These Stocks Tend To Perform Well In September (Seasonality)

September is a mediocre month for stocks overall, but these stocks have still managed to climb at least 70% of the time and produced as much as 8% gains on average. 

Seasonality is the study of how assets perform at certain times of the year. The stocks below have shown a strong tendency to rise in September, historically. That doesn’t mean they will rally this September, though. Seasonality is best used in conjunction with other forms of analysis and specific trading strategies.

Before getting into the best historical September stock performers, stocks as a whole (as gauged by S&P 500 index) tend to be a coin flip in September. Over the last 20 years, the index has moved higher 47% of the time (number on top of September column), with losses being slightly larger than profits, resulting in an average loss of -0.6% (number at bottom of September column).

September stock seasonality

StockCharts.com

Strong Seasonality Stocks for September

The statistics below are based on the historic monthly opening and closing prices. Therefore, gains or losses within the month may be larger than those disclosed below. For example, a statistic may say the biggest rally on a monthly basis was 15%, but during the month the stock could have been up 20%, but dropped to only finish the month up 15% (intra-month losses could also be bigger). This is why it is also recommended traders combine these statistics with other strategies, which help control risk and lock in profits.

Buying at the open and close of the month is also somewhat arbitrary. There are more precise times to take trades. Focus on seasonal opportunities that align with strategies you are already using.

This is the raw data. How you interpret it, and what you opt to do with it, is up to you.

All stocks do at least 100K in average daily volume.All stocks with an average gain of less than 3% have been excluded.

78% Rally Rate

Paychex (PAYX)

Price has rallied 21 out of 27 years, or 78%.

september seasonality stocks PAYX

Average September gain, for all years, is 6.12%.

In the rising months (21) the average gain has been: 9.68%.

In declining months (6) the average loss is -6.34%.

Biggest gain is 35.66%, and biggest drop is -15.01%.

76% Rally Rate

EastGroup Properties Inc. (EGP)

Price has rallied 19 out of 25 years, or 76%.

september seasonality stocks EGP

Average September gain, for all years, is 3.46%.

In the rising months (19) the average gain has been: 5.28%.

In declining months (6) the average loss is -2.3%.

Biggest gain is 13.6%, and biggest drop is -5.69%.

74% Rally Rate

Neogen Corporation (NEOG)

Price has rallied 20 out of 27 years, or 74%.

september seasonality stocks NEOG

Average September gain, for all years, is 6.62%.

In the rising months (20) the average gain has been: 11.92%.

In declining months (7) the average loss is -8.51%.

Biggest gain is 34.91%, and biggest drop is -20.95%.

Thor Industries (THO)

Price has rallied 20 out of 27 years, or 74%.

september seasonality stocks THO

Average September gain, for all years, is 5.98%.

In the rising months (20) the average gain has been: 10%.

In declining months (7) the average loss is -5.51%.

Biggest gain is 43.10%, and biggest drop is -13.89%.

72% Rally Rate

STERIS Corporation (STE)

Price has rallied 18 out of 25 years, or 72%.

september seasonality stocks STE

Average September gain, for all years, is 5.81%.

In the rising months (18) the average gain has been: 10.04%.

In declining months (7) the average loss is -5.06%.

Biggest gain is 43.37%, and biggest drop is -9.15%.

Roper Technologies Inc. (ROP)

Price has rallied 18 out of 25 years, or 72%.

september seasonality stocks ROP

Average September gain, for all years, is 4.63%.

In the rising months (18) the average gain has been: 8.47%.

In declining months (7) the average loss is -5.24%.

Biggest gain is 32.15%, and biggest drop is -12.23%.

Omega Healthcare Investors Inc. (OHI)

Price has rallied 18 out of 25 years, or 72%.

september seasonality stocks OHI

Average September gain, for all years, is 3.71%.

In the rising months (18) the average gain has been: 7.08%.

In declining months (7) the average loss is -4.96%.

Biggest gain is 20.58%, and biggest drop is -12.2%.

70% Rally Rate

Callon Petroleum Company (CPE)

Price has rallied 19 out of 27 years, or 70%.

september seasonality stocks CPE

Average September gain, for all years, is 8.22%.

In the rising months (19) the average gain has been: 16.71%.

In declining months (8) the average loss is -11.95%.

Biggest gain is 59.38%, and biggest drop is -32.7%.

Nike Inc. (NKE)

Price has rallied 19 out of 27 years, or 70%.

september seasonality stocks NKE

Average September gain, for all years, is 5.34%.

In the rising months (19) the average gain has been: 10.12%.

In declining months (8) the average loss is -6.03%.

Biggest gain is 21.86%, and biggest drop is -16.77%.

BP Prudhoe Bay Royalty Trust (BPT)

Price has rallied 19 out of 27 years, or 70%.

september seasonality stocks BPT

Average September gain, for all years, is 3.74%.

In the rising months (19) the average gain has been: 6.94%.

In declining months (8) the average loss is -3.87%.

Biggest gain is 28.89%, and biggest drop is -8.86%.

Final Word on the Strong September Seasonality Stocks

This is the raw data. What you do with it is up to you. All traders are encouraged to do their own research and apply their own strategies if utilizing these statistics.

Each stock has a different risk profile. While the ‘average gain’ statistic is a key metric, it doesn’t tell the whole story. Making 7% may seem attractive but when looking at the volatility it may be more than you are willing to handle. Therefore, look at the all the data when deciding what to trade. Also, apply other technical and fundamental metrics to help zero-in on exact entry and exit points. .

Losing trades WILL happen. Don’t risk more than 1% of your trading account on a trade (risk = difference between entry price and stop loss price, multiplied by the number of shares). There is always a risk in trading, and you can lose much more than you expect (even when you think you are only risking 1%).

Disclosure: The author doesn’t have positions in these stocks currently, but may initiate positions if the stock prices slide a bit lower.

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