Can These 5 Relative Price Strength Stocks Lead in 2026?

Market Overview - U.S. stocks are showing strong momentum as major indexes approach record levels, with shallow short-term pauses indicating investor confidence for a positive year-end and transition into the new year [1] - Recent labor and economic updates present a mixed but reassuring picture, suggesting a gradual slowdown in job growth rather than a sharp decline, which may lead policymakers to support employment as the year ends [2] Investment Strategy - Relative price strength is highlighted as a practical strategy for investors, with stocks that have outperformed during year-end often becoming leaders in the following year [3] - Stocks recommended based on relative price strength include Commercial Metals Company (CMC), Illumina (ILMN), Kinross Gold (KGC), Las Vegas Sands (LVS), and Hamilton Insurance Group (HG) [3] Stock Performance and Estimates - Commercial Metals Company (CMC) has a market capitalization of $7.9 billion, with a projected earnings growth of 95.9% for fiscal 2026 and a share price increase of 38.7% over the past year [10][11] - Illumina (ILMN) has a market capitalization of $20.6 billion, with a projected earnings growth of 92.2% for 2025, although shares have decreased by 1.8% in the past year [11][12] - Kinross Gold (KGC) is expected to see a 147.1% year-over-year growth in earnings per share for 2025, with shares increasing by 208% in the past year [12][13] - Las Vegas Sands (LVS) has a market capitalization of $45.3 billion, with a projected earnings growth of 30% for 2025 and a share price increase of 32% over the past year [14] - Hamilton Insurance Group (HG) has a market capitalization of $2.8 billion, with an 18.5% upward revision in earnings estimates for 2025 and a share price increase of 50.9% in the past year [15][16] Screening Parameters - Stocks are screened based on relative price changes over 12 weeks, 4 weeks, and 1 week, focusing on those outperforming the S&P 500 [8] - Stocks must have a current price of at least $5, an average 20-day volume of at least 50,000, and a VGM Score of A or B to qualify for potential investment [10]