Extending its 23%-plus climb during 2024, the S&P 500 started 2025 off with a bang, rising 2.7% in January.

And while some S&P 500 companies failed to keep pace with the index's gain, others soared. Representing a range of industries, the five top-performing S&P 500 stocks all rose more than 20% last month with Robinhood Markets (HOOD -2.21%) leading the pack.

1. Robinhood Markets (up 39.4%)

Investors hate uncertainty. So when they gained clarity into how the Securities and Exchange Commission (SEC) investigation against Robinhood regarding securities violations would resolve (Robinhood will pay $45 million in penalties), investors rejoiced, sending the stock soaring.

2. Twilio (up 35.6%)

Twilio (TWLO -2.79%) held its Investor Day on Jan. 23, and investors liked what they heard. The software company, which supports artificial intelligence developers, expects to generate positive operating income in 2025 and more than $3 billion in free cash flow from 2025 through 2027.

3. Constellation Energy (up 34.1%)

Days after the ball had dropped, Constellation Energy (CEG -1.04%) powered higher, when it announced its plan to acquire Calpine, an electric utility with robust clean energy assets. The utility stock soared 25% higher on the day of the news.

4. CVS Health (up 25.8%)

Inspired by a proposal from the Centers for Medicare and Medicaid Services that Medicare Advantage payments rise 4.3% on average, investors bid CVS Health (CVS 1.48%) stock higher. An analyst's positive take also contributed to the stock's movement. Evercore ISI hiked its price target to $65 from $60.

5. GE Aerospace (up 22%)

GE Aerospace (GE 0.68%) lifted investors' spirits when it reported strong financial results. Compared to Q4 2023, revenue and free cash flow climbed 14% and 21%, respectively, in the fourth quarter of 2024. The market also celebrated management's auspicious 2025 forecast that includes continued free cash flow growth.

Is now the time to buy these S&P 500 stars?

The top-performing S&P 500 stocks in January are industry leaders that are certainly worth further investigation. Potential investors should ensure that they match their individual investing goals.