The stock market seemed to take a breather in June. Perhaps it’s the calm before the earnings storm that will begin about mid/late July?
Of course, in June certain sectors moved more than the index overall, but in general the market, and my Portfolio, didn’t finish the month having moved much. Sadly, what little movement there was, was to the downside.
Technology companies (outside of memory) gave back some of the gains they’ve logged in 2026, as did many Communication Services stocks. Meanwhile, downtrodden companies from the Healthcare and Financials sectors authored rebounds in June.
Note – the monthly percentages noted below are through 6/26/26.
Healthcare (6.8%), Financials (4.8%) and Industrials (4.5%) were the best-performing sectors in June, but these sectors couldn’t drag the S&P 500 into positive territory, which finished with a loss (-2.8%). Dragging the index down was Communication Services (-12.5%), Consumer Discretionary (-8.5%) and Information Technology (-5.7%).
For the year, the Energy sector (19.3%) is still leading other sectors in gains, but Industrials (17.1%) is narrowing the once large gap. Only Consumer Discretionary (-3.9%) and Financials (-2.0%) remain in the red. The S&P 500 still holds a solid 7.5% gain for 2026, or a little over 8% if we include reinvested dividends (which we always like to do!).
The same 0.3% difference between my Portfolio YTD performance (~7.7%) and that of the S&P 500 (~8.0%) still exists after June has come to pass. Despite my Portfolio trailing, the performance delta isn’t too bad considering my Portfolio beta (0.92) is less than that of the S&P 500 (1.0).
Amazingly, I had eight of my Top 10 holdings in the green this month, but this was offset by my top two holdings (in addition to all my other Tech holdings in my Portfolio) posting big losses in June.
Look for me to cover my usual items in this month’s Portfolio Thoughts post…
- Price Movement – I’ll look at my top advancers and decliners in my Portfolio during the past month.
- Top 10 Review – I’ll update my Top 10 Portfolio stocks and how they changed rank this past month.
- Weightings – I’ll examine the sector weightings within my Portfolio and let you know where I’ve made progress with regard to getting into my preferred weighting ranges.
- Watch List – I’ll share which stocks I’m looking at for possible purchase or sale in the event I decide to shuffle up my holdings.
Here are my Portfolio Thoughts for June 2026…
Price Movement
Note – my price changes cover closing prices from 5/22/26 to 6/26/26.
My individual Portfolio stocks battled all month long, but could barely decide a winner for June. The gainer/decliner ratio was as close to 1:1 as it can get given an odd number of holdings. Of my 57 holdings, 28 climbed in price, while the other 29 retreated.
Here were the stocks with the biggest moves to the upside and downside…
Of my 28 stocks that rose in price in June, none of them managed to top 20%. However, I did have four of them that notched a gain exceeding 10% (the usual threshold I monitor for). Not to be discounted, there were eleven stocks that gained at least 5%, too. Still, the volume wasn’t there to put my Portfolio in the green for June.
My top gainers in June were:
- AbbVie (ABBV), surging 17.45%
- Caterpillar (CAT), popping 13.36%
- RPM International (RPM), jumping 11.46%
- UnitedHealth Group (UNH), rising 10.15%
- Johnson & Johnson (JNJ), advancing 8.67%
None of the top gainers in June were repeats from last month. Instead, my top gainers list contained three Healthcare stocks this time around. This was nice to see given that Healthcare stocks have been laggards in 2026.
ABBV was my top performer. The stock reached a new 52-week and all-time high in June. Strong Q1 2026 earnings, the acquisition of Apogee Therapeutics, and a broad rally within the Healthcare sector this month helped propel the stock higher. ABBV is up about 10% in 2026.
UNH was another standout Healthcare stock this month. Its stock rise was boosted by analyst upgrades, strategic AI investments that should lower operating costs in the future, and less regulatory overhang after a settlement with the FTC. UNH has risen in price for 3 straight months.
JNJ was the final Healthcare top gainer for me. JNJ also hit a 52-week high in June. The stock had a mix of catalysts including a $1 billion acquisition of Firefly Bio to strengthen its oncology pipeline.
CAT has been on fire in 2026, gaining over 70% thus far and reaching new all-time highs. The company has seen a massive increase in demand for its power generation equipment (used in AI data centers), is benefiting from a very strong Q1 2026 earnings report, and is experiencing reduced equipment tariffs. CAT has risen in price for 3 straight months.
RPM is my final top gainer this month. Some analyst upgrades, a recent acquisition, and good earnings momentum have bolstered investor confidence and stabilized the stock price. RPM has been toggling between price gains and declines over the past 4 months.
Note – only one sector in my Portfolio had all their holdings in the green this month… Healthcare (8). Seven of my eight Healthcare holdings gained at least 5% in June.
Of my 29 stocks that dropped in price, two of them sank by more than 20%… ouch! Another ten retreated by more than 10%. Yet another six stocks slipped more than 5%. While my gainer/decliner ratio was nearly 1:1 in June, there certainly seemed to be more of a tilt to the downside in terms of percentages.
My worst decliners in June were…
- Accenture (ACN), tanking 28.04%
- Qualcomm (QCOM), plunging 20.48%
- Amdocs Ltd. (DOX), sinking 17.06%
- Intuit (INTU), tumbling 16.32%
- Nexstar Media Group (NXST), falling 13.08%
I’m starting to get tired of seeing a couple of stock names in my top decliners list, as it’s been 3 months in a row now that both of these stocks have been on the list (I can’t say I’ve experienced that before). The two stocks are INTU and NXST… repeat offenders… again!
INTU is suffering from analyst downgrades, fears regarding how AI will disrupt their business, and pricing pressures with TurboTax. Make it 3 consecutive months that INTU has declined more than 13% in price.
NXST has dropped in price for 4 straight months, with the June decline being the worst. The company’s TEGNA acquisition remains in limbo, forced selling occurred due to NXST being removed from some Russell growth indeces, and a general selloff in the Communication Services sector all weighed on NXST this month.
My worst decliner in June was ACN… by quite a bit. ACN had a disappointing Q3 earnings report where revenue growth forecasts were trimmed. This led to analyst downgrades. Fears regarding AI disrupting their traditional IT consulting model remain at the forefront. ACN has tanked by more than 50% in price in 2026.
After being my top gainer last month (+60%), QCOM transitioned to one of my top decliners in June. QCOM was impacted by competition from NVIDIA, some investor profit-taking after a multi-month stock price rally, not to mention a general slump in Information Technology names during the month.
The last top decliner for June was DOX. Weak telecom spending has hurt DOX, as has investors focusing more on companies with more AI revenue generation. Being in the Tech sector hasn’t helped either amidst the sector selloff in June. DOX has declined over 35% YTD.
Note – three sectors in my Portfolio had all of their holdings in the red this month… Information Technology (10), Communication Services (6) and Energy (2). Eight of my ten Information Technology holdings fell at least 10% in June… no bueno.
Top 10 Review
I saw a normal amount of movement within my Top 10 in June. Six of the ten stocks changed position by month’s end.
The largest move up was 2 spots, while the largest tumble down was 4 spots.
I’ve got one new stock cracking the Top 10, which means one stock dropped out. I’ll share those two stocks coming up.
Most of my Top 10 posted gains in June, but a pair of decliners (AVGO & QCOM) stood out due to their double-digit declines.
Given its huge weighting, Broadcom (AVGO) remained in the #1 spot, despite posting a decline of 11.86% this month.
Rising one spot to claim #2 was Caterpillar (CAT). CAT delivered a 13.36% gain during June. This coupled with the decline for QCOM allowed CAT to move up.
Also climbing one spot, to secure the #3 spot, was Aflac (AFL). AFL gained just under 2% in June to move past QCOM. Make it 3 straight months of AFL gains.
Tumbling down two spots to land in the #4 spot was Qualcomm (QCOM). The stock got destroyed during June (for various reasons), falling 20.48%. After a month of May in which QCOM gained 60%, it shouldn’t have been a surprise to see a pullback in June.
Holding steady in the #5 spot was AbbVie (ABBV). Despite a stellar gain of 17.45% this month, ABBV wasn’t able to move up in the rankings. ABBV has risen over 25% in the past two months.
Also remaining in place was Visa (V). The company held down the #6 spot in my rankings after recording a small 2.23% gain in June. V has gained in price each of the past 3 months, but is still down a little over 5% for 2026.
Fastenal (FAST) moved up one spot to #7 on the back of a nice 7.19% gain in June. After finishing in the $43-$45 price range for each of the past 5 months, FAST has broken out a bit by topping $47.
My biggest climber of June was RPM International (RPM). RPM rose two spots on the strength of an 11.46% gain to finish #8 in my rankings. RPM has been up and down during 2026, so we’ll see if RPM can manage further gains.
Staying in the #9 spot was JPMorgan Chase & Co. (JPM). JPM posted a solid 7.40% gain in June, but it wasn’t enough to lead to a move up.
Claiming my last spot at #10 was Johnson & Johnson (JNJ). JNJ cracked my Top 10 by logging a gain of 8.67% in June. JNJ is now up by over 20% in 2026. Falling out of my Top 10 was BlackRock (BLK), which tumbled 4 spots due to posting a loss of 10.09% this month.
Now lurking outside my Top 10 is BLK, and really no other stocks. BLK needs to make up about $1K in value to reach the Top 10 again, while the next closest stock after BLK would have to erase at least a $3K deficit in value.
From the table above, my Top 10 holdings now comprise 44.50% of my Portfolio value. This is a minuscule increase of 0.03 percentage points compared to last month. The big declines from AVGO and QCOM were offset by gains from the other eight Top 10 stocks, especially CAT, ABBV, FAST, RPM & JNJ. Of the Top 10 stocks, there is now only one stock that doesn’t have at least a 3% weighting.
As for the dividend weighting of my Top 10, it now stands at 26.02%. This is a decrease of 0.17 percentage points compared to last month. The recent CAT dividend boost wasn’t quite enough to outweigh the normal small dividend weighting declines that occur each month in the Top 10 due to dividend hikes for other stocks in my Portfolio outside the Top 10.
Sector Weightings
In general, for Sector Diversification, I target being within +/-3 percentage points of the sector weightings of the S&P 500. For SuperSector Diversification, I target being within +/-5 percentage points.
The “Weight Diff.” column shows which sectors sit outside my preferred weighting ranges. If I’m overweight a sector, it’s shaded green. If I’m underweight a sector, it’s shaded red. If I’m within my target weighting range, then no shading exists.
At the end of June, I still have the same number of sectors outside my preferred weighting range… 6. This includes 3 overweight sectors and 3 underweight sectors in my Portfolio. Industrials remains my most overweight sector and Information Technology remains my most underweight sector.
At least I made progress in the weighting of two sectors when it came to getting closer to my preferred weighting range. Those sectors were Communication Services & Consumer Discretionary. I gained ground in both sectors due to better performance in my Portfolio relative to that sector in the S&P 500. In Consumer Discretionary, I actually boosted my weighting while that of the S&P 500 declined.
The sector in which I regressed most was Information Technology. I guess that shouldn’t be a surprise considering all of my Tech positions were in the red in June, some of them significantly. I went from being 11.20% underweight to being 14.20% underweight… a change of 3 full percentage points! Double-digit price drops from my two largest holdings (AVGO & QCOM) caused most of the damage.
As for dividend weightings, they didn’t change much during the month. The biggest change was in Consumer Discretionary and Industrials, which each added 0.07 percentage points, primarily due to recent dividend raises from LOW and CAT, respectively. My Healthcare sector is currently providing more than 15% of my dividend income, while Real Estate is the only one providing less than 4%.
As always, I’ll keep all my sector weightings in mind as I continue to adjust my Portfolio, and my watchlist.
Watch List
Since my Portfolio dividends are now used for living expenses (since I’m no longer working), I don’t expect to purchase stocks very often. Yet, I could choose to sell an under-performing stock and invest in a potentially better one. Thus, I plan to keep looking for opportunities and keeping my watchlist up-to-date.
I didn’t have any Portfolio transactions in June, thus my watchlist went unused this month. Still, it’s good to have it ready-to-go, as buy/sell decisions often occur quickly for me.
Within my Portfolio, here are a few stocks that I’m watching for possible additions…
Intuit (INTU) touched yet another 52-week low in June, just under $253. There doesn’t seem to be a bottom for this stock. It’s my smallest holding, and I’m not sure I wish to add to it.
Amdocs Ltd. (DOX) is in the same boat as INTU. In the case of DOX, the 52-week low was just below $50. This is my 2nd smallest holding and it can’t stop with the price declines.
Accenture (ACN) is yet another Tech stock that’s having a horrible 2026 due to concerns over AI disrupting their business. The stock has dropped again and has recently traded under $125. The yield for ACN has been pushed over 5%.
The Walt Disney Co. (DIS) is trading a bit over $96. I’d be interested in adding a few shares should it dip below my cost basis at $93.40.
Main Street Capital (MAIN) hasn’t moved much over the past month. It’s still hovering a little over $50/share, but I’d consider a buy below that level.
Verizon Communications (VZ) has been retreating of late. My trim at just over $50 back in March has me feeling good. I said I’d consider buying back the trimmed shares should the price drop. It trades around $43 these days. I’m going to target a price of $40 for buying them back.
Medtronic (MDT) is still being watched. It trades below $80 after it moved above that level but failed to hold it. I’ll look for a price drop below $75.
Meta Platforms (META) is ripe for an addition by me. I was looking for a price under $600, and it trades around $560 now after drifting lower in June.
Nike (NKE) is slated to release earnings for the quarter this week. The stock has been in the low $40s most of the month, below my target from last month. But it’s hard to catch the falling knife. Maybe a price below $40 gets me to add a few shares?
Considering stocks I might sell…
INTU and DOX might be sold if I don’t decide to bolster these two smallest positions. Perhaps I put the sales proceeds into ACN to keep the money in Tech, and to boost my dividend income in the process.
Skyworks Solutions (SWKS) is still a sale candidate. However, after it slumped below $80 (all the way to around $68), I’m inclined to wait for a rebound.
As for non-Portfolio stocks that I’m watching…
None at this time. I remained focused inside my Portfolio instead, where there’s plenty of optimization to do.
Thoughts?
Do you believe the stock market can continue to tack on gains through the end of the year? Will all the corporate AI capital expenditures that have taken place in 2026 translate into increasing profits before year’s end? Please share your thoughts!