The S&P 500 continues its rebound, up 26% because it bottomed out in April. When you have been too nervous to purchase when the market was down, you’ll have missed the perfect offers.
However shares are nonetheless climbing, and in the event you’re able to make some strikes with extra confidence, listed here are three superb shares that may preserve going up.
Picture supply: Amazon.
1. Amazon: Tops in two progress industries
Amazon (AMZN -0.67%) is driving the synthetic intelligence (AI) wave, however it’s a lot greater than AI. Its e-commerce and cloud computing companies are each the most important companies of their variety, and these are each progress companies.
In line with the U.S. Division of Commerce, e-commerce elevated as a proportion of retail gross sales from 15.9% to 16.2% within the 2025 first quarter, and that is a continuation of a sample. Amazon has a large lead in e-commerce, commanding about 40% of the U.S. market. Because the chief, it retains unbelievable expertise and has leverage in expertise and with suppliers, giving it the means to persistently improve its platform and provide aggressive pricing. That is the way it can preserve its clients and get them to depend on its platform for an growing quantity of their necessities, plus extra.
As for cloud companies, Amazon has practically a 3rd of the whole international cloud market, and its investments in AI make it much more engaging to new purchasers. It is investing greater than $100 billion in AI developments, providing extra options and choices than the competitors, which builds up the AI enterprise and likewise generates higher curiosity in cloud companies, the place AI is going on.
That is to not point out Amazon’s different companies, like promoting and streaming. Amazon ought to proceed to develop and create shareholder worth for the foreseeable future.
2. E.l.f. Magnificence: The brand new chief in cosmetics and skincare
E.l.f. Magnificence (ELF 4.00%) has turn out to be the favored cosmetics model amongst a youthful technology of consumers, and its cheaper costs are resonating much more beneath pressured financial situations. It is already the highest firm in mass shade cosmetics unit share, and it is in second place in greenback share. However it’s not completed, as a result of it is nonetheless rising its model within the general cosmetics market, reminiscent of not too long ago buying luxurious cosmetics model Rhode, and it is rising its skincare enterprise, which is already high 10 however has extra room to develop.
Gross sales progress has slowed down, however it’s been that approach throughout the trade as consumers lower down on discretionary purchases. The corporate remains to be reporting progress and capturing market share, since lots of its opponents are reporting declines, as is the cosmetics trade general.
Gross sales have been up 4% within the 2025 fiscal fourth quarter (ended March 31) and 28% for the total yr. Fourth-quarter earnings per share (EPS) have been $0.78, beating Wall Avenue’s expectations of $0.72.
E.l.f. inventory is down 34% over the previous yr, and it is a inventory you possibly can nonetheless purchase on the dip.
3. Carnival: Sturdy demand, declining debt
Carnival (CCL 0.42%) (CUK 0.40%) inventory continues to rise, however it’s nonetheless 59% off its highs, and it is not prone to keep down for an excessive amount of longer.
It retains breaking data each quarter, and its enterprise has utterly recovered from its pandemic shutdown. Within the 2025 fiscal second quarter (ended Could 31), income elevated 9% yr over yr, beating steering, and adjusted web earnings practically tripled from final yr. Adjusted EPS have been $0.35, crushing Wall Avenue expectations of $0.24.
The superior reserving place remained at historic highs, with excessive occupancy charges and ticket costs. It is also having fun with robust engagement with nonticket income sources like meals and leisure. Administration is investing for the long run, launching new ships and locations to generate new demand, in addition to enhance repeat frequency charges.
Carnival inventory stays down because of the excessive debt it took on when it needed to shut down its cruises. Though that ended up being a brief period of time, the debt piled up, and it should take some time to repay. The excellent news is, it has been in a position to pay it again at an environment friendly tempo, and it is inside one rung of investment-worthy, in keeping with two score companies. As quickly because it hits the following rung, the value is prone to soar, and contemplating its robust efficiency and continued demand, that is prone to occur quickly.
John Mackey, former CEO of Entire Meals Market, an Amazon subsidiary, is a member of The Motley Idiot’s board of administrators. Jennifer Saibil has no place in any of the shares talked about. The Motley Idiot has positions in and recommends Amazon and e.l.f. Magnificence. The Motley Idiot recommends Carnival Corp. The Motley Idiot has a disclosure coverage.
