While the S&P 500 (^GSPC) includes industry leaders, not every stock in the index is a winner. Some companies are past their prime, weighed down by poor execution, weak financials, or structural headwinds.

Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. That said, here are three S&P 500 stocks that don’t make the cut and some better choices instead.

Market Cap: $108 billion

Originally named after Adobe Creek that ran behind co-founder John Warnock's house, Adobe (NASDAQ:ADBE) develops software products used for digital content creation, document management, and marketing solutions across desktop, mobile, and cloud platforms.

Why Are We Hesitant About ADBE?

Customers had second thoughts about committing to its platform over the last year as its average billings growth of 12.6% underwhelmed

Projected sales growth of 9.4% for the next 12 months suggests sluggish demand

Operating margin improvement of 5.3 percentage points over the last year demonstrates its ability to scale efficiently

Adobe’s stock price of $263.62 implies a valuation ratio of 4.2x forward price-to-sales. Check out our free in-depth research report to learn more about why ADBE doesn’t pass our bar.

Market Cap: $18.8 billion

The classic red Heinz ketchup bottle’s competitor, McCormick (NYSE:MKC) sells food-flavoring products like condiments, spices, and seasoning mixes.

Why Is MKC Not Exciting?

Sales trends were unexciting over the last three years as its 2.5% annual growth was below the typical consumer staples company

ROIC of 8.9% reflects management’s challenges in identifying attractive investment opportunities

At $70.02 per share, McCormick trades at 22.4x forward P/E. To fully understand why you should be careful with MKC, check out our full research report (it’s free).

Market Cap: $82.24 billion

Tracing its roots back to 1784 when it was founded by Alexander Hamilton, BNY (NYSE:BK) is a global financial institution that provides asset servicing, wealth management, and investment services to institutions, corporations, and high-net-worth individuals.

Why Does BK Fall Short?

Large revenue base makes it harder to increase sales quickly, and its annual revenue growth of 4.7% over the last five years was below our standards for the financials sector

Scale is a double-edged sword because it limits the firm’s capital growth potential compared to its smaller competitors, as reflected in its below-average annual tangible book value per share increases of 6.3% for the last five years

Below-average return on equity indicates management struggled to find compelling investment opportunities

BNY is trading at $119.85 per share, or 14.2x forward P/E. Read our free research report to see why you should think twice about including BK in your portfolio, it’s free.

If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.

Don’t wait for the next volatility shock. Check out our Top 5 Strong Momentum Stocks for this week. 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.