Following a particularly strong jobs report last week, President Trump once again took to Twitter to tout the economy’s stellar performance during his tenure. This comes as no surprise since Trump has time and again claimed credit for the stock market rally and economic success witnessed during the first year of his presidency.

The jury is still out on the extent to which Trump’s actions, and more importantly, his promises, have helped to boost the economy and its markets. His critics point to the fact that Trump has yet to deliver on the legislative front, though his much vaunted tax cuts bill is on the verge of being passed by the Senate.

On the other hand, Trump supporters feel that criticisms of the President stems from ideological biases. According to them, several gauges of business sentiment have been surging ever since Trump’s surprise win.

Further, equity markets have been surging on the expectations of forthcoming tax cuts. With the legislation close to being enacted into law, it makes sense to add stocks which have posted stellar performances since Trump’s win to your portfolios.

Economy Roars Back to Life

According to a Gallup poll held in November, President Trump’s approval rating on his handling of the economy stands at 45%. This is nearly 8% higher than his overall approval rating, which has slumped to 37%. In reality, few can question Trump’s stewardship of the economy on the evidence alone.

A clear picture emerges on studying this month’s economic data. For instance, unemployment remains at a 17-year low while consumer confidence is at a 17-year high, per the latest readings of their relevant guages. Further, both the ISM manufacturing and services index are hovering around the 58-mark despite slipping marginally this month. Additionally, retail sales for October surged 1.6% despite expectations of a decline.

But the most conclusive proof of the economy’s upswing has been a consistently high pace of growth. Per the second estimate, U.S. GDP expanded at 3.3% in the third quarter of 2017, marking the fastest pace of growth since the third quarter of 2014. More significantly, the economy has now recorded 3% growth during two of the three quarters that Trump has been in office.

And this performance has come about without his much vaunted tax reforms. Not only is this a far cry from the long streak of dull 2% growth, current estimates put fourth quarter growth at 3.2%. This would mark the first time ever that the economy has recorded three consecutive quarters of 3% growth, significantly higher than the records set in 2005.

Earnings Likely to Jump on Upcoming Tax Cuts

Until now, Trump’s concrete actions on the economy and the country have been limited to his executive orders. But most of the actual impact on the ground stems from his signature reforms promise, tax cuts. There is significant evidence of this fact, particularly in the 8.6% year over year increase in business investment witnessed during the third quarter which follows an 8.8% increase during the second quarter.

This trend clearly reflects the new found optimism of U.S. companies which are largely a product of Trump’s tax cuts promises. And this confidence is set to be reflected in fourth quarter earnings results, which is likely to keep alive the trend of strong performances witnessed in the preceding quarters.

Total Q4 earnings are expected to be up +8.8% from the same period last year on +6.8% higher revenues, which would follow the +6.9% earnings growth on +6% higher revenues in 2017 Q3. 

Markets Set to Move Higher in December

And strong earnings can only mean that markets will break and make many more records in the days to come. Already, the Dow, Nasdaq and S&P 500 are up well over 20% year to date. Historically, the month of December has been the best for the S&P 500 investors. And this time around, markets have gained on strong holiday sales and, there you have it, a Santa Claus rally.

About 174 million Americans shopped during the Thanksgiving weekend, surpassing the estimated 164 million, according to the National Retail Federation. Cyber Monday, in fact, registered the largest online shopping day in U.S. history. Online sales crossed the $6.6 billion mark by the end of the day, reflecting a rise of 16.8% from the same period last year. 

5 Stocks Jumping More than 100%

Analysts continue to remain divided over President Trump’s actual impact on the markets and the economy. But there can be no denying that his tax cuts agenda has captured the imagination of industry and investors alike. For now, there is little to stop markets from setting ever higher records in the near future.

Picking stocks with significantly high market capitalization which have gained more than 100% since Trump’s surprise win looks like a smart option at this point. We have narrowed down our search to the following stocks based on a good Zacks Rank and other relevant metrics.

Sangamo Therapeutics, Inc. (SGMO - Free Report) is a biotechnology company. It focuses on research and development of genomic therapies as well as develops medicines for patient with genetic diseases.

Sangamo Therapeutics has a Zacks Rank #2 (Buy). The company has expected earnings growth of 28% for the current year. The Zacks Consensus Estimate for the current year has improved by 8.5% over the last 30 days. Sangamo Therapeutics has returned 380.6% since Nov 8, 2016, outperforming the industryit belongs to, which has gained 3.8% over the same period.
 
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RH (RH - Free Report) , formerly known as Restoration Hardware, is a leading luxury retailer in the home furnishing space.

RH has a Zacks Rank #1 (Strong Buy). The company has expected earnings growth of more than 100% for the current year. The Zacks Consensus Estimate for the current year has improved by 12.9% over the last 30 days. RH has returned 238.7% since Nov 8, 2016, outperforming the industry it belongs to, which has gained 30.5% over the same period.

LendingTree, Inc. (TREE - Free Report) is a leading U.S. online loan marketplace, empowering consumers as they comparison-shop across a full suite of loan and credit-based offerings.

LendingTree has expected earnings growth of 10.7% for the current year. The Zacks Consensus Estimate for the current year has improved by 0.2% over the last 30 days. LendingTree has returned 274.9% since Nov 8, 2016, outperforming the industry it belongs to, which has gained 53.9% over the same period. The stock has a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

SolarEdge Technologies, Inc. (SEDG - Free Report) is a designer, developer and seller of direct current optimized invertor systems utilized for solar PV installations.

SolarEdge Technologies has a Zacks Rank #2. The company has expected earnings growth of 6.7% for the current year. The Zacks Consensus Estimate for the current year has improved by 12.2% over the last 60 days. SolarEdge has returned 143.9% since Nov 8, 2016, outperforming the industry it belongs to, which has gained 43.6% over the same period.

Ignyta, Inc. (RXDX - Free Report) is a biotechnology company. It develops precision medicine with integrated Rx/Dx solutions for cancer patients.

Ignyta has a Zacks Rank #2. The company has expected earnings growth of 15.5% for the current year. The Zacks Consensus Estimate for the current year has improved by 1.6% over the last 30 days. Ignyta has returned 204.9% since Nov 8, 2016, outperforming the industry it belongs to, which has gained 12.5% over the same period.