Weekly Market Wrap: Stocks Extend 2025 Rally as Basic Materials, Tech Rise

Stock Market Update for the Trading Week Ended Dec. 26

• The Morningstar US Market Index rose 1.32%.
• The best-performing sectors were basic materials, up 2.31%, and technology, up 1.68%.
• The worst-performing sectors were consumer defensive, down 0.09%, and consumer cyclical, up 0.61%.
• Large-cap stocks gained 1.49%, mid-cap stocks rose 0.97%, and small-cap stocks rose 0.45%.
• Growth stocks gained 1.37%, blend stocks gained 0.78%, and value stocks rose 1.07%.
• The S&P 500 gained 1.4% and the Nasdaq rose 1.22%.
• Of the 838 US-listed companies covered by Morningstar, 603, or 72%, were up, five were unchanged, and 230, or 27%, were down.

Bonds and Commodities

• Yields on 10-year US Treasury notes fell to 4.14% from 4.16%.
• Yields on 2-year US Treasury notes fell to 3.46% from 3.48%.
• West Texas Intermediate crude prices rose 0.69% to $56.93 per barrel.
• Comex Gold prices rose 4.27% to $4,540.10.

Top Stock Gainers

Sunrun RUN, Taboola TBLA, Venture Global LNG VG, Novo Nordisk NVO and Restoration Hardware RH were the top performers among US-listed stocks covered by Morningstar analysts.

• Sunrun topped the list, rising 12.1%, and it’s up 25.61% over the past three months. This no-moat company with a 2-star rating has increased 99.21% over the past 12 months. The stock closed the week at $20.47, trading at a 44% premium to its fair value estimate of $14 per share.
• Taboola was the second-best performer, with a weekly return of 11%. The 3-star stock has gained 21.35% over the last three months. Shares in this no-moat company are up 12.21% over the past 12 months. Taboola stock wrapped up the week at $4.49, trading at a 5% discount to its fair value estimate of $4.55 per share.
• Venture Global LNG ranked third for the week, with its stock rising 9.45%. The 4-star, no-moat stock has fallen 50.12% over the last three months. Venture Global LNG stock closed at $6.95, trading at a 34% discount to its fair value estimate of $11 per share.
• The fourth-best-performing stock was wide-moat Novo Nordisk, which gained 8.96%. The 4-star stock has fallen 10.52% over the last three months and is down 37.87% over the past 12 months. Novo Nordisk finished the week at $52.4, trading at a 20% discount to its fair value estimate of $66 per share.
• Restoration Hardware stock climbed 8.58% in the latest week. This no-moat company has seen a decrease of 13.94% over the last three months and a decline of 55.77% over the past 12 months. The 4-star stock ended the week at $185.65 per share, trading at a 38% discount to its fair value estimate of $295.

Top Stock Losers

Tilray Brands TLRY, Brown-Forman BF.B, Moderna MRNA, Infosys INFY and Kohl’s KSS did the worst among US-listed stocks covered by Morningstar analysts.

• Tilray Brands was the worst-performing stock of the week, falling 13.98%. This 4-star, no-moat company has fallen 19.44% over the past three months and fell 28.01% over the past 12 months. The stock ended the week at $9.6, trading at a 28% discount to its fair value estimate of $14 per share.
• Brown-Forman took the second spot, with a 8.11% price decline this week. The wide-moat company, rated 4 stars, has fallen 1.88% over the past three months and fell 30.29% over the past 12 months. Closing at $26.19, the stock trades at a 27% discount to its fair value estimate of $37 per share.
• Moderna came in third, experiencing a 7.85% drop this week. This 4-star, no-moat company has risen 26.55% over the past three months but fell 18.67% over the past 12 months. The stock finished the week at $31.2, trading at a 38% discount to its fair value estimate of $53 per share.
• Next up is Infosys, which saw its stock price fall by 7.07% this week. The wide-moat company with a 2-star rating has risen 11.15% over the past three months but fell 15.74% over the past 12 months. At $18.79, the stock trades at a 12% premium to its fair value estimate of $16.70 per share.
• Kohl’s rounds out the list with a 7.03% decline this week. This 4-star, no-moat company has risen 26.9% over the past three months and rose 53.58% over the past 12 months. The stock closed the week at $21.57, trading at a 47% discount to to its fair value estimate of $41 per share.

Highlights of This Week’s Market and Investing Events

• Tuesday, Dec. 30: Chicago PMI report
• Wednesday, Dec. 31: Initial Unemployment Insurance Claims report,
• Minutes from the Federal Open Market Committee Meeting
• Friday, Jan. 2: Construction Spending report