In this article, we will take a look at the best Chinese stocks to buy according to hedge funds.
The Chinese market has long been a combination of compelling opportunities and consistent uncertainty. From a continuously evolving regulatory landscape to shifting market trends, investor sentiment has fluctuated sharply in recent years. Investors are watching where the smart money flows, focusing on companies with strong fundamentals and solid positioning.
As reported by Reuters on April 21, Bridgewater China continues to see resilience in Chinese equities, while remaining tilted bullish on gold. This comes despite a historic drawdown in March reported by its onshore funds. Global investors closely watch the Chinese unit’s market outlook for guidance on macro trends and portfolio allocation, especially with the Iran war reshaping the market landscape.
In a letter sent in April, Bridgewater (China) Investment Management said, “Chinese assets held up better than most global counterparts,” due to its sustained energy reserve investment. The letter further added that Beijing has “ample policy room, tools and capability” to respond if the outlook worsens. With that said, the comparatively strong performance of Chinese assets over the last few months is increasingly catching the attention of fund managers.
Keeping this view in mind, we have compiled a list of the 10 best Chinese stocks to buy according to hedge funds.
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Our Methodology:
For this article, we began by filtering for stocks in the Chinese market having a market capitalization of over $1 billion. Next, we shortlisted stocks with an upside potential of more than 10% and the highest number of hedge fund holdings. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are then ranked by the number of hedge fund holdings, based on Insider Monkey’s database, as of Q4 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10. JinkoSolar Holding Co., Ltd. (NYSE:JKS)
Number of Hedge Fund Holders: 11
On April 29, TheFly reported that UBS trimmed the price target on JinkoSolar Holding Co., Ltd. (NYSE:JKS) to $23 from $25 and reiterated a Neutral rating on the stock. This comes after the earnings report.
When JinkoSolar Holding Co., Ltd. (NYSE:JKS) announced its results for Q1 2026, it delivered earnings of -8.85, which was better than the forecasted -14.38. On the other hand, the company’s revenue came in at $12.25 billion, lower than the anticipated $19.27 billion. What made the results interesting were the company’s improved gross margin and milestone in module deliveries, exceeding 400 gigawatts.
Looking ahead, JinkoSolar Holding Co., Ltd. (NYSE:JKS) projects EPS between $0.98 and $1.69. This points to a potential rise in profits. Similarly, revenue forecasts indicate a focus on recovery and growth amid regulatory changes in key markets. Specialized modules and efficient products are expected to power growth and drive market differentiation for the company.
JinkoSolar Holding Co., Ltd. (NYSE:JKS) is a Guangxin-based company specializing in photovoltaic products. Founded in 2006, the company provides solar modules, silicon wafers, and silicon materials, among others.
9. iQIYI, Inc. (NASDAQ:IQ)
Number of Hedge Fund Holders: 15
On April 22, Morgan Stanley cut the price target on iQIYI, Inc. (NASDAQ:IQ) from $2.10 to $1.50 and reiterated an Equalweight rating on the stock. The firm also lowered its revenue forecasts by 6%, 8%, and 10% for 2026, 2027, and 2028, respectively. Not only that, non-GAAP net profit estimates for the same period dropped 71%, 40%, and 37%. This was mainly due to operating de-leveraging.
According to Morgan Stanley, early signs of rebound in user acquisition, engagement, and the competitive environment will take at least six months to materialize. The firm sees upside to be driven by content enhancements and potential blockbusters, especially mid-form series and AI-generated content, in addition to offline expansion. Apart from these, a favorable regulatory landscape, including faster license feedback, could drive further upside.
What’s interesting is the company’s strategy that leverages AI to broaden supply, which the firm believes differentiates iQIYI, Inc. (NASDAQ:IQ). From production know-how and creator services to IP access and commercialization capabilities, the company enjoys a strong foundation, Morgan Stanley noted.
Jefferies sees the company’s total revenue matching the expectations, with divergent performance observed across segments. The firm trimmed the price target on iQIYI, Inc. (NASDAQ:IQ) to $1.82 from $2.22 and reiterated a Buy rating on April 22.
iQIYI, Inc. (NASDAQ:IQ) is a Beijing-based online entertainment video services provider. Founded in 2009, the company operates an internet video content platform, provides experience services, and offers membership and licensing services, among others.