In this article, we will examine the 10 Best High Beta Stocks to Buy Now.
High-beta stocks often find themselves at the center of market rallies and sell-offs, amplifying gains during bullish stretches but carrying added risk when volatility returns. For context, high-beta stocks are equities whose price movements are more sensitive to changes in the broader market, typically exhibiting greater volatility than the benchmark indices. A beta above 1 indicates higher volatility than the market, while a beta below 1 suggests more defensive characteristics.
Following the recent earnings, investors are again weighing how to position for momentum. On August 29, Ed Yardeni, President of Yardeni Research, and Gabriela Santos of JPMorgan Asset Management discussed the U.S. equity market outlook on CNBC. They both noted the resilience in earnings and investor sentiment despite ongoing macro uncertainty.
Yardeni characterized the current environment as a “slow-motion melt-up,” with markets repeatedly making new highs on the back of stronger-than-expected earnings. He argued that the market continues to discount a technology-led productivity boom, supporting better growth, restrained inflation, and rising profitability. While rate cuts remain uncertain, Yardeni sees ample buying power supporting equities, projecting the S&P 500 could reach 6,600 by year-end, 7,700 in 2026, and 10,000 by 2029.
READ ALSO: 12 Overlooked Large-Cap Stocks with Low Multiples and 10 Best Stocks for a 20 Year Long-Term Stock Portfolio.
Santos agreed that markets could continue to move higher in the near term, but pointed out that leadership is shifting. She noted that the AI story is no longer limited to mega-cap tech, with gains also spreading to software, infrastructure, and industrials. She also questioned whether the recent rebound in cyclicals will last, suggesting it may prove temporary.
Overall, the discussion suggested a generally positive but selective outlook for equities, supported by the strength of technology and productivity gains, although risks from global and policy factors remain.
In this context, high-beta stocks, while more volatile, can benefit from resilient earnings and the broadening of growth themes across sectors. For investors positioned for the next stage of the bull market, selecting high-beta names presents a way to capture stronger returns while staying aligned with current market drivers.
With those insights in mind, let’s now explore the 10 best high beta stocks to buy now.
Our Methodology
To identify the 10 best high-beta stocks to buy now, we began by screening U.S.-listed technology companies with a market capitalization above $2 billion. Within this universe, we focused on stocks with a five-year average beta greater than 1.5, signaling higher volatility compared to the broader market. We then refined the list to include only those names with a potential upside of at least 20%. Finally, using Q2 2025 data from Insider Monkey’s database, we selected the stocks most widely held by hedge funds. The final ranking is based on the number of hedge funds with positions in each stock.
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).
Note: All pricing data is as of market close on September 2, 2025.
10 Best High Beta Stocks to Buy Now
10. Kymera Therapeutics Inc. (NASDAQ:KYMR)
Beta: 2.2
Potential Upside: 47.5%
Number of Hedge Fund Holders: 41
Kymera Therapeutics Inc. (NASDAQ:KYMR) is one of the best high-beta stocks to buy now. The company currently commands an optimistic outlook, with management remaining confident in achieving key clinical endpoints and biomarker data.
This confidence was visible on September 3, when the company presented at Citi’s ‘Biopharma Back to School’ Conference and outlined the progress across its targeted protein degradation (TPD) platform. Kymera Therapeutics Inc. (NASDAQ:KYMR) highlighted pipeline updates, with its lead asset, KT-4621, advancing into Phase 2 trials for atopic dermatitis and asthma.
For context, targeted protein degradation (TPD) is a therapeutic approach that uses the body’s own protein disposal system to find and break down harmful proteins that cause disease. Unlike traditional inhibitors, which block activity but leave the protein intact, TPD therapies remove the protein entirely, which makes treatments more effective and longer-lasting.
Early Phase 1b data in atopic dermatitis patients is expected later this year, and two Phase 2b trials, one in dermatitis and one in asthma, are scheduled to begin in late 2025 and 2026, respectively. Management is also preparing Phase III manufacturing for KT-4621, to ensure scalability at a lower cost.
Kymera Therapeutics Inc. (NASDAQ:KYMR) is developing oral TPD drugs that could provide greater accessibility and convenience as compared to injectable options. The company is advancing a broad pipeline and working with partners such as Sanofi to move its programs through clinical trials, though regulatory approvals remain an important factor.
The company is a consensus Buy, with all analysts covering it assigning a Buy or equivalent rating. The latest one to assert a bullish view was Brian Cheng from JP Morgan, who reaffirmed a Buy rating on August 21 with a price target of $64, implying over 55% potential upside.
Kymera Therapeutics Inc. (NASDAQ:KYMR) is a clinical-stage biopharmaceutical company developing protein degradation therapies for immune and inflammatory diseases and cancer.
9. CAVA Group Inc. (NYSE:CAVA)
Beta: 2.6
Potential Upside: 37.3%
Number of Hedge Fund Holders: 41
CAVA Group Inc. (NYSE:CAVA) is one of the best high-beta stocks to buy now. On September 3, TD Cowen analyst Andrew Charles maintained a Buy rating on the stock with an unchanged price target of $90.
CAVA Group Inc.’s (NYSE:CAVA) share price has been under pressure since the start of February. Its stock tanked by nearly 17% on August 13 after announcing its Q2 2025 results, and as a result, the stock is down 42% year-to-date.
Despite the fall, Charles maintains a positive view on CAVA Group Inc. (NYSE:CAVA). He noted that expectations for same-store sales growth in 2025 and 2026 are running slightly below consensus. However, the alignment of 2026 adjusted EBITDA with consensus estimates reinforces the conviction in the company’s ability to sustain profitability. This balance between moderated sales expectations and a solid margin outlook underpins the analyst’s optimistic view.
Investor sentiment also plays a role in the positive stance. A recent poll conducted during TD Cowen’s bull/bear webinar indicated optimism among investors toward CAVA Group Inc.’s (NYSE:CAVA) performance outlook.
With these factors, the analysis suggests that while near-term sales growth expectations may be more tempered, the visibility of profitability and supportive investor sentiment provide a favorable backdrop for the stock.
CAVA Group Inc. (NYSE:CAVA) operates a fast-casual Mediterranean restaurant chain across the United States. As of July 13, 2025, the company operated 398 restaurants in 27 states and Washington, D.C.
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