Top 3 S&P 500 Winners in a Losing Market

Key Points

• CVS Health leads the S&P 500 YTD with a 42% gain, driven by strong earnings, defensive healthcare positioning, and renewed investor confidence under new leadership.
• Philip Morris is up over 25% YTD, fueled by strong smoke-free product growth and consistent earnings beats amid broader market uncertainty.
• Cencora has surged 22% YTD, benefiting from rising demand for specialty medicines, raised guidance, and strategic acquisitions that have enhanced long-term growth.

Fear and uncertainty have dominated the markets in 2025, with U.S. equities entering a significant correction. What began as a cautious retreat in February, sparked by policy concerns and underwhelming performance from former market leaders and Magnificent Seven stocks, like Tesla and Alphabet, has now escalated into broader selling pressure. 

The latest blow came from the administration’s renewed push on tariffs, which have since led to further trade tensions with China and the European Union, triggering a steep drop in global equities.

Yet even as the broader market stumbles, a few individual names stand tall. As of Monday’s close, three stocks have emerged as the top-performing names in the S&P 500 year-to-date (YTD). Their relative strength during a turbulent time catches investors’ attention and raises the question: Can their outperformance continue?

Here are the three best-performing S&P 500 stocks in 2025:

CVS Health Corp +42.24% YTD

Topping the list is CVS Health NYSE: CVS, which has staged an impressive comeback following a challenging 2024. After bottoming near 52-week lows in December, CVS has surged nearly 47% and shows signs of sustained momentum. Remarkably, even after this rally, the stock trades at a forward P/E of just 9.3 and remains about 15% below its 52-week high.

CVS has benefited from its defensive positioning in the healthcare sector. With strong cash flow and limited exposure to global supply chains, the company’s essential services model has proven resilient against inflationary pressures and geopolitical uncertainty.

Investors have also welcomed the leadership transition, with David Joyner stepping in as CEO in late 2024. His renewed focus on stabilizing Aetna’s operations and instilling financial discipline has resonated positively with the market.

In February, CVS delivered a Q4 earnings beat, reporting EPS of $1.19 versus estimates of $0.89, a 34% surprise. Analysts maintain a Moderate Buy rating on the stock, with a price target that suggests more than 10% upside from current levels.

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Philip Morris International +25.66% YTD

Coming in second is Philip Morris International NYSE: PM, the global tobacco and nicotine products giant. Known for its Marlboro cigarettes and growing smoke-free product portfolio, like ZYN nicotine pouches, PM has surged over 25% YTD, fueled by strong earnings and strategic growth.

The company has made significant strides in its transformation strategy, aiming to generate two-thirds of its revenue from smoke-free products like IQOS and ZYN by 2030. That vision is already paying off: Q4 earnings, reported in February, came in at $1.55 per share, beating estimates by $0.06, as strong performance in the smoke-free category lifted revenue.

Despite being labeled as a sin stock by some, Philip Morris has shown resilience in uncertain times. Its defensive position within the consumer staples sector adds a layer of defensiveness, and analysts remain optimistic. The stock holds a Moderate Buy rating, with recent upward revisions in earnings estimates reinforcing the bullish case.

Cencora Inc. +22.2% YTD

In third place is Cencora NYSE: COR, a healthcare logistics and pharmaceutical distribution company. While less of a household name, Cencora has delivered outsized returns and sector-leading performance.

The stock has been trending steadily higher since 2021, recently hitting new all-time highs on Friday before pulling back slightly. As of Monday’s close, it remains just 7.4% off those highs.

Cencora’s latest earnings report in February showed a 12.8% year-over-year revenue increase to $81.5 billion, fueled by strong demand for specialty medicines, including GLP-1 drugs. EPS came in at $3.73, beating expectations and prompting management to raise full-year guidance to $15.25–$15.55.

The company’s $4.6 billion acquisition of Retina Consultants of America, expanding its presence in specialty healthcare, also boosted investor confidence as it enhanced Cencora’s growth prospects. Analysts are bullish, with a Moderate Buy rating and a recently raised price target from Wells Fargo, from $251 to $274, implying additional upside.