Mon, March 23, 2026 | 11:18PM ET

March 2026 Top Large Cap and SMID Cap Core Stock Ideas Market Update

Tom Lee, CFA ^AC

Head of Research

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Updating our Top 5 and Bottom 5 Large-cap
Updating our Top 5 and Bottom 5 SMID-cap Core Stock Ideas
Chartbook linked below

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Video: Oil continues to be the key variable for markets. While visibility of the Iran war and the outcomes are limited, the odds of oil above $100 in June have actually dropped. And while investors remain uncertain, we favor growth and in particular, technology, software and crypto. And our top picks remain energy and basic materials.

Please click here to view our Macro Minute (duration: 6:35).

March 2026 Top Large Cap and SMID Cap Core Stock Ideas Market Update

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Large-cap: Top 5 and Bottom 5 Core List‎‎‎ Stock Ideas

We are introducing our “Top 5” (most timely) and “Bottom 5” Large-cap core stock ideas.

The rationale is that many clients ask us to narrow our recommendations down to a list of “fresh money” ideas.
We established a criteria of 4 factors to narrow the list to tactical buys:
– fundamentals using DQM model managed by “tireless Ken”
– IBD momentum rating
– technical strength measured by Price >20 DMA, 20 DMA vs 200 DMA and combos
– Mark Newton’s judgement on technical outlook

Our “Top 5” core stock ideas for March 2026:
– GE Vernova Inc. (GEV) <- carry over
– ONEOK, Inc. (OKE)
– Texas Pacific Land Corp. (TPL)
– Quanta Services Inc. (PWR)
– Echostar Corp. (SATS)
The “Bottom 5” stock ideas (to avoid) are:
– Robinhood Markets Inc. (HOOD) <- carry over
– PPG Industries, Inc. (PPG)
– Meta Platforms (META)
– Vistra Corp. (VST) <- carry over
– Air Products & Chemicals (APD)

SMID-cap: Top 5 and Bottom 5 Core List‎‎‎ Stock Ideas

Last December, we maintained Small-caps as one of our top recommendations in our 2026 year-ahead outlook. We created our SMID Core List as many of our clients asked us for our Top SMID-cap stock picks.

We believe the SMID Core stocks could benefit from the multiple themes and secular tailwinds.
From the SMID Core List, we employed the same framework mentioned above to identify the 5 most timely ideas and 5 least timely ideas within the SMID Core List.

We have 5 tactical buys aka our “Top 5”:
– Comfort Systems USA, Inc. (FIX) <- carry over
– Lumentum Holdings Inc. (LITE) <- carry over
– Sterling Infrastructure Inc. (STRL)
– IES Holdings Inc. (IESC)
– Nextpower Inc. (NXT)
The “Bottom 5” SMID Core stocks are:
– Galaxy Digital Inc. (GLXY)
– Domino’s Pizza, Inc. (DPZ)
– e.l.f. Beauty, Inc. (ELF)
– IonQ Inc (IONQ)
– Reddit, Inc. (RDDT)

Join our live webinar on 3/24 for commentary on the Top 5 and Bottom 5 Large-Cap and SMID-Cap Core Stock Ideas.

Part I: 44 Large-cap Core Ideas: Updated list is below

Large-Cap Core Stock Ideas are large-cap stocks that appear in multiple of our investment strategies.

Consider these the stocks our top stock picks and thus, the higher quality ideas.

The Current Large-cap Core List as of 3/23/2026 is as follows:

Communication Services: GOOGL, META, NFLX, SATS
Consumer Discretionary: AMZN, TJX, TSLA
Consumer Staples: COST, MNST, WMT
Energy: CVX, OKE, TPL
Financials: AXP, BK, GS, HOOD, JPM, PNC
Health Care: AMGN, MRK
Industrials: CAT, DE, ETN, GE, GEV, NOC, PWR, TT, UNP
Information Technology: AAPL, AMD, ANET, AVGO, CDNS, KLAC, MSFT, MSTR, NVDA, PLTR
Materials: APD, PKG, PPG
Utilities: VST

Part II: 62 SMID Core Ideas: Updated list is below

SMID Core Ideas are small and mid-cap stocks that appear in multiple of our investment strategies.

We believe SMID Core List could benefit from the multiple themes and secular tailwinds.

The Current SMID Core List as of 3/23/2026 is as follows:

Communication Services: RDDT, SATS, TIGO
Consumer Discretionary: DPZ, H, IBP, SGI, SN
Consumer Staples: BG, ELF
Energy: CCJ, DINO, DTM, UUUU, WFRD
Financials: ALLY, EWBC, GLXY, SOFI, WAL
Health Care: EXEL, HALO, UHS, UTHR
Industrials: ARRY, AVAV, AWI, BE, BWXT, CARR, CRS, CW, DCI, DY, ENS, FIX, HII, IESC, ITT, KTOS, MLI, NXT, QXO, RKLB, STRL, VMI, WTS
Information Technology: FN, IONQ, LSCC, LITE, MDB, NBIS, ON, PATH, PSTG, RIOT, SANM
Materials: ALB, MP, RGLD
Utilities: TLN

Key Incoming Data March:

~~3/2 9:45 AM ET: Feb F S&P Global Manufacturing PMI~~ Tame
~~3/2 10:00 AM ET: Feb ISM Manufacturing PMI~~ Tame
~~3/4 9:45 AM ET: Feb F S&P Global Services PMI~~ Tame
~~3/4 10:00 AM ET: Feb ISM Services PMI~~ Hot
~~3/4 2:00 PM ET: Fed Releases Beige Book~~ Tame
~~3/5 8:30 AM ET: 4Q P Unit Labor Costs~~ Tame
~~3/5 8:30 AM ET: 4Q P Nonfarm Productivity QoQ~~ Tame
~~3/6 8:30 AM ET: Feb Non-farm Payrolls~~ Mixed
~~3/6 8:30 AM ET: Jan Retail Sales~~ Tame
~~3/9 11:00 AM ET: Feb NYFed 1yr Inf Exp~~ Tame
~~3/10 6:00 AM ET: Feb Small Business Optimism Survey~~ Tame
~~3/10 10:00 AM ET: Feb Existing Home Sales~~ Tame
~~3/11 8:30 AM ET: Feb Core CPI MoM~~ Tame
~~3/12 8:30 AM ET: Jan Trade Balance~~ Tame
~~3/13 8:30 AM ET: 4Q S GDP QoQ~~ Mixed
~~3/13 8:30 AM ET: Jan P Durable Goods Orders MoM~~ Tame
~~3/13 8:30 AM ET: Jan Core PCE MoM~~ Tame
~~3/13 10:00 AM ET: Jan JOLTS Job Openings~~ Tame
~~3/13 10:00 AM ET: Mar P U. Mich. 1yr Inf Exp~~ Tame
~~3/16 8:30 AM ET: Mar Empire Manufacturing Survey~~ Tame
~~3/16 10:00 AM ET: Mar NAHB Housing Market Index~~ Tame
~~3/18 8:30 AM ET: Feb Core PPI MoM~~ Mixed
~~3/18 10:00 AM ET: Jan F Durable Goods Orders MoM~~ Tame
~~3/18 2:00 PM ET: Mar FOMC Decision~~ Mixed
~~3/18 4:00 PM ET: Jan Net TIC Flows~~ Tame
~~3/19 8:30 AM ET: Mar Philly Fed Business Outlook~~ Tame
~~3/19 10:00 AM ET: Jan New Home Sales~~ Tame
~~3/23 8:30 AM ET: Feb Chicago Fed Nat Activity Index~~ Tame
3/24 8:30 AM ET: 4Q F Unit Labor Costs
3/24 8:30 AM ET: 4Q F Nonfarm Productivity QoQ
3/24 9:45 AM ET: Mar P S&P Global Services PMI
3/24 9:45 AM ET: Mar P S&P Global Manufacturing PMI
3/24 10:00 AM ET: Mar Richmond Fed Manufacturing Survey
3/26 11:00 AM ET: Mar Kansas City Fed Manufacturing Survey
3/27 10:00 AM ET: Mar F U. Mich. 1yr Inf Exp
3/30 10:30 AM ET: Mar Dallas Fed Manuf. Activity Survey
3/31 9:00 AM ET: Jan S&P Cotality CS 20-City MoM SA
3/31 10:00 AM ET: Feb JOLTS Job Openings
3/31 10:00 AM ET: Mar Conference Board Consumer Confidence

Economic Data Performance Tracker 2026:

Economic Data Performance Tracker 2025:

Economic Data Performance Tracker 2024:

Economic Data Performance Tracker 2023:

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Tom Lee, CFA, the research analyst denoted by an “AC” on the cover of this report, hereby certifies that all of the views expressed in this report accurately reflect his personal views, which have not been influenced by considerations of the firm’s business or client relationships. Neither I, nor a member of my household is an officer, director, or advisory board member of the issuer(s) or has another significant affiliation with the issuer(s) that is/are the subject of this research report. There is a possibility that we will from time to time have long or short positions in, and buy or sell, the securities or derivatives, if any, referred to in this research.

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