The S&P 500 is getting a shake-up, and investors are taking notice. DoorDash DASH, Williams-Sonoma WSM, Expand Energy EXE and TKO Group TKO are set to join the prestigious index before trading begins on March 24. These stocks will replace BorgWarner, Teleflex, Celanese and FMC Corp.

Following the announcement, all four new entrants saw their stock prices rise in extended trading on Friday — DASH rose roughly 6%, WSM and EXE were up around 2% each, and TKO Group gained 2.6%. This isn’t surprising, as an S&P 500 inclusion often brings increased investor interest and fund inflows. DoorDash leads with a $74.8 billion market cap, while TKO Group, Williams-Sonoma and Expand Energy are valued at around $24 billion, $23 billion and $22 billion, respectively.

But beyond the S&P 500 boost, are these stocks good investments right now? Let’s take a closer look at their fundamentals, recent performance and growth potential to see if they deserve a spot in your portfolio.

DoorDash

DoorDash continues to strengthen its position as one of the leading players in the food delivery and local commerce space. The company is benefiting from rising total orders, which increased 19% year over year in fourth-quarter 2024. DASH is riding on strategic acquisitions, an expanding partner base and diversification beyond restaurant deliveries.

The company has successfully expanded into new verticals, including grocery, retail, and home improvement. Its partnership with The Home Depot allows customers to order home essentials directly through the DoorDash app. Other key partners like Walmart Canada, Lyft, Wegmans, Max (Warner Bros. Discovery) and JPMorgan Chase have broadened its reach, enhancing service offerings and boosting revenues. Financially, DoorDash remains strong. The company ended 2024 with $5.34 billion in cash and cash equivalents, providing flexibility for future investments and acquisitions.

The Zacks Consensus Estimate for DASH’s 2025 sales and EPS implies year-over-year growth of 21% and 669%, respectively. EPS estimates have also been trending higher over the past month.

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Its stock performance has been impressive, with DASH surging around 70% in 2024. Shares have gained over 6% year to date. Given its strong fundamentals, expansion into new markets and solid financial position, DoorDash is a compelling buy with a Zacks Rank #2 (Buy).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Williams-Sonoma

Home goods retailer Williams-Sonoma has demonstrated resilience in a challenging retail environment, driven by its strong digital initiatives, expanding e-commerce penetration and diverse product offerings. The company’s multi-channel strategy allows it to leverage both online and physical retail channels effectively.

WSM continues to benefit from its digital-first approach while maintaining a presence beyond digital-only platforms. Its successful Business-to-Business (B2B) segment has also supported growth, helping offset pressure from shifting consumer spending patterns. Additionally, the company’s diverse brand portfolio, catering to various lifestyles and aesthetics, remains a key strength.However, rising advertising, employment, and operational costs pose challenges. The competitive retail landscape and foreign currency risks add further uncertainty. While Williams- Sonoma has managed to sustain growth, these factors could limit margin expansion.

The Zacks Consensus Estimate for fiscal 2026 projects sales growth of just 1% and EPS growth of 2% year over year. EPS estimates have been trending higher over the past 30 days.

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In terms of stock performance, WSM surged 83% in 2024 but has gained only 1% year to date. The stock currently has a Zacks Rank #3 (Hold). Investors may want to wait before considering new positions.

Expand Energy

Expand Energy, formed from the merger of Chesapeake Energy and Southwestern Energy, has become the largest independent natural gas producer in the United States. The company expects to capture $400 million in synergies in 2025, with a total target of $500 million annually by 2026, driven by operational efficiencies and cost savings. Expand Energy operates across three key regions — Haynesville, Northeast Appalachia and Southwest Appalachia — with production projected to reach ~7.2 Bcfe/d by the end of 2025 and ~7.5 Bcfe/d in 2026. The company is optimizing drilling efficiencies, enhancing completion designs, and leveraging its expanded scale to drive sustained growth.

Financially, Expand Energy is focused on capital returns and debt reduction. The company plans to allocate $500 million toward net debt reduction while maintaining commitment toward shareholder returns via dividends and share repurchases. Its investment-grade credit ratings from Moody’s, S&P and Fitch further highlight its financial strength.

The Zacks Consensus Estimate forecasts 186% sales growth and 305% EPS growth for EXE in 2025. EPS estimates are trending higher over the past 30 days.

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While the stock gained 30% in 2024, it has dipped 3.5% year to date, potentially presenting an attractive entry point. With strong production growth, increasing synergies, a shareholder-friendly capital return strategy, and improving financials, Expand Energy is a compelling buy for long-term investors looking for natural gas play. The stock carries a Zacks Rank #2 currently.

TKO Group

TKO Group operates as a specialty entertainment powerhouse, owning both World Wrestling Entertainment and the Ultimate Fighting Championship. TKO is positioned for growth through its acquisition of Professional Bull Riders, On Location, and IMG in an all-equity transaction valued at $3.25 billion, which was completed last month. This strategic move is expected to strengthen TKO's market position, enhance scale and drive long-term shareholder value.

TKO is majority-owned by Endeavor Group and boasts a global reach, with more than one billion households tuning in to its content and over 300 live events held annually. The company is targeting revenues between $2.93 billion and $3 billion in 2025, up from $2.8 billion in 2024. Adjusted EBITDA is also expected to increase to $1.35-$1.39 billion, up from $1.25 billion in 2024. Financially, TKO maintains strong cash generation, ending 2024 with $525.6 million in cash and equivalents. Additionally, its $2 billion share repurchase program and quarterly dividend rollout in March 2025 signal confidence in its long-term prospects.

The Zacks Consensus Estimate forecasts 24% sales growth and 14,800% EPS growth in 2025, but EPS estimates have declined over the past week, suggesting some near-term uncertainty.

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TKO's stock surged 74% in 2024 and is up 4% year to date in 2025. The stock carries a Zacks Rank #3 currently. While the company’s prospects remain strong, the significant run-up in 2024 suggests investors may want to wait for a better entry point before adding shares.

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This article originally published on Zacks Investment Research (zacks.com).

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