two bullish trends (AI and biotechnology), my personal opinion is that a large share of the outperformance by biotechs can be attributed to investors looking for down-the-food-chain beneficiaries of the growth of artificial intelligence.
The hyperscalers have had their time in the sun (and thus didn’t make this list), and the AI buildout is still minting winners (a handful of whom were in the top-20 list in 2025, including Sandisk, Lumentum, Bloom Energy and Micron). But investors are increasingly looking for the companies that will turn AI productivity gains (and new discoveries) into profits—and biotech stocks offer that potential (regardless of whether or not they end up realizing it further down the road).
So as 2026 enters the final stretch and you start looking ahead to 2027, keep your eyes peeled for companies that offer the same sort of potential.
And if you’re looking for a bit of expert guidance to help identify the breakout stocks that could lead 2027’s list, consider a subscription to Cabot Momentum Trader, where Chief Analyst Mike Cintolo is always on the hunt for the market’s next big winners.
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*This post has been updated from a previously published version to reflect current market conditions.
