The S&P 500 (^GSPC) is home to the biggest and most well-known companies in the market, making it a go-to index for investors seeking stability. But not all large-cap stocks are created equal - some are struggling with slowing growth, declining margins, or increased competition.

Picking the right S&P 500 stocks requires more than just buying big names, and that’s where StockStory comes in. That said, here is one S&P 500 stock that is leading the market forward and two that may struggle.

Market Cap: $27.72 billion

The result of a 2015 mega-merger between Kraft and Heinz, Kraft Heinz (NASDAQ:KHC) is a packaged foods giant whose products span coffee to cheese to packaged meat.

Why Do We Avoid KHC?

Declining unit sales over the past two years show it’s struggled to move its products and had to rely on price increases

Efficiency has decreased over the last year as its operating margin fell by 34.6 percentage points

ROIC of 1.2% reflects management’s challenges in identifying attractive investment opportunities, and its decreasing returns suggest its historical profit centers are aging

Kraft Heinz’s stock price of $23.44 implies a valuation ratio of 9.5x forward P/E. Check out our free in-depth research report to learn more about why KHC doesn’t pass our bar.

Market Cap: $35.62 billion

Spun off from Hewlett-Packard in 2014, Keysight (NYSE:KEYS) offers electronic measurement products for use in various sectors.

Why Does KEYS Give Us Pause?

New orders were hard to come by as its average backlog growth of 1.1% over the past two years underwhelmed

Earnings per share fell by 7.3% annually over the last two years while its revenue was flat, showing each sale was less profitable

Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability

Keysight is trading at $207.32 per share, or 25.6x forward P/E. To fully understand why you should be careful with KEYS, check out our full research report (it’s free).

Market Cap: $164.1 billion

Tracing its roots back to 1860 when it published the first railroad industry manual, S&P Global (NYSE:SPGI) provides credit ratings, market intelligence, commodity data, automotive analytics, and financial indices that help investors and businesses make decisions.

Why Should You Buy SPGI?

Annual revenue growth of 10.6% over the last two years was above the sector average and underscores its products and services value to customers

Share repurchases have increased shareholder returns as its annual earnings per share growth of 20% exceeded its revenue gains over the last two years

Industry-leading 25.8% return on equity demonstrates management’s skill in finding high-return investments

At $542.83 per share, S&P Global trades at 28x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.

The names generating the next wave of massive growth are right here in our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.