In this article, we will look at the 10 Best Growth Stocks to Buy According to Billionaires.
Can the Stock Market Have a Big Rebound?
The stock market has been on a rollercoaster ride for the past few weeks as the sentiment has quickly shifted from post-election bullishness to being priced in for a slow-down or a recession. The volatility can be estimated by the 19% decrease in the S&P 500 from its recent all-time high. To talk about the current market volatility and the way forward, Fundstrat’s Tom Lee joined CNBC for an interview. He noted that the market is currently pessimistic as recent data shows that they have priced in a 60% probability of a recession, however, it is essential to note that if the tariff situation de-escalates then the probability of a recession isn’t that high. As a result, Lee thinks that there is a big window of opportunity for stocks to rebound, however, this rebound is contingent on the path of tariff de-escalation.
While addressing the concerns that if the market is in a bear market, Lee noted that if we define a bear market by stocks grinding and losing money, then this has been happening since December 2024. However, if you define a bear market as unleashing a type of financial tightening that leads to a recession, the current market does not fit that criteria. Lee acknowledged that it does feel like a bear market for an average person.
Lee also talked about the viable investor strategy under the current circumstances. Firstly, he highlighted that people are fighting two brains at the moment, one is a tactical brain, where people want to know if this is the bottom and be convinced by seeing the stocks rally on bad news. On the other hand, there is the investor or the long-term brain, which suggests that people should have confidence in the US companies to navigate this volatility. Lee noted that he is a buyer of this volatility as he thinks that the de-escalation of tariffs will take place, which will result in a big rebound for stocks.
With that let’s take a look at the 10 best growth stocks to buy according to billionaires.
A financial planner analysis their portfolio and making decisions on stocks and assets.
Our Methodology
To compile a list of the 10 best growth stocks to buy according to billionaires, we used the Finviz stock screener, Seeking Alpha, and Insider Monkey’s Billionaire database. Using the screener we aggregated a list of growth stocks that have grown their top-line by more than 30% over the past 3 years and sorted them by market cap. Next, we cross-checked each stock’s sales growth from Seeking Alpha and ranked the stocks in ascending order of the number of billionaire investors. Please note that we have also included the hedge funds sentiment around each stock, as of Q4 2024.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Best Growth Stocks to Buy According to Billionaires
10. Ascendis Pharma A/S (NASDAQ:ASND)
3-Years Sales Growth: 260.25%
Number of Hedge Fund Holders: 45
Number of Billionaires: 7
Value of Billionaire Holdings: $287,209,394
Ascendis Pharma A/S (NASDAQ:ASND) is a Danish biopharmaceutical company. It specializes in developing treatments for various medical conditions including growth hormone deficiency, endocrinology-related disorders, central nervous system disorders, and more.
On April 11, Tazeen Ahmad, who is an analyst at Bank of America Securities, maintained a Buy rating on the stock while keeping the price target constant at $192. The analyst’s rating is based on the promising demand for the company’s Yorvipath. A recent survey conducted by endocrinologists revealed a strong uptake for uncontrolled HPT patients since the launch of the drug. Tazeen believes this represents a positive reception of Ascendis Pharma A/S (NASDAQ:ASND) products in health care.
During the fiscal fourth quarter of 2024, Ascendis Pharma A/S (NASDAQ:ASND) reported Yorvipath had 908 prescriptions as of February 7, representing a strong early launch. Moreover, the full-year revenue for the drug reached €28.7 million. Management expects the commercial launch of this product in 5 additional European markets during the year. It is one of the best growth stocks to buy according to billionaires.
9. Cloudflare, Inc. (NYSE:NET)
3-Years Sales Growth: 36.50%
Number of Hedge Fund Holders: 55
Number of Billionaires: 8
Value of Billionaire Holdings: $377,786,139
Cloudflare, Inc. (NYSE:NET) is an international cloud services company that focuses on connectivity, security, and performance of internet-based applications. It operates through several key segments including Security Solutions, Performance Enhancement, Reliability, Zero Trust Infrastructure, and more.
On April 9, Shaul Eyal from TD Cowen reiterated a Buy rating on the stock with a price target of $150. The analyst has based his rating on various factors that are expected to enhance the company’s performance and market position. Eyal noted that Cloudflare, Inc. (NYSE:NET) is expected to deliver Q1 2025 results in alignment with the market expectations, which is revenue around $470 million and non-GAAP EPS of $0.16. Moreover, he also highlighted that the company’s cyber security offerings continue to attract demand thereby acting as a significant growth factor.
In addition to the analyst rating, Baron Fifth Avenue Growth Fund added Cloudflare, Inc. (NYSE:NET) to its portfolio, as mentioned in its Q4 2024 investor letter. The fund noted that the company continues to report solid results such as a 28% year-over-year revenue growth in its fiscal fourth quarter of 2024. More notably, the company also improved its non-GAAP operating margins by 210 bps to reach 14.8% during the same time. The fund also highlighted that the customer addition remains strong which is anticipated to attract significant growth for the company. It is one of the best growth stocks to buy according to billionaires.
Baron Fifth Avenue Growth Fund stated the following regarding Cloudflare, Inc. (NYSE:NET) in its Q4 2024 investor letter:
“We took advantage of recent inflows to add to several of our existing holdings, in which our relative conviction level and attractive valuations warranted an increase in position sizes. Our largest addition was Cloudflare, Inc. (NYSE:NET), which offers enhanced security and performance for websites, apps, and software as a service. The company continues reporting solid quarterly results with 28% year-on-year revenue growth and 14.8% non-GAAP operating margins, which increased 210bps year-on-year. A double-digit year-on-year increase in sales productivity has started to benefit EMEA and APAC growth rates. Customer additions were also robust and remaining performance obligations were well ahead of expectations, up 39%. In addition, the company announced the hiring of CJ Desai as President of Product & Engineering, a well-regarded executive that helped build ServiceNow into one of the best software businesses of all time – and a large position in the portfolio. Our relative conviction in Cloudflare warranted adding to our position, given the company’s visionary management team, and stacking S curves or markets that it can address with its platform as it helps companies modernize their networking infrastructure.”
8. argenx SE (NASDAQ:ARGX)
3-Years Sales Growth: 62.05%
Number of Hedge Fund Holders: 47
Number of Billionaires: 9
Value of Billionaire Holdings: $810,790,522
argenx SE (NASDAQ:ARGX) is another best growth stock to buy according to billionaires. It operates as a biopharmaceutical company engaged in developing antibody therapy to treat and serve autoimmune diseases and certain cancers. The company sets itself apart from its competitors by the use of its proprietary Simple Antibody discovery platform, which leverages unique characteristics of the llama immune system to create differentiated therapeutic antibodies.
On April 11, Akash Tewari, an analyst from Jefferies, maintained the Buy rating on the stock with a price target of $772. The analyst based his rating on recent developments for argenx SE (NASDAQ:ARGX) including the FDA’s approval of Vyvgart Hytrulo’s pre-filled syringe for at-home self-injection is a significant milestone. This is particularly unique as it allows patients a more convenient treatment without the need to go to a hospital. This is anticipated to increase the market reach for the drug. Moreover, management anticipates that the increase in price and the expected growth of gross to net will be balanced by the volume growth. argenx SE (NASDAQ:ARGX) also plans to launch an auto-injector which will further strengthen its position in the gMG and CIDP markets.
Artisan Small Cap Fund stated the following regarding Argenx SE (NASDAQ:ARGX) in its Q4 2024 investor letter:
“We ended our investment campaigns in Argenx SE (NASDAQ:ARGX), Tyler Technologies and Interparfums. Shares of Argenx have continued their year-to-date ascent due to multiple positive developments, including FDA approval to promote VYVGART® for chronic inflammatory demyelinating polyradiculoneuropathy (CIDP) and strong sales execution of VYVGART®’s first approved indication in myasthenia gravis. While we continue to have high conviction, the company has outgrown our small-cap mandate, and we exited our position after a successful multiyear investment campaign.”
7. Alnylam Pharmaceuticals, Inc. (NASDAQ:ALNY)
3-Years Sales Growth: 38.61%
Number of Hedge Fund Holders: 49
Number of Billionaires: 9
Value of Billionaire Holdings: $416,804,245
Alnylam Pharmaceuticals, Inc. (NASDAQ:ALNY) is another biopharmaceutical company that ranks as one of the best growth stocks to buy according to billionaires. It is a commercial-stage company that focuses on the development of commercialized therapies based on RNA interference. The company has developed several FDA-approved therapies including Amvuttra, Onpattro, Givlaari, and more.
On April 9, Joseph Stringer from Needham maintained a Buy rating on the stock, with a price target of $320. The analyst likes the strategic market position of the company, which has been boosted by the recent approval of Amvuttra to treat ATTR-CM. Alnylam Pharmaceuticals, Inc. (NASDAQ:ALNY) had a successful 2024, with net product revenue exceeding $1.6 billion and an operating income of $95 million. Management noted that it remains a leader in TTR and that Vutrisiran has the potential to become standard care for ATTR cardiomyopathy. The TTR franchise reported a revenue growth of 35% during the fiscal fourth quarter of 2024.
6. Zscaler, Inc. (NASDAQ:ZS)
3-Years Sales Growth: 41.24%
Number of Hedge Fund Holders: 52
Number of Billionaires: 11
Value of Billionaire Holdings: $930,319,563
Zscaler, Inc. (NASDAQ:ZS) is an international cloud security company that operates by providing Security-as-a-Service solutions. It operates a SaaS model that enables secure access to applications based on the identity, context, and policies of the company. Its key offerings include Zero Trust Security, Cloud Security Platform, Workload Protection, Internet Access, and more.
On April 9, Bernstein analyst Peter Weed maintained a Buy rating on the stock with a price target of $244. During the fiscal second quarter of 2025, Zscaler, Inc. (NASDAQ:ZS) reported strong financial results driven by its demand for Zero Trust Security Solutions. The company achieved a 24% year-over-year revenue growth to reach $648 million, surpassing analyst expectations. More notably, the annual recurring revenue grew 23% during the same time driven by an increase in the number of customers with $1 million ARR.
Looking ahead, Zscaler, Inc. (NASDAQ:ZS) looks to achieve $3 billion in ARR by the end of fiscal 2025 and also triple its Zero Trust Security count in the next 18 months. It is one of the best growth stocks to buy according to billionaires.
5. CrowdStrike Holdings, Inc. (NASDAQ:CRWD)
3-Years Sales Growth: 39.65%
Number of Hedge Fund Holders: 77
Number of Billionaires: 15
Value of Billionaire Holdings: $628,831,025
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is an international cyber security company that provides solutions to protect endpoints, cloud workloads, and data. One of its flagship products includes the Falcon platform which uses advanced artificial intelligence technologies to stop breaches.
On March 25, J.P. Morgan analyst Brian Essex maintained a bullish stance on the stock. The analyst highlighted that he is optimistic about the company’s ability to generate annualized recurring revenue. The ARR is expected to accelerate as the company completes its cost-cutting measures, which were cheaper than expected. Moreover, Essex also noted that the Falcon platform is proving to be a key driver of growth as the company signs large deals with increased customer commitments.
During the fiscal fourth quarter of 2024, CrowdStrike Holdings, Inc. (NASDAQ:CRWD) reported growing its ARR by 23% year-over-year to reach $4.24 billion, notably around $224 million was added to this number in the fourth quarter alone. The growth was driven by an increased adoption rate for its modules. CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the best growth stocks to buy according to billionaires.
TimesSquare Capital Management U.S. Focus Growth Strategy stated the following regarding CrowdStrike Holdings, Inc. (NASDAQ:CRWD) in its Q4 2024 investor letter:
“Among the wide variety of Information Technology companies, we prefer critical system providers, specialized component designers, systems that improve productivity or efficiency for their clients, and others that are growing their shares of corporate IT budgets. CrowdStrike Holdings, Inc. (NASDAQ:CRWD) provides cybersecurity solutions. Its unified platform offers cloud-delivered protection of endpoints, cloud workloads, identity, and data. The company delivered solid fiscal third quarter results that exceeded the high end of guidance and boosted its share price by 22%. Notably, there was resilient gross revenue retention that highlights CrowdStrike’s best in class product offering. New business win rates remained consistent and trending upwards. Following its mid-July outage, many customers have upgraded to the Falcon Flex program, which enables them to adopt a broader product offering.”
4. Datadog, Inc. (NASDAQ:DDOG)
3-Years Sales Growth: 37.67%
Number of Hedge Fund Holders: 83
Number of Billionaires: 17
Value of Billionaire Holdings: $765,542,290
Datadog, Inc. (NASDAQ:DDOG) is an international provider of security and observability solutions. Its key offerings include Infrastructure Monitoring, Application Performance Monitoring, Log Management, Cloud Security, and more. Its services allow enterprises to improve their performance and optimize costs for their technologies.
On April 7, Jefferies analyst Brent Thill maintained a Buy rating on the stock with a price target of $135. During the fiscal fourth quarter of 2024, Datadog, Inc. (NASDAQ:DDOG) reported growing its revenue by 25% year-over-year to reach $738 million. The growth was driven by an increase in large customers with more than 462, $1 million ARR customers. In addition, Parnassus Growth Equity Fund mentioned adding Datadog, Inc. (NASDAQ:DDOG) in its Q4 2024 investor letter. The fund stated that the company is a dominant cloud monitoring platform with best-in-class products and a sticky product suite. The fund believes that the market has misinterpreted the cyclical headwinds such as a drop in IT spending, whereas the company has been benefiting from growth in its Cloud infrastructure monitoring platforms. It is one of the best growth stocks to buy according to billionaires.
Parnassus Growth Equity Fund stated the following regarding Datadog, Inc. (NASDAQ:DDOG) in its Q4 2024 investor letter:
“We also added several new positions, including two in Information Technology: Atlassian, a maker of innovative software that allows IT developers and other employees to seamlessly collaborate on complex projects, and Datadog, Inc. (NASDAQ:DDOG), a dominant cloud monitoring platform.
Datadog, a dominant cloud monitoring platform, should have outsized growth due to its category leadership, sticky product suite, best-in-class product innovation and highly regarded management team. We believe the market has misinterpreted cyclical headwinds, such as reductions in IT spending, as secular trends, and we see Datadog benefiting from growth in Cloud Infrastructure-as-a-Service.”
3. Snowflake Inc. (NYSE:SNOW)
3-Years Sales Growth: 43.81%
Number of Hedge Fund Holders: 85
Number of Billionaires: 18
Value of Billionaire Holdings: $2,135,572,366
Snowflake Inc. (NYSE:SNOW) is a technology company that focuses on data storage and analytics. One of the key offerings is AI Data Cloud which allows businesses to store, analyze, and share data across organizations. On March 28, William Power, an analyst at Robert W. Baird maintained a Buy rating on the stock with a price target of $200.
The analyst noted that Snowflake Inc.’s (NYSE:SNOW) platforms are known for their ease of use, strong governance, and efficiency. All of these features make it appealing to enterprises. In addition, the company’s developments in AI such as Cortex AI, position it to capitalize on the demand for AI-driven analytics. The company has established successful partnerships with companies like Ochsner Health and other companies which is reflective of its value proposition.
During the fiscal fourth quarter of 2024, Snowflake Inc. (NYSE:SNOW) achieved product revenue of $943.3 million, indicating 28% year-over-year growth. Notable, the company maintained an impressive revenue retention rate of 126%. It is one of the best growth stocks to buy according to billionaires.
Burke Wealth Management stated the following regarding Snowflake Inc. (NYSE:SNOW) in its Q4 2024 investor letter:
“Snowflake Inc. (NYSE:SNOW): Chapter two of the Prodigal Son Returns features Snowflake. Snowflake’s return to the portfolio required some tangible progress on the product innovation front as well as an uptick in business momentum before I was ready to slaughter the proverbial fattened calf. To review, we sold our stake in Snowflake following its fourth quarter 2023 earnings release in which legendary CEO Frank Slootman announced his retirement and 2024 guidance came in significantly below expectations. While new CEO Sridhar Ramaswamy has an excellent reputation as an innovator in the technology sector, we needed to see some tangible signs of progress on that front as well as a stabilization in the core data analytics business before repurchasing the stock. That is what we got with the release of third quarter earnings. Consumption trends in the core business have stabilized and are improving while there are several exciting new product offerings around AI that have been added to the platform. We were early to Snowflake when we made our initial purchase in the summer of 2023. We subscribed to the belief that any companies seeking to implement AI solutions in their business will first need to make sure their data is both accessible and secure, which would drive tremendous demand for Snowflake’s platform. We still do. As we discussed in the agentic age portion of this letter, sometimes the path from installing the data center compute power necessary for generative AI and arrival of the applications necessary to unlock the productivity promises is not always straight. That said, while the path may be winding we remain confident in the ultimate destination. We think Snowflake is going to be a big player in helping enterprises get their data accessible and safely delivering AI solutions to that data, whether it be their own or from trusted partners, that will drive the productivity enhancing business insights that are the reasons for the hundreds of billions of dollars being invested in artificial intelligence.”
2. Uber Technologies, Inc. (NYSE:UBER)
3-Years Sales Growth: 36.07%
Number of Hedge Fund Holders: 166
Number of Billionaires: 22
Value of Billionaire Holdings: $1,715,739,984
Uber Technologies, Inc. (NYSE:UBER) is an international mobility technology company that operates in mobility, freight, and delivery services. It has operations in more than 70 countries around the world. On April 9, Needham analyst Bernie McTernan maintained a Buy rating on the stock.
The analyst based his bullish sentiment on various factors including its competitive advantage of shorter wait times to book rides. McTernan noted the company has a pricing advantage over its customers which is reflecting its market share. While the analyst acknowledged that the weaker Dollar has led to increased estimates for the company, the overall market conditions remain robust.
During the fiscal fourth quarter of 2024, Uber Technologies, Inc. (NYSE:UBER) grew its gross bookings by 18% year-over-year, taking its revenue up by 20% to reach $12 billion. Moreover, Hardman Johnston Global Equity Strategy in its Q4 2024 investor letter noted that the company has a 65% market share across all its categories. The fund sees sustained revenue growth for the company driven by its expansion and product innovation. It is one of the best growth stocks to buy according to billionaires.
Hardman Johnston Global Equity Strategy stated the following regarding Uber Technologies, Inc. (NYSE:UBER) in its Q4 2024 investor letter:
“During the quarter, we initiated three new positions in Lennar Corporation, Bank of America Corp., and Uber Technologies, Inc. (NYSE:UBER). Uber is a leading platform company that facilitates ride-hailing, food delivery, and freight booking services, which each represent large and underpenetrated markets. Uber is active in more than 10,000 cities and approximately 70 countries globally, and Uber is a market leader with more than 65% market share in nearly all ride-sharing regions in which it operates. Uber should continue to benefit from secular tailwinds, product innovation, expansion, and network effects. The cross-selling of the Uber One membership program should drive both loyalty and engagement. International markets represent half the business and continue to be an important growth driver. Overall, we see sustained healthy topline growth for the company over the next three years with some insulation to global economic trends.”
1. NVIDIA Corporation (NASDAQ:NVDA)
3-Years Sales Growth: 69.25%
Number of Hedge Fund Holders: 223
Number of Billionaires: 29
Value of Billionaire Holdings: $33,248,032,387
NVIDIA Corporation (NASDAQ:NVDA) is a high-growth technology company leading the AI revolution through its graphics processing units and system-on-chips units. On April 10, Morgan Stanley analyst Joseph Moore maintained their Buy rating on the stock. The analyst noted that the company is positioned well in the market despite potential challenges. He highlighted that one of the key differentiators for the company is that it generates significant revenue from a single product family which increases its influence in the industry.
Moreover, Guinness Global Innovators highlighted NVIDIA Corporation (NASDAQ:NVDA) as one of its top performers in its Q4 2024 investor letter. The fund highlighted that the company delivered remarkable returns of more than 177.7% during 2024, driven by its GPUs and its application within AI and data center industries. The company holds over 95% market share in advanced AI chips which positions it to capture an estimated $2 trillion AI infrastructure market in the next 5 years. It is the best growth stock to buy according to billionaires.
Guinness Global Innovators stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:
“For a second year running, NVIDIA Corporation (NASDAQ:NVDA) was the Fund’s top performing stock, delivering a stellar return of +177.7% over the year. Since the beginning of last year, Nvidia’s ‘Hopper’ GPUs have been at the centre of exploding demand for chips powerful and efficient enough to facilitate the energy intensive requirements of AI processes within datacentres. Initially possessing over 95% of market share in these types of chips, Nvidia have been quick to entrench their position as the technological leader in the space, launching the successor to the current ‘Hopper’ GPU in March, Blackwell, inhibiting the likes of AMD and Intel making meaningful inroads in taking share of the fast-growing market. Compared to the previous iteration (Hopper) which is continuing to fuel Nvidia’s extreme revenue growth, the Blackwell chip is twice as powerful for training AI models and has 5 times the capability when it comes to “inference” (the speed at which AI models respond to queries). Throughout the year, Nvidia’s financial performance has remained resilient. Quarterly revenues hit $35.1 billion in their most recent quarter, beating consensus expectations by 6% and representing a +94% year-over-year increase. Additionally, Nvidia’s data centre segment, driven by the Hopper (H100) chip, grew fivefold over the past year, underscoring the sustained demand for advanced AI infrastructure. The H100 chip, priced at around $40,000, continues to see significant adoption due to its ability to enhance AI model training efficiency while lowering overall costs. This growth is expected to continue as companies invest in upgrading existing data centres and building new ones, with Nvidia well-positioned to capture a significant share of the estimated $2 trillion market opportunity over the next five years. There have been some concerns over Blackwell production delays causing share price volatility however, Nvidia has recovered swiftly, driven by positive earnings results through the year and assurances from management regarding future supply. Additionally, the release of the H200 chip promises to extend Nvidia’s technological leadership, ensuring continued momentum into 2025. While Nvidia’s valuation remains a topic of debate, the stock is not at a significant premium to history, and it still appears reasonable given its dominant market position, innovative prowess, and exposure to long-term secular growth trends in AI, cloud computing, and data infrastructure. As a result, Nvidia remains well-positioned to deliver sustained outperformance over the long term, making it a cornerstone of growth-oriented portfolios.”
While we acknowledge the potential of NVDA to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure. None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and investors. Please subscribe to our daily free newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
