|Bid||234.33 x 1200|
|Ask||234.69 x 1000|
|Day's Range||232.74 - 235.55|
|52 Week Range||122.64 - 244.98|
|Beta (3Y Monthly)||1.55|
|PE Ratio (TTM)||17.14|
|Earnings Date||Oct 23, 2019|
|Forward Dividend & Yield||4.60 (1.96%)|
|1y Target Est||233.10|
Lam Research (LRCX) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
When you buy shares in a company, it's worth keeping in mind the possibility that it could fail, and you could lose...
Like the rest of the broader markets, semiconductor stocks to buy have operated under a cloud of uncertainty this year. Although both sides of the U.S.-China trade war demonstrated some signs of thawing relations, recent developments suggest that this economic conflict has devolved to the worst point ever.As reported by multiple news agencies, the Trump administration earlier this week blacklisted 28 Chinese companies. Human rights concerns over Chinese treatment of the Uighur and other mostly Muslim minorities in the Xinjiang region catapulted this decision. While the front-facing issue of protecting human rights is a noble one, it invariably complicates U.S.-China relations.Obviously, one of the worst impacted assets are semiconductor stocks. Following the announcement, the exchange-traded fund VanEck Vectors Semiconductor ETF (NYSEARCA:SMH) took a sizable hit. As you know, several U.S. companies have robust relations with Chinese tech firms. China also represents a critical revenue pathway for American semis.InvestorPlace - Stock Market News, Stock Advice & Trading TipsDespite the ugliness, a contrarian opportunity exists for those seeking semiconductor stocks to buy. No matter what happens with the global economy, semiconductors represent progress. By its very definition, progress moves forward, not backward. * 10 Great Biotech Stocks to Buy in Q4 Granted, this sector features many threats which we'll discuss. Therefore, waiting for some of these names to come down would be an ideal move. But stay away altogether? I believe these five semiconductor stocks to buy have enough critical catalysts to survive this present onslaught. Lam Research (LRCX)Source: Shutterstock Typically, major semiconductor firms specialize in specific product categories, such as graphics processers. What makes Lam Research (NASDAQ:LRCX) stand out among other semiconductor stocks is its versatility and indispensability. Lam specializes in wafer fabrication equipment and services. According to the company's website, "nearly every advanced chip is built with Lam technology." Of course, this fact alone represents a long-term catalyst for LRCX stock.Moreover, this massive demand for the company's products and services is well reflected in the LRCX stock price. On a year-to-date basis, shares have gained over 73%. Better yet, this is a balanced rally. In the first half of this year, LRCX stock gained 42%. And in the second half so far, shares have increased in value by nearly 20%.While arguably most semiconductor stocks face incoming turmoil from the trade war mess, Lam may get a reprieve. Simply put, the company is too valuable for the global semi industry. Qorvo (QRVO)Source: Shutterstock Whenever individual investors face uncertainty, most financial advisors suggest portfolio diversity. Based on simple probabilities, you're more likely to have at least a few winners if you spread out your exposure. And among semiconductor stocks, Qorvo (NASDAQ:QRVO) has its hands occupied with multiple industry subsegments, services, and products.But what really makes me excited about QRVO stock is its expertise in the connected auto segment. Several months ago, I upgraded my ride to a very modern variant. For me, the most distinct change in the driving experience had to be its connectivity. The modern dashboard is no longer merely an information conduit but a genuine computer. With Qorvo taking the lead in this arena, I have high hopes for QRVO stock. * 10 Super Boring Stocks to Buy With Super Safe Returns Additionally, the tech firm specializes in radar, communications, and electronic warfare systems for the defense and aerospace industries. Given the rapidly devolving nature of our foreign policy, I'd say QRVO stock is a relevant pick. ASML Holding (ASML)Source: Shutterstock In life, there are two guarantees: death and taxes. With semiconductor stocks, we also have dual inevitabilities. Computer chips will decrease in size yet increase in performance. How this amazing trend continues to evolve year in and year out underlines the case for ASML Holding (NASDAQ:ASML) and ASML stock.Specializing in a process called semiconductor lithography, ASML utilizes proprietary technologies to print distinct patterns on a silicon substrate. Another word for silicon substrate is wafer. What makes ASML stock indispensable in the broader computing industry is the above reference trend. Chips are getting increasingly smaller, which requires unthinkably acute and precise machinery for lithography.Therefore, I'm not at all surprised that ASML stock has a similar price trend to Lam Research shares. On a YTD basis, ASML has gained over 58%. Furthermore, ASML, like LRCX, has printed a balanced rally in 2019. Skyworks Solutions (SWKS)Source: Shutterstock Shares of Skyworks Solutions (NASDAQ:SWKS) have technically undergone what you might expect from semiconductor stocks. While SWKS stock enjoyed a mercurial lift starting in 2014, by the spring of the following year, the equity started to stall. Over the trailing four-year period, Skyworks hasn't moved much.Interestingly, though, SWKS stock has formed what I perceive to be a pennant formation. Starting from mid-April of this year to the present, SWKS has charted a series of lower highs but higher lows. Technical analysts believe that at the apex of this formation, the target equity will either break out or break down. * 10 Cloud Stocks to Invest in the Future I believe the former is the more likely outcome. SWKS stock is all about the 5G rollout. Specifically, the company's next-generation transmitters are crucial for delivering 5G services to both residences and commercial buildings. Because this rollout will continue for several years throughout the world, you should keep Skyworks on your short list of semiconductor stocks to buy. Ambarella (AMBA)Source: Shutterstock Within this list of semiconductor stocks to buy, Ambarella (NASDAQ:AMBA) is easily the riskiest. Due to the heightened tensions in U.S.-China relations, AMBA stock has unfortunately taken the brunt of the damage. In the Oct. 8 session - a day after the White House blacklisted 28 Chinese companies - shares tanked almost 10%.That one move immediately dropped AMBA stock below its 50-day moving average, a common barometer of nearer-term strength (or weakness). However, it's important to note that Ambarella shares are still inside a longer-term bullish trend channel. Fundamentally, the current volatility should prove to be a viable buying opportunity because of Ambarella's specialty: vision processors armed with artificial intelligence.These AI processors offer multiple applications. In my opinion, the most important is security. As this technology advances, operators will be able to identify and respond to threats before they strike. Anything that can prevent a 9/11-style attack is a worthwhile endeavor. Thus, I have zero issue backing AMBA stock among my semiconductor picks.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Great Biotech Stocks to Buy in Q4 * 7 of the Best Stocks to Buy for Growth Investors * 5 Cheap Stocks to Buy That Are $5 or Less The post 5 Semiconductor Stocks Worth Your Time appeared first on InvestorPlace.
Is Lam Research Corporation (NASDAQ:LRCX) a good investment right now? We check hedge fund and billionaire investor sentiment before delving into hours of research. Hedge funds spend millions of dollars on Ivy League graduates, expert networks, and get tips from investment bankers and industry insiders. Sure they sometimes fail miserably, but their consensus stock picks […]
FREMONT, Calif., Oct. 02, 2019 -- Lam Research Corp. (NASDAQ: LRCX) today announced that the company will host its quarterly financial conference call and webcast on Wednesday,.
Semiconductor firms Lam Research and KLA Corp. have crushed the markets in 2019. While Lam Research is up 65.4%, KLA has returned 71% year-to-date.
Stock futures: Micron earnings beat views, but mixed guidance doesn't bode well for an industry recovery. Micron fell, along with Western Digital, Applied Materials, ASML and Lam Research.
Korean government officials from the Gyeonggi-do province and executives at Lam Research Corporation (LRCX), a global supplier of innovative wafer fabrication equipment and services to the semiconductor industry, both signed a memo of understanding (MOU) to establish the Korea Technology Center (KTC), a research and development facility with a focus on key equipment for semiconductor manufacturing processes. The initial investment of $50 million from Lam Research will provide engineers with premium equipment for semiconductor manufacturing processes.
Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Lam Research...
Shares of Micron (NASDAQ:MU) have been on a cautious rise lately as investors and analysts worry less and less about the DRAM and NAND market. Slowly but surely, markets are starting to trust the idea that the semiconductor market has bottomed out. That's great for chipmakers and memory companies -- MU stock included.Source: Charles Knowles / Shutterstock.com Analysts have been warming up to the name too. The latest is JPMorgan, who maintained their overweight rating and bumped their price target from $50 to $65. With shares ending last week near $49, the price target implies almost $16 in upside, or more than 30%. Bulls on BoardHarlan Sur of JPMorgan says that NAND pricing is ahead of their expectations, while DRAM is relatively in line with their expectations. Further, he expects next quarter to mark the trough in gross margins, while an "inflection in [the] cloud data center" should help drive revenue. Strong demand for gaming, PCs and smartphones should also help.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 5 Red Hot Housing Stocks Sprinting to Decade Highs JPMorgan analysts aren't the only the ones bullish on Micron, though.Last week, Micron also caught a price target boost from $55 to $65 at Cascend Securities. The analysts maintain a buy rating and believe MU has "good value" after evaluating the DRAM market.Among the bullish camp, many are forecasting and making similar observations with their channel checks. That is, many expect margins to bottom in the next quarter or two and for demand to stabilize and improve in Micron's end markets.Now, can it get to $65? Trading MU StockBack in April, we were looking for a breakout over the $44 to $45 area. MU stock had all the hallmarks of an ascending triangle, a bullish technical pattern. Rising uptrend support (blue line) was squeezing the stock into a static level of resistance (purple line). In this case, that resistance came into play between $44 to $45.If MU stock price closed above this mark, it could have potentially continued higher as it broke out. Instead, the charts unwound and Micron stock took a tumble. Shares finally put in a double bottom down near $32.For now, shares are holding up above $49. This is where MU topped out after it finally pushed through $45 resistance. After another brief fall below $45 and another breakout, shares ran to $51.39, the September higher. I would love to see MU consolidate above $49, with the 20-day moving average trending higher.However, investors won't have long to wait for some action. Micron stock reports earnings on Thursday. While it's not guaranteed to be volatile, most of its post-earnings moves pack quite a punch.On the upside, look to see if MU stock can close above the September highs at $51.39. That could send it on its next breakout higher, putting a $65 price target that much closer. If $49 fails as support, as does the 20-day moving average, it's vital that $44 to $45 -- prior resistance -- acts as support.If it does, or if the 50-day supports MU stock, it may be a dip-buying opportunity. Bottom Line on Micron StockThe trouble with MU stock? Supply and demand -- and I'm not talking about the actual stock. I'm talking about memory.If demand dries up and/or supply is too high in the DRAM and NAND markets, companies like Micron suffer. Others come under pressure too, like Lam Research (NASDAQ:LRCX), Western Digital (NASDAQ:WDC), Applied Materials (NASDAQ:AMAT).For this quarter, analysts expect Micron's revenue to decline almost 46% year-over-year to $4.57 billion. Further, they expect an 84.2% decline in earnings to 48 cents per share.That's vastly below the fiscal year rates, with estimates calling for revenue to decline 23.9% this year and for earnings to decline almost 48% year-over-year. Should it turn out that we're not near a trough in Micron's business, then there is surely more downside coming.As it stands, in fiscal 2020, analysts expect the slowdown to ease. Estimates call for revenue to decline "just" 13.5%. However, they expect an even worse earnings contraction, calling for profits to decline more than 55%.18 times next year's earnings estimate of $2.69 per share isn't cheap. But if MU can deliver on the upside and management gives a promising outlook, analysts' estimates -- and MU stock price -- may move higher. * 7 Stocks to Buy Under $10 So what's the bottom line? See if $45/the 50-day moving average holds on a pullback. On the upside, look for a close over $51.39.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities.ed securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy Under $10 * 30 Marijuana Stocks to Buy as the Future Turns Green * 7 Consumer Stocks Ready to Rally Hard The post Is Micron Stock Set to Jump 30% to $65 Per Share on Earnings?Â appeared first on InvestorPlace.
There's a significant problem for Intel (NASDAQ:INTC) stock: the company is losing market share. Admittedly, that issue has been manageable so far. Intel stock has doubled in less than six years, paying a healthy dividend along the way.Source: JHVEPhoto / Shutterstock.com But even that gain highlights a potential difficulty for INTC stock looking forward. Since the beginning of 2014, Intel stock has risen 95%, and 130% including dividends.Meanwhile, the iShares PHLX Semiconductor ETF (NASDAQ:SOXX), a semiconductor index fund, has nearly tripled. Shares in the two companies taking market share from Intel have soared. Nvidia (NASDAQ:NVDA) is up roughly 1,000%, and Advanced Micro Devices (NASDAQ:AMD) almost 700%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIntel has underperformed in a bull market for chip stocks and notably underperformed two of its key competitors. Given that market share gains are likely to continue, that backward-looking fact creates a significant problem for the forward-looking bull case. Market Share LossesIntel is losing market share in key areas of its business. The company even admitted as such this month. AMD's well-received Ryzen line is winning in CPUs. AMD and Nvidia are driving sales in a datacenter market of which Intel recently owned over 96%. * 7 Worst Stocks in the S&P 500 in 2019 It's tough to see how that changes. The new Ryzen 3000 chips have generated buzz since before their launch this summer. AMD has gone from being the low-cost producer for low-priced PCs to a real competitor in the category. U.S. manufacturers HP (NYSE:HPQ) and Dell (NASDAQ:DELL) are making a concerted effort to focus on the higher end of the consumer market and now using Ryzen chips (and Intel products as well) to help drive that effort.In datacenter, a spending slowdown has pressured suppliers. Nvidia's datacenter revenue, for instance, is down 12% in the first half of its fiscal 2020. But both companies clearly have taken share from Intel leading into this year, even if the market has been disappointing in 2019.Intel is trying to fight back, but it has a tough road ahead because it simply hasn't executed very well of late. It's years late in moving simply to 10 nm. Meanwhile, AMD already is launching a monster 7 nm gaming CPU. (Admittedly, that launch has been delayed until November.)The share losses are going to continue. And that's probably not great news for INTC stock. The Case Against Intel StockTo be sure, Intel still can grow revenue and profits even if it loses market share. PC sales have been reasonably strong, particularly for corporate customers. Gaming demand should continue. Datacenter demand seems to have hit a pause, but companies including Nvidia are forecasting a second-half recovery.Meanwhile, Intel's share has been so dominant that even a few points of market share don't create that significant of a headwind. As an INTC bull pointed out last week, share is enormously important to AMD's revenue growth in CPUs, but has a modest effect on Intel's numbers.But that case only holds if Intel's end markets grow. If that's the case, however, why own Intel stock? Datacenter growth will do more for Nvidia and AMD than it will for Intel. Continued strength in PCs is a bigger deal for the likes of HPQ and DELL (the latter of which I own).Any Intel bull case has to be based on the idea that its end markets will grow. But that growth most likely benefits rivals more. That growth has driven chip stocks on the whole to nearly triple since the beginning of 2014. Over that stretch, INTC stock underperformed its sector. As long as market share losses continue, the same trend will hold going forward. The Case for Intel StockSo any investor arguing for Intel stock on the basis that chip demand, on the whole, will rise, probably should look elsewhere. But, to be fair, there are reasons to consider Intel stock around $50.For one, INTC is notably cheaper than those rival stocks. An 11x forward P/E multiple prices in basically zero growth going forward. And it also suggests some downside protection. Nvidia was halved late last year. AMD stock has been historically and notoriously volatile.Admittedly, Intel stock has made big moves, including a ~25% plunge in last year's fourth quarter. But it likely doesn't have the same downside risk of many of its peers. And a 2.5% dividend yield is attractive, particularly with the 10-year Treasury at 1.68%.That said, buying a stock for a dividend is a dangerous proposition. Indeed, investors could have made a similar argument about General Electric (NYSE:GE) at $30+. Few predicted that its dividend would be nearly eliminated, though Intel doesn't have the same balance sheet problems that industrial giant had.Even assuming the dividend is safe (and it likely is), the argument for Intel being the safe play seems awfully narrow. Why buy a stock since it might hold up OK (or decline less) if its sector gets rocked? For a chip bull, there is a wealth of choices including equipment suppliers Lam Research (NASDAQ:LRCX) and Applied Materials (NASDAQ:AMAT), that have exposure across end markets.If an investor wants to bet on chip growth being driven by Internet of Things, gaming, returned datacenter demand, and other catalysts, INTC simply isn't the play. If that investor doesn't want to take the bet, there are myriad other stocks in myriad other sectors from which to choose.This is precisely the problem created by Intel's ongoing market share losses. It doesn't mean that INTC is going to crash, or that the stock should be shorted. (I don't believe either is true.)In fact, at a currently reasonable valuation, INTC stock may well rally. It could double again in the next six years. But in that scenario, it's hard to believe that investors won't be looking back and realizing that they could have done better.As of this writing, Vince Martin owns a bullish options position in Dell Technologies. He has no positions in any other securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Worst Stocks in the S&P 500 in 2019 * 7 Reasons to Own Intuit Stock -- The Unsung Hero of Fintech * Apple and 4 Other Tech Stocks on the Move The post Continually Eroding Market Share Is a Core Problem with Intel Stock appeared first on InvestorPlace.
We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be...
Stocks have had a good 2019. Through the first half of the year, the S&P 500 was on track for its best year in over two decades. To be sure, gains have been muted in the third quarter despite major indices flirting with all-time highs. But with the S&P 500 up 20% year-to-date, stocks are still having one of their best years this century.One bullish sign about this rally is that the leadership in the S&P 500 in 2019 is very diverse. That is, the individual stocks which are leading the market higher are not concentrated in one industry -- rather, they are a from a broad array on sectors. That's bullish because it shows that the market rally this year has breadth. You don't just have one boat or one group of boats rushing ahead of the rest. Instead, the whole sea is rising here, and when the whole sea is rising, that is often a dynamic that is tough to stop.Underneath this sea of stocks are undercurrents of megatrends making their way to the surface. Investors who get in now -- before the crowd has been convinced of the potential long-term worth of these companies -- will profit tremendously.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Momentum Stocks to Buy On the Dip With that in mind, let's take a look at the best stocks of 2019 so far, and see where these stocks could go next. Chipotle Mexican Grill (CMG)Source: Northfoto / Shutterstock.com Year-to-Date Gain: 85%Through September, the best performing stock in the S&P 500 is Chipotle Mexican Grill (NYSE:CMG). Shares of the fast casual Mexican eatery have rattled off an 85% gain this year, thanks to the company's turnaround gaining impressive momentum throughout the year.Specifically, new management has doubled down on three growth initiatives -- revamping the menu with exciting new options, expanding reach by building out the digital business and re-branding the chain with a new marketing campaign. Those three growth initiatives have all worked, and Chipotle has reported hugely positive comps all year long, which has fueled the huge gains in CMG stock.Going forward, this rally could persist. After all, nothing is wrong with the Chipotle growth narrative. The turnaround is powering full steam ahead, and for the foreseeable future, the company should comp positive and report big profit growth. In theory, those strong numbers should keep CMG stock on its winning trajectory. But I'm concerned about valuation. At 60-times forward earnings, Chipotle stock is one of the most richly valued restaurant stocks I've ever seen -- and I think upward moving fixed income yields could pressure that extended valuation in a big way.As such, while the rally in CMG stock could persist into the end of the year, I don't think it will. Instead, I think CMG stock could give back some gains over the next few months. In sharp contrast, stocks that are "bulletproof" can make investors money in any market. Hess (HES)Source: Shutterstock Year-to-Date Gain: 74%Through September, the second best S&P 500 stock is Hess (NYSE:HES). The energy company focused on crude oil and natural gas exploration and production has seen its stock rise nearly 75% in 2019 for two simple reasons.First, you have surging oil prices. WTI Crude Oil prices are up more than 25% year-to-date, thanks to improving global economic conditions firming up demand and certain one-off catalysts short-circuiting supply (such as the recent attacks in Saudi Arabia). HES stock has naturally rallied with rising oil prices. Second, Hess owns a 30% stake in a huge oilfield in Guyana that projects to be one of the most lucrative oilfields in recent memory. As this oilfield has inched close towards being operable, HES stock has moved higher.Can the rally continue? I have my doubts. The trailing price-to-sales multiple on HES stock is now at a 2019 high, while the dividend yield is at a 2019 low. Thus, the stock is richly valued by historical standards, meaning investors are pricing in higher oil prices for the foreseeable future and huge upside from the Guyana project. The latter will probably materialize. I'm unconvinced on the former, as it appears countries globally are ready to inject supply where needed to keep oil prices from rising too much. * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars As such, while HES stock could continue to move higher from here, further gains will be reliant on oil prices moving higher. Lam Research (LRCX)Source: Shutterstock Year-to-Date Gain: 73%The third best S&P 500 stock through September is Lam Research (NASDAQ:LRCX).Shares of the semiconductor equipment giant have risen by more than 70% this year as investors have realized that the semiconductor downturn everyone was expecting in 2019, isn't as bad as feared. That is, LRCX dropped big in late 2018 to multi-year lows and a dirt cheap valuation as investors anticipated that a global economic slowdown would kill semi equipment demand in 2018/19.It has. But the damage has been relatively muted and a recovery already appears to be underway. As such, LRCX has benefited from both multiple expansion and upward estimates revisions in 2019 -- the sum of which is how Lam Research stock has rattled of a 73% YTD gain.LRCX should continue to move higher from here, albeit at a slower pace. That's because only one of the stock's two growth drivers will remain in play. The multiple expansion tailwind has dried up, since at 17-times forward earnings, LRCX is trading at its richest valuation in years. But the upward estimates revisions tailwind has not dried up. Global economic growth trends are improving, and as they continue to improve over the next few quarters, the semi market should continue to bounce back -- which should lead to analysts upping their forward revenue and EPS estimate for LRCX.Big picture: While the best of the LRCX rally is in the rear-view mirror, this stock still has some gas left in the tank to head higher over the next few months. Copart (CPRT)Source: Shutterstock Year-to-Date Gain: 72%The fourth best S&P 500 stock through September is Copart (NYSE:CPRT).While the U.S. auto market may be having a tough time in 2019, online car auction company Copart is not. The company has rattled off three straight strong quarters in 2019. Revenue growth has accelerated higher through each of those quarters. Margins are powering higher, too. Profit growth has been robust. In other words, Copart has been firing on all cylinders in 2019, despite a weak auto market backdrop, and that divergence has helped CPRT stock soar by more than 70% this year. * 7 Tech Stocks You Should Avoid Now This rally has more firepower left. Copart has leveraged its unique value prop in the auto industry to transform into a steady 20%-plus revenue and profit grower. For that 20%-plus revenue and profit growth, CPRT stock trades at just 30-times forward earnings. That's a fairly reasonable multiple to pay for 20% growth. So long as the U.S. economy remains healthy and continues to support 20%-plus profit growth at Copart, which it should for the foreseeable future - then CPRT stock has room to move higher.Momentum stocks, like CPRT, can be difficult to chase but the risks can be worth the rewards. And new breakthroughs are happening right under our noses -- could you imagine a $1,000 car? Western Digital (WDC)Source: Valeriya Zankovych / Shutterstock.com Year-to-Date Gain: 71%The fifth best S&P 500 stock through September is Western Digital (NASDAQ:WDC).Owing to its broad exposure to favorable growth trends in data creation, accumulation and storage, data storage giant Western Digital has been a Wall Street favorite for a long time. In 2018, Western Digital lost Wall Street's favor as growth turned sharply negative amid a broad data storage market slowdown. WDC stock shed more than 70%. But in 2019, there have been signs of improving conditions in the flash market, and the consensus belief is that a trough is close. As Western Digital has neared this inflection point, investors have gobbled up shares in anticipation of a big recovery in 2020.Will the rally continue? It hinges entirely on whether or not that big recovery in 2020 actually materializes. If it does, WDC stock could fly much higher -- the stock is still 40% off its early 2018 highs. If it doesn't, WDC stock could give back most of its 71% year-to-date gain. Fortunately for WDC bulls, I think the big recovery will materialize, given that global economic conditions are improving, trade tensions are easing, global business confidence is improving and fiscal stimulus is on its way to help juice economic activity. Meanwhile, major breakthroughs from little-known companies -- imagine having advanced medical diagnostics right in the palm of your hand -- will shape the future.Consequently, while WDC stock is unequivocally a high-risk, high-reward play here, I think the reward part has more merit than the risk part at this point in time. KLA (KLAC)Source: Shutterstock Year-to-Date Gain: 70%The sixth best S&P 500 stock through September is KLA (NASDAQ:KLAC).Much like Lam Research, KLA is a semiconductor equipment stock which has materially outperformed in 2019 because the slowdown in the semi market hasn't been as bad as feared and looks to be over pretty soon with sizable catalysts on the horizon, such as 5G. As such, the consensus belief is that KLA's growth trajectory will materially improve over the next few years, and investors are gobbling up KLAC stock ahead of that big improvement.The rally continuing here will depend on how much KLA's growth trajectory improves. At present, KLAC stock trades at 16-times forward earnings, which is a multi-year high valuation for this stock. In order to justify that above-average multiple, revenue and profit growth need to accelerate meaningfully from here. If they don't, KLAC stock could give back a bulk of its gains. * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars Fortunately for KLAC bulls, I think revenue and profit growth will accelerate meaningfully, as 5G and IoT tailwinds converge on improving global economic conditions in 2020 to create a robust semi-equipment spending environment. If that does happen, KLAC stock should stay in rally mode for the foreseeable future. Advanced Micro Devices (AMD)Source: Sundry Photography / Shutterstock.com Year-to-Date Gain: 68%Last on this list of best S&P 500 stocks of 2019 is Advanced Micro Devices (NASDAQ:AMD).Shares of CPU and GPU company AMD have been red hot for a while now. In 2018, this was the S&P 500's top stock. In 2019, it's the seventh best performing stock. This consistent strength comes down to one thing - market share expansion. Over the past few years, AMD - a historically small and largely irrelevant player in the CPU and GPU markets - has dramatically increased its presence in the CPU and GPU markets, and as the company has, revenues and profits have marched meaningfully higher. This big growth has powered equally big gains in AMD stock.This rally should continue into 2020. At present, AMD projects to keep winning share in the CPU and GPU markets for the next several quarters. So long as the company keeps doing this, growth rates will remain robust, and investors will salivate over the long term potential. That is a winning combination which should ultimately keep AMD stock on a winning path.Thus, when it comes to AMD stock, it's all about market share expansion. So long as this company keeps winning market share, AMD stock will stay on an uptrend.As of this writing, Luke Lango did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars * 5 Stocks to Buy With Great Charts * 5 Goldman Sachs Stocks to Buy with Over 20% Upside Potential The post The 7 Best S&P 500 Stocks of 2019 So Far appeared first on InvestorPlace.