One of our favorite trends at the start of a new month and quarters is to find out which stocks on the S&P 500 Index (SPX) tend to perform the best -- and worst -- over a specific time frame. Recently we covered the 25 best and worst stocks to own in October, but we're going to widen our search to the fourth quarter.
Sitting right at the top of the 25 best stocks to own during the fourth quarter is Broadcom Inc (NASDAQ:AVGO). Per Schaeffer's Senior Quantitative Analyst Rocky White, AVGO finished the quarter higher every single time in the past 10 years, averaging a gain of 17.5%. What's more, the tech giant is only one of two that appeared from its sector on the list. Banking and investment stocks are the most popular sectors.
On the charts, AVGO has moved higher for the most part, though a few pullbacks have been captured by the ascending 200-day moving average. Now up 50% in 2024, the shares look to be hitting a top near $180, a ceiling not breached since mid-June's record highs. Should the stock experience another fourth-quarter surge, it could mean fresh highs for the equity.
What's more, Broadcom stock's options are affordably priced at the moment. This is per the stock's Schaeffer's Volatility Index (SVI) rating of 39%, which ranks in the low 23rd percentile of its annual range.