Top 32 Favorite Stocks Hint Earnings Phase Looms as Sectors Align with Bull-End Patterns

The current bull market has not yet reached its peak, but a sector-based analysis signals a potential earnings phase. By comparing the past three months’ performance of S&P 500 sectors with their average performance at the end of bull markets since 1970 (Ned Davis Research), there is no immediate cause for alarm—past assessments correctly predicted tops were at least three months away as of late June 2025. However, newsletters’ most-recommended sectors align with those that typically lag at bull-market endings. Utilities, Energy, and Communication Services are among the least-liked, while Health Care and Information Technology, typically top performers at bull-market endings, are current favorites. As a result, a bear market could begin later this year. Below is a list of 32 stocks in the top three recommended sectors, each cited by at least two monitored newsletters.