雅虎香港財經 12 Best WallStreetBets Stocks To Buy Now
In this article, we will take a look at the 12 best WallStreetBets stocks to buy now, according to hedge funds. If you want to explore similar stocks, you can also take a look at 5 Best WallStreetBets Stocks To Buy Now.
Retail investors are showing cautious optimism for the stock market. According to a survey by Finimize, 68% of investors polled are expecting the global stock market to be higher in a year. However, in the face of macro uncertainties, such as inflation and a banking crisis, retail investors are becoming more risk-averse. According to Finimize, over 58% of investors plan to reduce their risk exposure over the next quarter. Moreover, 84% of investors plan to invest in stocks, up from 73% in the preceding quarter.
Analyst Says Retail Investors are "Taking Their Foot Off The Gas"
On March 25 Finimize's Head Analyst, Carl Hazeley, appeared in an interview on Yahoo Finance Live where he talked about current investor sentiment and his outlook for retail investors. Hazeley noted that retail investors and institutional investors are both taking a similar risk-averse approach amid macro uncertainty and a global banking crisis.
Hazeley said that retail investors are currently "taking some risk off the table, and taking their foot off the gas". The analyst noted that roughly 64% of retail investors are currently holding onto cash and are looking to invest it over the next 12 months, as the market situation gets clearer.
Hazeley also talked about meme stocks and noted that retail investors have become more cautious recently and have redirected their focus to stocks of companies with strong fundamentals. Finimize's survey shows that in Q1 2023 5% of investors invested in meme stocks, down from 15% in the previous quarter. Here are some comments from Carl Hazeley:
"But that makes sense in the context of the uncertainty that's out there right now and people have taken their foot off the gas and risk off the table. In that, retail investors are buying fewer single stocks because of them taking risk off the table. They're (retail investors) looking more towards ETFs when they are investing, and they're looking more closely at fundamentals."
Hazeley also pointed out some of the top picks of retail investors currently, one of which is Apple Inc. (NASDAQ:AAPL). Another area of the market that is seeing increased interest from retail investors is big tech, which includes Meta Platforms, Inc. (NASDAQ:META) and Microsoft Corporation (NASDAQ:MSFT). Hazeley noted that big tech is an area of the market where we are seeing cost cutting and an increased focus on profitability, which is attracting retail investors' interest.
Our Methodology
To determine the 12 best WallStreetBets Stocks to buy now, we scoured through posts and comments on subreddit r/wallstreetbets posted throughout March. We identified the 30 most mentioned stocks on WallStreetBets and then sourced the hedge fund sentiment for each of them from Insider Monkey's database of over 900 hedge funds. We narrowed down our selection to 12 stocks that were the most widely held by institutional investors, and ranked them in ascending order of the number of hedge funds that have stakes in them.
Best WallStreetBets Stocks To Buy Now
12. Palantir Technologies Inc. (NYSE:PLTR)
Number of Hedge Fund Holders: 28
Palantir Technologies Inc. (NYSE:PLTR) has returned 32.24% to investors year to date, as of March 31. On February 13, the company reported earnings for the fiscal fourth quarter of 2022. Palantir Technologies Inc. (NYSE:PLTR) generated a revenue of $502.62 million, up 17.50% year over year, and outperformed consensus by $3.65 million. The company reported an EPS of $0.04 and beat EPS estimates by $0.01. Palantir Technologies Inc. (NYSE:PLTR) is one of the best WallStreetBets stocks to buy now, according to hedge funds.
On March 1, DA Davidson started coverage of Palantir Technologies Inc. (NYSE:PLTR) with a Neutral rating and an $8 price target.
At the end of Q4 2022, 28 hedge funds were long Palantir Technologies Inc. (NYSE:PLTR) and disclosed collective stakes of $463 million in the company. Of those, D E Shaw was the largest investor in the company and held a position worth $81 million.
11. Devon Energy Corporation (NYSE:DVN)
Number of Hedge Fund Holders: 55
Devon Energy Corporation (NYSE:DVN) is placed eleventh on our list of the best WallStreetBets stocks to buy now. Redditors on WallStreetBets have been talking about this stock lately. As of March 31, Devon Energy Corporation (NYSE:DVN) is trading at a PE multiple of 5x and is offering a forward dividend yield of 10%.
This March, Mizuho analyst Nitin Kumar updated his price target on Devon Energy Corporation (NYSE:DVN) to $71 from $82 and maintained a Buy rating on the shares.
At the end of the fourth quarter of 2022, 55 hedge funds were bullish on Devon Energy Corporation (NYSE:DVN) and disclosed positions worth $823.5 million in the company. As of December 31, Yacktman Asset Management is the leading stockholder in the company and has disclosed a position worth $172.5 million.
10. Block, Inc. (NYSE:SQ)
Number of Hedge Fund Holders: 70
This March, BofA analyst Jason Kupferberg reiterated a Buy rating on Block, Inc. (NYSE:SQ) and his $96 price target on the shares. The stock has been trending on WallStreetBets and is placed on our list of the best WallStreetBets stocks to buy now. As of March 31, Block, Inc. (NYSE:SQ) has gained 23.07% over the past 6 months.
Block, Inc. (NYSE:SQ) was held by 70 hedge funds at the close of Q4 2022. These funds disclosed collective stakes worth $4.25 billion in the company. As of December 31, ARK Investment Management is the most prominent stockholder in the company and has a position worth $565.7 million.
In addition to Block, Inc. (NYSE:SQ), other stocks that WallStreetBets' investors have been talking about lately include Apple Inc. (NASDAQ:AAPL), Meta Platforms, Inc. (NASDAQ:META), and Microsoft Corporation (NASDAQ:MSFT).
9. Occidental Petroleum Corporation (NYSE:OXY)
Number of Hedge Fund Holders: 71
71 hedge funds disclosed having positions in Occidental Petroleum Corporation (NYSE:OXY) at the end of Q4 2022. The total value of these hedge funds' stakes in the company amounted to $16.6 billion. As of December 31, Berkshire Hathaway is the top shareholder in the company and holds a position worth $12.2 billion.
Redditors of WallStreetBets are talking about Occidental Petroleum Corporation (NYSE:OXY). As of March 31, the stock has gained 8.03% over the past 12 months and is offering a forward dividend yield of 1.15%.
On March 31, Raymond James analyst John Freeman updated his price target on Occidental Petroleum Corporation (NYSE:OXY) to $75 from $80 and marinated a Strong Buy rating on the shares.
Here is what Smead Capital Management had to say about Occidental Petroleum Corporation in its Q3 2022 investor letter:
“Our top-performing stocks in the quarter includes Occidental Petroleum (NYSE:OXY). Oil and gas have been the best game in the stock market town this year and it was a pleasant surprise to see home builders pick up even with dour news on interest rates and the economy. For the first three quarters of the year, we should change the name of our fund to the Jed Clampett Fund. Occidental Petroleum (NYSE:OXY), was one of the standouts. Up through the bear market came a “bubblin’ crude!”
8. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 91
Tesla, Inc. (NASDAQ:TSLA) is one of the best WallStreetBets stocks to buy now. The stock has returned 91.91% to investors year to date, as of March 31. This March, Morgan Stanley maintained an Overweight rating and its $220 price target on Tesla, Inc. (NASDAQ:TSLA).
At the end of Q4 2022, 91 hedge funds were long Tesla, Inc. (NASDAQ:TSLA) and held positions worth $5.93 billion in the company. Of those, Citadel Investment Group was the largest shareholder in the company and held a position worth $926.2 million.
Some of the most trending stocks on WallStreetBets right now that are also popular among elite hedge funds include Tesla, Inc. (NASDAQ:TSLA), Apple Inc. (NASDAQ:AAPL), Meta Platforms, Inc. (NASDAQ:META), and Microsoft Corporation (NASDAQ:MSFT).
7. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 97
At the close of Q4 2022, Advanced Micro Devices, Inc. (NASDAQ:AMD) was spotted on 97 hedge funds' portfolios. These funds held positions worth $5.70 billion in the company. As of December 31, Citadel Investment Group is the leading shareholder in Advanced Micro Devices, Inc. (NASDAQ:AMD) and has a stake worth $424.7 million.
On March 30, Wells Fargo analyst Aaron Rakers raised his price target on Advanced Micro Devices, Inc. (NASDAQ:AMD) to $120 from $85 and reiterated an Overweight rating on the shares.
As of March 31, Advanced Micro Devices, Inc. (NASDAQ:AMD) has gained 48.25% over the past 6 months. The stock is trading on WallStreetBets and is one of the best WallStreetBets stocks to buy now.
Here is what L1 Capital International had to say about Advanced Micro Devices, Inc. (NASDAQ:AMD) in its third-quarter 2022 investor letter:
“The share price of Advanced Micro Devices, Inc. (NASDAQ:AMD) was weak during the quarter and weakened further in early October when the pre-announced revenue was significantly below prior guidance, reflecting an acute slowdown in the PC market. Data centre related revenue grew strongly, albeit below our expectations, while gaming and embedded revenue was in line with our base case.
Geopolitical risks have increased for the semiconductor sector, with the U.S. Government announcing restrictions on the sale of certain technologies to China. Despite near term headwinds, AMD is well positioned for the medium term, with a technology lead over Intel in servers for data centres and rapidly gaining share in the PC/notebook sectors. Its gaming and embedded applications continue to grow strongly. AMD is a very capital light business, with manufacturing outsourced. After expending nearly $5b on research and development, AMD generates around $5b of free cashflow. With a net cash balance sheet, we expect management will accelerate buyback activity at a share price well below fair value.
The share price of our more cyclical businesses, in particularly the building products companies which have exposure to the U.S. residential, repair and renovation and infrastructure sectors, were broadly flat for the quarter. Rapidly escalating mortgage rates and rapidly reducing affordability will have a pronounced negative effect on near term new residential construction activity. We believe these cyclical pressures are well understood and are more than reflected in current share prices. Overall, we strongly believe share prices are overly reflecting near-term challenges and our portfolio of companies are now meaningfully undervalued.”
6. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 106
At the end of Q4 2022, 106 hedge funds were long NVIDIA Corporation (NASDAQ:NVDA) and disclosed stakes worth $6.08 billion in the company. Of those, Matrix Capital Management was the largest investor in the company and disclosed a position worth $741 million.
NVIDIA Corporation (NASDAQ:NVDA) is attracting retail investors' interest. The stock has gained 122% over the past 6 months, as of March 31. NVIDIA Corporation (NASDAQ:NVDA) is placed sixth on our list of the best WallStreetBets stocks to buy now.
On March 30, Tigress Financial raised its price target on NVIDIA Corporation (NASDAQ:NVDA) to $320 from $250 and maintained a Buy rating on the shares.
Here is what ClearBridge Investments had to say about NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2022 investor letter:
“Promoting diversification and managing risk continue to guide our transaction activity, with a focus on the earnings trajectory of existing and potential holdings leading to our most recent moves. We are directing our research efforts to identifying names that are closer to the bottom than the top in terms of earnings and valuations, adding to our positions in ASML, the leading supplier of high-end production equipment to chip makers, and NVIDIA Corporation (NASDAQ:NVDA), whose valuation has washed out due to weakness in gaming and crypto mining as well as slowing enterprise spending.”
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Disclosure: None. 12 Best WallStreetBets Stocks To Buy Now is originally published on Insider Monkey.
