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Top performing stocks in September 2023

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.

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Updated: Sep 22, 2023

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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 technical analysis and trading strategies. In this article, you will find the best stocks that tend to perform well in September based on the data we’ve found for the last 20 years.

What are the top stocks that perform well in September?

Our analysts have selected the top stocks that tend to perform well and go up in September, based on data collected from 1997 to 2016. Find the top stocks to buy from highest to lowest gains in the table below.

#	Stock symbol	Company name	Trade now
1	PAYX	Paychex	Trade PAYX
2	EGP	The Southern EastGroup Properties Inc.	Trade EGP
3	NEOG	Neogen Corporation	Trade NEOG
4	THO	Thor Industries	Trade THO
5	STE	STERIS Corporation	Trade STE
6	ROP	Roper Technologies Inc.	Trade ROP
7	OHI	Omega Healthcare Investors Inc.	Trade OHI
8	CPE	Callon Petroleum Company	Trade CPE
9	NKE	Nike Inc.	Trade NKE 77% of retail CFD accounts lose money.
10	BPT	BP Prudhoe Bay Royalty Trust	Trade BPT

List chosen by our team of analysts, updated October 2023.

78% Rally Rate

Paychex (PAYX)

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

Paychex provides small and medium businesses payroll, HR, and benefits outsourcing services. The company generates stable revenue and earnings. Paychex has increased its dividend for over ten consecutive years, making it a favourite stock for income investors. Paychex offers a defensive business model and consistent total returns in a volatile stock market. Its a steady growth stock and generates income for balanced portfolios.

Sign-up & trade Paychex

76% Rally Rate

EastGroup Properties Inc. (EGP)

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

EastGroup Properties is a real estate investment trust (REIT) focused on industrial properties in the Sunbelt region. The company’s properties cater to e-commerce and logistics firms. EastGroup has delivered consistent funds from operations growth of approximately 6% annually. The REIT also offers a dividend yield above 2%. With rising tenant demand for industrial space, EastGroup Properties provides strong growth potential for long term investors.

Sign-up & trade EastGroup Properties Inc.

74% Rally Rate

Neogen Corporation (NEOG)

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

Neogen distributes food and animal safety products such as tests for pathogens, allergens, and residues. The company has achieved steady revenue growth through new product introductions and acquisitions. However, Neogen faces challenges from supply chain disruptions and higher costs in the near term. But its essential products for food safety and sales growth position Neogen for upside over the next five years. The stock appears reasonably valued for investors wanting exposure to growth companies.

Sign-up & trade Neogen Corporation

Thor Industries (THO)

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

Thor Industries manufactures recreational vehicles and sells them through independent dealers. The company benefits from strong demand from consumers as more people embrace RV vacations. Thor aims to drive growth through acquisitions and innovations. While economic concerns have weighed on Thor’s stock’s price over the past year, its leading RV market share, brand strength, and demographics favouring RV travel put it in a good position for the years to come.

Sign-up & trade Thor Industries

72% Rally Rate

STERIS Corporation (STE)

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

STERIS develops and sells products and services for infection prevention, sterile processing, and surgical procedures. The company has grown through acquisitions, such as the recent buyout of Cantel Medical. STERIS has a strong balance sheet, with 8-10% annual revenue growth. Its essential healthcare products, consistency, and acquisition strategy make it one of the best defensive, long-term value stocks.

Sign-up & trade STERIS Corporation

Roper Technologies Inc. (ROP)

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

Roper Technologies acquires and manages niche software and industrial businesses. The company aims to drive annual sales growth of 12-15% through its capital deployment strategy and operational excellence. Roper has a robust financial profile and generates high margins. Its diversified mix of growth-oriented niche businesses makes Roper one of the best stocks to buy in September 2023.

Sign-up & trade Roper Technologies Inc.

Omega Healthcare Investors Inc. (OHI)

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

Omega Healthcare is a REIT focusing on skilled nursing facilities. The company’s properties are leased to facility operators under long-term contracts, providing stable cash flows. Omega delivers growth by selectively acquiring healthcare properties. Its attractive dividend yield of around 8% makes Omega stock a solid income pick for conservative investors.

Sign-up & trade Omega Healthcare Investors Inc.

70% Rally Rate

Callon Petroleum Company (CPE)

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

Callon Petroleum is an independent oil and gas producer focused on assets in the Permian Basin. The company has increased output through drilling and acquisitions. Callon has taken steps to improve its financial position. But debt remains high while oil and gas prices are volatile. Aggressive investors comfortable with commodity price risk may find the cheap valuation and high upside potential worth taking a risk on.

Sign-up & trade Callon Petroleum Company

Nike Inc. (NKE)

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

Nike is the world’s largest athletic footwear and apparel brand. The company continues growing through new product innovation and expanding its direct-to-consumer sales. Nike stock trades at a premium valuation given its strong brand, high margins, and competitive advantages. But its dominant position, global growth, and focus on shareholder returns make Nike a top September stock in 2023.

Sign-up & trade Nike Inc.

77% of retail CFD accounts lose money.

BP Prudhoe Bay Royalty Trust (BPT)

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

The BP Prudhoe Bay Royalty Trust holds an overriding royalty interest entitling it to a share of oil and gas production from an Alaskan field. Payments fluctuate based on production volumes, oil prices, and costs. The trust offers high yields but faces depleting reserves. The stock is suited only for income-oriented investors willing to accept extreme volatility tied to unpredictable energy prices and output.

Sign-up & trade BP Prudhoe Bay Royalty Trust

What is the usual performance of stocks in September?

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).

Where to buy the best-performing stocks for September?

If you’ve already decided on your favourite stock to buy in September, you can use one of the below platforms to invest in it today.

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.

Final Word on the Strong September Seasonality Stocks

The statistics outlined in this article can provide helpful insights. Still, all traders are encouraged to do their own research and apply their strategies if utilising these stock market seasonality trends.

Each of these growth stocks has a unique risk profile. While the ‘average gain’ data offers a key metric, it doesn’t reveal the full risk picture. Gaining 7% may seem enticing, but it may exceed your tolerance when weighing volatility. Therefore, analyse all the data when selecting trades, not just the return metrics. Also, incorporate other technical and fundamental factors to pinpoint optimal entry and exit levels.

More than seasonality is needed for consistent trading success. My stock trading course focuses on other core skills besides seasonality. However, it can serve as an extra tool in your trading toolkit. Losing trades WILL happen. Don’t risk more than 1% of your capital on any single trade. The risk amount equals the entry minus the stop loss price multiplied by shares. Despite best efforts, you can lose much more than expected (even when risking just 1%).

Trading carries inherent risks, so manage positions wisely. Study price action, use stops, size appropriately, and diversify your holdings. With prudent strategies, seasonal patterns could boost your chances of trading success this September. Just remain vigilant, as not all growth stocks behave as anticipated.

Index funds, ETFs, and mutual funds can provide less risky market exposure. However, individual stocks enable greater control over entries, exits and position sizing based on risk tolerance. Whether you prefer stocks or funds, look for assets aligned with your timeframe and goals.

With a volatile stock market, September brings unique opportunities. By selecting sound positions sized properly, traders can aim to profit from short-term swings and longer-term growth. Monitor the broader market along with individual names. Scan for stocks to buy amidst shifting conditions while adjusting plans as needed.

Through research and prudent decisions, traders can aim to build wealth steadily. Reinvesting profits and adding funds periodically enables compounding. Maintain a long-term view through various cycles. With robust strategies, appropriate sizing and diversified holdings, you can strive for sustainable growth and strong returns over time.

Disclaimer: This article should not be viewed as investment advice, and is not a recommendation for you to buy or sell. Past performance is not necessarily indicative of future performance.

More of the best performing stocks

Sources & references

Risk disclaimer

Cory Mitchell

Market Analyst

Cory is a Chartered Market Technician (CMT) with more than 17 years of trading experience. He has written for multiple publications across the financial sector, and... read more.