Five Market Leaders: How Relative Change Identifies Top Performers for 2026

As 2026 gets underway, equity markets are building on solid momentum from the previous year. The backdrop remains supportive: inflation has moderated, economic growth remains steady, and interest rates are expected to trend lower through the year. Technology and artificial intelligence continue to drive investor enthusiasm. While trade tensions and tariff discussions have introduced near-term volatility, market participants are increasingly pricing in longer-term trends. Mixed but broadly encouraging economic signals—factory activity holding up while housing cools—keep the focus on individual company execution.

In this environment, identifying stocks that demonstrate consistent relative change becomes essential. Rather than chasing sentiment, sophisticated investors focus on companies already outpacing broader market indices. These market leaders tend to extend their outperformance, creating a measurable edge for portfolios aligned with genuine momentum and strength.

Understanding Relative Change as a Selection Framework

The traditional approach to stock analysis centers on earnings growth forecasts and valuation multiples. These fundamentals matter, but they tell only part of the story. Equally critical is understanding how a company’s stock performance compares to its industry peers, competitors, and benchmark indices like the S&P 500.

Consider two scenarios: a stock may look fundamentally sound on paper yet lag its sector peers, suggesting further weakness ahead. Conversely, a company outpacing its peer group in price performance—despite mixed headlines—often possesses underlying strength worth investigating. This relative change in momentum frequently signals genuine outperformance potential.

The most effective approach combines three elements: First, identify stocks showing positive relative change across multiple timeframes (one week, four weeks, and twelve weeks). Second, verify that analysts are revising earnings estimates upward—a powerful signal of improving business trajectory. Third, ensure the company meets rigorous quality screens, avoiding low-liquidity or marginally profitable businesses.

Methodology: Screening for Consistent Outperformers

To capture stocks positioned for meaningful gains, we applied a disciplined screening process:

Performance Filters:

• Positive relative change over 12-week, 4-week, and 1-week periods (all measured against the S&P 500)
• Current quarter earnings estimate revisions trending positive over the past four weeks
• Stocks with Zacks Rank of 1 (Strong Buy status)—historically averaging 26%+ annual returns and outperforming the S&P 500 in 23 of the last 26 years

Quality and Liquidity Standards:

• Minimum share price of $5 and average 20-day volume exceeding 50,000 shares (ensuring adequate tradability)
• VGM Score of A or B, combining value, growth, and momentum metrics in a single measure

Results:

This screening approach identified 13 qualifying candidates. Here are five standout selections:

Micron Technology: Semiconductor Momentum

Based in Boise, Idaho, Micron Technology ranks among the world’s leading semiconductor memory providers. The company’s fiscal 2026 earnings guidance suggests extraordinary 297.5% growth. Over the past 60 days alone, analyst estimates have surged by 91.9%—a powerful indicator of shifting sentiment.

Micron carries a VGM Score of B and commands a market capitalization exceeding $400 billion. Year-over-year performance has been exceptional: shares have climbed 243% in the past 12 months, demonstrating both the magnitude of relative change and the potential for sustained momentum. The company’s scale and technological positioning make it a compelling case study in how relative outperformance can reflect genuine business strength.

Hilltop Holdings: Financial Services Upside

Dallas-based Hilltop Holdings provides banking, brokerage, and financial advisory services across consumer and business segments. With a market cap surpassing $2 billion, the company has demonstrated consistent execution.

The Zacks Consensus Estimate projects 11.3% year-over-year earnings-per-share growth for 2026. More tellingly, Hilltop has beaten earnings expectations in each of the last four quarters, with an average beat of 79.7%—underscoring management credibility. Over twelve months, shares have appreciated 24%, a solid return reflecting the relative change in investor positioning. The firm’s VGM Score of B reinforces its quality profile.

Casey’s General Stores: Convenience Retail Strength

Ankeny, Iowa-based Casey’s operates convenience store chains across 19 states, primarily in Iowa, Missouri, and Illinois. The retailer’s expected earnings growth rate of 16.3% over three to five years significantly outpaces the broader convenience retail sector at 10.4%—a clear signal of relative competitive advantage.

For fiscal 2026, Zacks Consensus Estimate indicates 18.8% year-over-year EPS growth. Recent relative change is notable: analyst estimates have moved from $16.37 to $17.39 per share over the past 60 days. Casey’s shares have gained 64% in a year, reflecting both strong fundamentals and positive market reevaluation. The company’s VGM Score of B confirms balanced quality across value and growth dimensions.

Agnico Eagle Mines: Gold Sector Leadership

Toronto-headquartered Agnico Eagle operates gold mining facilities across Canada, Mexico, and Finland, with exploration activities spanning multiple continents. The firm has beaten earnings expectations in each of the last four quarters, averaging an 11.6% beat rate.

With a market capitalization near $100 billion, Agnico represents meaningful scale within the gold sector. Over the past 60 days, analyst estimates for 2026 earnings have increased 9.1%, reflecting growing confidence. Year-over-year, shares have more than doubled—a dramatic illustration of relative change capturing market leadership. The company’s VGM Score of B provides additional validation of quality-adjusted strength.

Dollar General: Discount Retail Resilience

Goodlettsville, Tennessee-based Dollar General stands as one of America’s largest discount retailers, focusing on merchandise priced at $10 or less. With a market cap near $33 billion, the company commands significant scale within its niche.

Dollar General possesses a VGM Score of A—the highest quality designation among our five picks. Over the past 60 days, Zacks Consensus Estimate for fiscal 2026 earnings has moved up 5.4%. The company has beaten earnings expectations in all four recent quarters, averaging a 22.9% beat. Year-to-date performance speaks volumes: shares have gained 117% over the past 12 months, exemplifying how relative change can identify companies positioned at inflection points.

Why Relative Change Matters in 2026

Markets are efficient at pricing known information but often misprice transitions. A stock showing sustained positive relative change across multiple timeframes—paired with upward analyst revisions and quality fundamentals—signals that the market is repricing the investment case in the company’s favor.

History supports this approach: Zacks’ top-ranked strategies have delivered average annual gains of 48.4%, 50.2%, and 56.7% since 2000, substantially outpacing the S&P 500’s 7.7% average gain. These results reflect the power of combining relative performance metrics with rigorous quality screens.

The five stocks highlighted here emerged from a disciplined screening process specifically designed to identify companies where positive relative change aligns with strengthening fundamentals and analyst sentiment. As volatility persists and headlines shift, focusing on true market leaders—those already outperforming their peers and benchmarks—offers a grounded strategy for 2026.