Grab These 5 Large-Cap Growth Stocks in May to Tap Wall Street Rally – May 7, 2026

U.S. stock markets closed at record highs in April supported by a solid first-quarter 2026 earnings season, continuation of artificial intelligence (AI) trade and expectations for a near-term solution to the Middle East geopolitical conflicts.

The broad market S&P 500 Index and the tech-heavy Nasdaq Composite surged 10.4% and 15.3%, respectively, in April, recording their best monthly performance since 2020. Both indexes posted several closing and intra-day highs last month. The Dow advanced 7.1% last month, marking its strongest monthly performance since November 2024.

At this stage, we have identified five large-cap growth stocks that investors should purchase to strengthen their portfolios in May. Growth investors are primarily focused on stocks with aggressive earnings or revenue growth, which should propel prices higher in the future.

Five such stocks are: Micron Technology Inc. (MU Quick QuoteMU – Free Report) , Ciena Corp. (CIEN Quick QuoteCIEN – Free Report) , Seagate Technology Holdings plc (STX Quick QuoteSTX – Free Report) , Five Below Inc. (FIVE Quick QuoteFIVE – Free Report) and Murphy USA Inc. (MUSA Quick QuoteMUSA – Free Report) . Each of our picks sports a Zacks Rank #1 (Strong Buy) and has a Growth Score of A. You can see the complete list of today’s Zacks #1 Rank stocks here.

The chart below shows the price performance of our five picks in the past month.

Image Source: Zacks Investment Research

Micron Technology Inc.

Micron Technology is benefiting from the rapidly expanding AI-driven memory and storage markets. The positive impacts of inventory improvement across multiple end markets are driving top-line growth. 

MU has become a leader in the AI infrastructure boom due to strong demand for its high-bandwidth memory (HBM) solutions. Record sales in the data center end market and accelerating HBM adoption have been driving MU’s Dynamic Access Random Memory (DRAM) revenues higher.

The growing adoption of AI servers is reshaping the DRAM market as these systems require significantly more memory than traditional servers. This is boosting demand for both high-capacity DIMMs (Dual In-line Memory Module) and low-power server DRAM. 

MU is capitalizing on this trend with its leadership in DRAM technology and a strong product roadmap that includes HBM4, slated for volume production in 2026. MU’s investments in next-generation DRAM and 3D NAND ensure that it remains competitive in delivering the performance needed for modern computing.

Micron Technology has an expected revenue and earnings growth rate of more than 100% each, respectively, for the current year (ending August 2026). The Zacks Consensus Estimate for the current year’s earnings has improved 0.02% over the last 30 days. 

Ciena Corp.

Ciena has been benefiting from accelerating AI-led demand from cloud and service provider customers. Powered by strong cloud and service provider momentum, CIEN has gained 2 points of optical market share year to date and expects further gains in 2026.

CIEN continues to capitalize on WAN connectivity needs across subsea, long-haul, metro networks and DCI. Better pricing, Hyper-Rail innovation and cost optimization are expected to boost gross margins, ahead. For fiscal 2026, adjusted gross margin is projected at 43.5-44.5%. 

With the first half exceeding expectations and supply challenges being managed, CIEN now expects first- and second-half gross margins to be roughly similar. It is managing supply conditions effectively and expanding capacity, but demand is expected to exceed supply for the next several quarters. For the second quarter, CIEN expects revenues of $1.5 billion (+/-$50 million).

Ciena has an expected revenue and earnings growth rate of 27.9% and more than 100%, respectively, for the current year (ending October 2026). The Zacks Consensus Estimate for the current year’s earnings has improved 0.2% in the last seven days.

Seagate Technology Holdings plc

Seagate Technology has been benefiting from AI-led storage demand, a robust technology roadmap anchored in Mozaic and HAMR and disciplined execution focused on converting demand into profitable growth and long-term value creation. Cloud drives most data center revenues, with STX’s Mozaic shipments reaching 75% of top cloud customers, and full qualification expected in the ongoing quarter.

STX highlighted that the company is entering a “new era of structural growth” driven by strong AI-led demand, rising adoption of Mozaic products and disciplined execution focused on expanding margins, cash flow and long-term value.

HDDs remain significantly more cost-effective for bulk storage—especially critical in hyperscale data centers supporting AI infrastructure. Seagate is well-positioned to capture this expanding opportunity through a technology strategy focused on increasing areal density rather than unit volumes, enabling a more capital- and manufacturing-efficient path to scale while improving cost and power efficiency per terabyte. 

This supports STX’s target of mid-20% exabyte growth. Its Mozaic 4+ platform, a second-generation HAMR product, delivers up to 44TB per drive — more than 30% higher capacity than earlier versions — achieved with minimal changes to materials, while integrating advanced laser and photonics technology for precision manufacturing at scale. Following initial shipments in March, Mozaic 4 is expected to dominate HAMR exabyte shipments by the end of 2026.

STX’s strategic business transformation and robust product pipeline position it for long-term success. In the March quarter, data center revenue accounted for 80% of total revenues, at $2.5 billion, representing a 12% sequential increase and 55% year-over-year growth. The uptick is driven by continued strong demand from global cloud customers and sequential improvement across enterprise OEM markets.

Seagate Technology has an expected revenue and earnings growth rate of 30.6% and 83.8%, respectively, for the current year (ending June 2026). The Zacks Consensus Estimate for the current year’s earnings has improved 11.6% in the last seven days.

Five Below Inc.

Five Below is demonstrating clear momentum, underpinned by strong holiday performance and accelerating demand for its trend-right, value-driven assortment. FIVE’s focus on merchandising relevance, customer engagement, and experiential retail is translating into broad-based strength. 

The brand continues to resonate with its core teen and pre-teen customers while expanding appeal to a wider value-conscious customer, reinforcing traffic and basket growth. FIVE’s pivotal shift in marketing spend toward digital and social media channels has successfully accelerated store traffic. 

Five Below has an expected revenue and earnings growth rate of 11.3% and 19.2%, respectively, for the current year (ending January 2027). The Zacks Consensus Estimate for the current year’s earnings has improved 14.6% over the last 60 days.

Murphy USA Inc.

Murphy USA’s high-volume, low-cost business model drives strong profitability in a competitive retail fuel market, with ownership of over 90% of its stations keeping operating expenses low and proximity to Walmart supercenters supporting above-average fuel sales. 

MUSA’s sourcing infrastructure allows access to lower-cost fuel, enabling competitive pricing while maintaining margins. Store-level earnings demonstrate a structural cost advantage, supporting volume and market share growth. 

Leadership in nicotine products, expanding market share in cigarettes and pouches, and promotional programs further strengthen traffic and profits. MUSA’s aggressive store expansion, larger modernized formats, and diversified merchandise offerings drive long-term growth.

Murphy USA has an expected revenue and earnings growth rate of 10.6% and 24.8%, respectively, for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 1.4% over the last seven days.