Thanks to a strong finish to the month, the S&P/ASX 200 Index (ASX: XJO) recorded a 0.75% gain in May.
While this is positive, it pales in comparison to the gains that a number of ASX 200 shares posted for the period.
Here's why these were the best-performing ASX 200 shares in May:
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Megaport Ltd (ASX: MP1)
The Megaport share price was the best performer on the ASX 200 in May with a stunning 70% gain. Investors were buying the network solutions company's shares after it announced another major contract win for its Latitude.sh business. Megaport has secured three major GPU, CPU, network, and storage contracts across two customers with a combined total contract value (TCV) of approximately US$182.9 million (A$254 million). The company's CEO, Michael Reid, said: "We are at the forefront of an accelerating inflection point across the industry. As use cases shift from AI foundation models to inference and the edge, Megaport is becoming an essential platform for powering the applications of tomorrow with globally distributed, automated infrastructure."
IperionX Ltd (ASX: IPX)
The IperionX share price was on form and raced 42% higher in May. One potential catalyst was the titanium alloys producer announcing the successful commissioning of a cutting-edge six-axis powder metallurgy press at its Titanium Manufacturing Campus. IperoinX's CEO, Anastasios Arima, said: "Commissioning this advanced SACMI press is an important milestone for IperionX. It gives us greater titanium manufacturing capacity and more flexibility to manufacture a wider range of titanium components for customers in defense, aerospace and industrial markets."
Capstone Copper Corp (ASX: CSC)
The Capstone Copper share price wasn't too far behind with a gain of 30% over the month. This was despite there being no news out of the copper miner. However, it is worth noting that analysts at UBS put a buy rating and improved price target of $18.00 (from $15.00) on the ASX 200 share last month. Combined with strong copper prices, this may have given its shares a boost.
Sims Ltd (ASX: SGM)
The Sims share price was a strong performer and rose 30% in May. This may have been driven by the company's appearance at a major investor conference last month. At the event, management spoke positively about its outlook and reaffirmed its guidance for FY 2026. It continues to expect group underlying EBIT of $350 million to $400 million for the 12 months. This will be at least double the underlying EBIT of $174.9 million that it recorded in FY 2025.
