Best- and Worst-Performing Stocks

The Morningstar US Large-Cap Index rose 2.46% in the third quarter amid a rally in the energy sector. The index tracks the performance of the top 85% of the US investable universe by market cap, and each quarter, we screen it for the best- and worst-performing companies. Data in this article is sourced from Morningstar Direct.

The Best-Performing Stocks of Q3 2026

1. Atlassian TEAM
2. Strategy MSTR
3. Veeva Systems VEEV
4. Palantir PLTR
5. Workday WDAY

The Worst-Performing Stocks of Q3 2026

1. Fair Isaac FICO
2. AppLovin APP
3. Corning GLW
4. KLA KLAC
5. AST SpaceMobile ASTS

Metrics for the Best-Performing Stocks

Atlassian TEAM

• Sector: Technology
• Industry: Software - Application
• Economic Moat: Narrow

Atlassian soared 130.48% in the third quarter, leaving the stock up 12.27% for the past year. The company’s stock has a Morningstar Rating of 3 stars and trades at a 19% discount to its fair value estimate of $220 per share.

Strategy MSTR

• Sector: Technology
• Industry: Software - Application
• Economic Moat: Not Rated

Strategy climbed 76.11% in the third quarter, but over the past year, shares were down 52.49%. Strategy has a quantitative Morningstar Rating of 3 stars.

Veeva Systems VEEV

• Sector: Healthcare
• Industry: Health Information Services
• Economic Moat: Wide

Veeva surged 60.84% in the third quarter, but was still down 4.18% over the past year. The company’s stock has a Morningstar Rating of 3 stars, trading near its fair value estimate of $287 per share.

Palantir Technologies PLTR

• Sector: Technology
• Industry: Software - Infrastructure
• Economic Moat: Narrow

Palantir climbed 60.32% in the third quarter, leaving shares up 2.54% for the past year. Palantir has a Morningstar Rating of 3 stars, with its stock trading at a 22% premium to its $153 per share fair value estimate.

Workday WDAY

• Sector: Technology
• Industry: Software - Application
• Economic Moat: Narrow

Workday surged 55.58% in the third quarter, but was still down 20.88% over the past year. The company’s stock has a Morningstar Rating of 2 stars, trading at a 22% premium to its fair value estimate of $156 per share.

Metrics for the Worst-Performing Stocks

Fair Isaac FICO

• Sector: Technology
• Industry: Software - Application
• Economic Moat: Wide

Fair Isaac sank 50.41% in the third quarter, leaving the stock down 60.41% for the past year. Shares were 70.35% lower than their last high on Oct. 2, 2025. The stock has a Morningstar Rating of 5 stars and trades at a 48% discount to its fair value estimate of $1,140 per share.

AppLovin APP

• Sector: Communication Services
• Industry: Advertising Agencies
• Economic Moat: Narrow

AppLovin plunged 43.63% in the third quarter, leaving the stock down 59.58% for the past year. Shares were 60.65% below their last high on Dec. 22, 2025. The stock has a Morningstar Rating of 4 stars, trading at a 38% discount to its fair value estimate of $470 per share.

Corning GLW

• Sector: Technology
• Industry: Electronic Components
• Economic Moat: Narrow

Corning dove 39.69% in the third quarter, but shares still grew 89.08% over the past year. The stock was 43.42% below its last high on June 30, 2026. Corning has a Morningstar Rating of 3 stars, trading near its fair value estimate of $155 per share.

KLA KLAC

• Sector: Technology
• Industry: Semiconductor Equipment & Materials
• Economic Moat: Wide

KLA plunged 35.32% in the third quarter, while shares were still up 81.70% for the past year. Shares were 36.58% below their last high on June 30, 2026. The company’s stock has a Morningstar Rating of 3 stars, trading at an 11% premium to its fair value estimate of $175 per share.

AST SpaceMobile ASTS

• Sector: Technology
• Industry: Communication Equipment
• Economic Moat: Not Rated

AST dove 33.76% in the third quarter, but shares still grew 19.93% over the past year. The stock was 56.03% below its last high on May 28, 2026. AST has a quantitative Morningstar Rating of 4 stars.

Companies not formally covered by a Morningstar analyst are statistically matched to analyst-rated companies, allowing our models to calculate a quantitative star rating.