Still, Steel Dynamics still got a major boost from rising prices this year. The company also stayed profitable, generating hefty free cash flow. Unlike its fellow steelmakers on this list-AK Steel and United States Steel- Steel Dynamics (STLD) managed to ride out steel’s 2015 price downturn relatively unscathed: Its stock price only shed about 7% last year. Still, Freeport maintains substantial operations in that area that will benefit if oil prices continue to rise.Ģ016 return: 100% Courtesy of Steel Dynamics It sold off some of its energy business this year, relieving it of some of the debt it had taken on in the process. Trump’s election win gave copper an additional kick, with investors believing that his administration’s expected infrastructure projects will need to rely on that building material.įreeport had suffered particularly in recent years from its decision to diversify into the oil business-at what turned out to be exactly the wrong time, as prices plummeted. One indication of Fannie and Freddie’s wild ride since the Great Recession? They were the top two best-performing Fortune 500 stocks in 2013, returning more than 1000% each, only to land on the list of worst performers the following year.Īfter a five-year bear market in precious metals including gold, silver and copper-all of which Freeport-McMoRan (FCX) produces at its mines-the prices of those commodities rallied in 2016 as supply came down closer in line with demand. Privatizing the quasi-governmental companies would also a huge boon to a growing contingent of hedge fund speculators, who have invested in the pair and advocated that the government allow the companies to keep more of their own profits. That outcome would be a far cry from what was expected just a few years ago, when Fannie and Freddie’s shares were worth just pennies as the government indicated that it would eventually phase them out entirely. The reason is fairly straightforward: Trump’s treasury secretary pick, former Goldman Sachs banker Steven Mnuchin, suggested privatizing Fannie and Freddie, which have been under government control since the mortgage lenders received a giant bailout during the financial crisis. But that all changed when Trump won the White House: Both Fannie Mae (FNMA) and Freddie Mac (FMCC) stock have more than doubled since the Nov. Prior to the presidential election, Fannie’s and Freddie’s share prices were pretty much flat for 2016. We’ve lumped these two stocks together here because their businesses, their recent stock performance and their near-term outlooks are close to identical. So even if you missed out on a four-bagger return this year, there may be more rallies to come for some of these stocks in 2017. Indeed, six of the top 10 performers come from the bottom half of the 500 list.Įven though they may no longer be underdogs, the stocks of many of 2016’s best performers remain well below their all-time highs, and several still look cheap. by revenue, none of this year’s top gainers was among the very biggest of the big. presidential election, prompting hopes of a wave of new spending on infrastructure.Īlso, although Fortune 500 members are, by definition, the largest companies in the U.S. Three are steel companies whose stocks took off after Donald Trump won the U.S. Most of this year’s big winners come from unsexy industries beset by struggles from which these firms are just starting to emerge. Still, you won’t find any high-growth tech companies on this list. In a year when the S&P 500 has gained a solid 10%, these Fortune 500 companies ran circles around that return: All of the stocks on this list at least doubled their share prices in 2016, and the top two winners each more than quadrupled.
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