Published on 1 Apr 2024 on Zacks via Yahoo Finance

5 Stocks That More Than Doubled in Q1 With More Gains Ahead

Wall Street wrapped up the first quarter on a solid note. The S&P 500 jumped 10.2% for its best quarterly stretch since 2019, while the Dow Jones Industrial Average gained 5.6% for its best quarter since 2021. The Nasdaq Composite Index popped 9.1%. The continued artificial intelligence boom, coupled with the Fed rate cut bets this year, powered the rally.The gains have been broad-based across various segments, and many stocks have more than doubled this year. We have highlighted five stocks that have a Zacks Rank #1 (Strong Buy) or 2 (Buy), a VGM Score of B or better and have seen positive earnings estimate revisions for the current fiscal year over the past 30 or 60 days, suggesting continued outperformance. These are Equillium, Inc. EQ, Laird Superfood LSF, QuantaSing Group Limited QSG, Phunware Inc. PHUN and Arq Inc. ARQ. You can see the complete list of today’s Zacks #1 Rank stocks here.Notably, the S&P 500, in a historic move, surpassed the 5,200 level for the first time ever last month, following the Fed’s signal to cut interest rates. In the latest meeting, the Fed maintained its interest rates steady in a range of 5.25%-5.50% and signaled three rate cuts this year, citing expanding economic activity and easing but elevated inflation. The move will mark the end of the most aggressive Fed hiking cycle and fuel corporate profits.Lower interest rates generally lead to reduced borrowing costs, helping businesses to expand their operations more easily and resulting in increased profitability. This, in turn, will stimulate economic growth and provide a boost to the stock market.The continued expansion in AI applications added to the strength with many experts believing that the AI journey for market leaders has just begun and more innovations in this field will unfold.

Best-Performing Stocks

Equillium is a biotechnology company. It develops products for autoimmune and inflammatory disorders. The stock skyrocketed 219.5% in the first quarter. It has seen a solid earnings estimate revision of 3 cents for this year over the past 60 days and has an estimated growth rate of 60.5%.Equillium currently has a Zacks Rank #2 and a VGM Score of A.Laird Superfood provides plant-based superfood products. The stock has surged nearly 168% this year.Laird Superfood saw a positive earnings estimate revision of 63 cents for this year and has an earnings growth rate of 56.6%. It has a Zacks Rank #2 and a VGM Score of B.QuantaSing is an online service provider, principally in China's adult personal interest learning market for personal interest courses. The stock has soared nearly 162% so far this year. It has seen a positive earnings estimate revision of 28 cents over the past 30 days for the fiscal year (ending June 2024), with an estimated earnings growth rate of 406.7%.QuantaSing has a Zacks Rank #1 and a VGM Score of B.Phunware provides a cloud platform for mobile. It offers software, solutions, data and services for brands. The stock soared more than 118% and saw a solid earnings estimate revision of $3.67 over the past 30 days for this year, with an estimated earnings growth rate of 90.6%.Phunware has a Zacks Rank #2 at present and a VGM Score of B.Arq is a producer of activated carbon and other environmentally efficient carbon products for use in purification and sustainable materials. It gained 117% in the first quarter. The stock saw a positive earnings estimate revision of a couple of cents over the past 30 days for this year and has an estimated earnings growth rate of 64.3%.Arq has a Zacks Rank #2 and a VGM Score of B.