Best 25 Stocks to Own Over 2nd Half of December

The second half of December has historically been the strongest time of the year for stocks. While December is often viewed as a bullish month overall, breaking the calendar into 24 half months reveals just how much this period stands out. Over the past 50 years, the S&P 500 Index (SPX) has averaged a return of 1.30% in the back half of December, with 76% of the returns positive. It’s the best half-month by both metrics.

Even better, we’re nearing the end of one of the market’s weakest periods. The first half of December is one of only three half-months that has averaged a loss over the past 50 years.

Below, I break the second half returns down to fit the current market environment. I will also list some individual stocks that have tended to do the best in the second half of the month.

Breaking Down the 2nd Half of December

It’s been a good year for stocks, with the SPX up just over 16% in 2025. The table breaks down the second half of December returns based on the year-to-date return through the first half of the month. Stocks have done well in the other 19 years in which the index was up over 15% heading into the final couple of weeks of the year. In those years, the SPX averaged a gain of 1.86%, with 79% of the returns positive. This beats all the other return buckets in the table.

So far, the SPX is barely below breakeven for the month of December. This could change by the close on Monday, which is mid-month, especially given the Federal Reserve's meeting this week. The table below shows how the SPX performed in the second half of December based on its return in the first half. Even the worst return bucket (a moderately positive return) has an average return of 0.75%, which would rank seventh out of the 24 half months.

Best & Worst Performers

The table below shows the best SPX stocks over the last half month of the year. I sorted this list first by the percentage of time the stock beat the SPX, then by average return. Hilton Hotels (HLT) and Broadridge Financial Solutions (BR) beat the index nine out of the last 10 years, leading all stocks. 

Naturally, here’s a table showing the worst stocks to have owned over the last half of December over the past 10 years. Despite the bullish overall market, these stocks have struggled during the holidays.