Some lesser-known companies have special advantages in their industries
The Dow Jones Industrial Average DJIA, -0.14% returned 165% (with dividends reinvested) and the S&P 500 Index SPX, -0.01% returned 244% from the end of 2009 through Dec. 5, 2019. We’re not quite at the end of 2019, but if we were, and those figures held, the compounded annual growth rate for the Dow would be 10.2%. For the S&P 500, it would be 13.2%.
That average return for the S&P 500 measures up well when compared with the 10% average for the almost 100-year period of June 30, 1927, through Sept. 30, 2019, the longest period available using custom research.
For the past decade, we reviewed the entire S&P 500, as it is currently constituted, to see which stocks performed best. Among the 500 companies, 46 have traded in their present form for less than 10 years, so they are excluded.
Here’s a list of companies whose stocks performed the best,with reinvested dividends, from the end of 2009 through Dec. 5: