This article looks at the 10 Best Money Making Stocks to Invest In.
Stocks climbed on Friday, breaking a three-day losing streak for the major indexes. The S&P 500 rose 0.59% to settle at 6,643.70, while the Nasdaq Composite returned 0.44% to close at 22,484.07. However, both indexes closed the week down, sliding 0.31% and 0.65%, respectively.
Friday’s rally was driven by August’s inflation report that came in line with expectations. The personal consumption expenditures price index showed core inflation at 2.9% at an annual rate, while rising 0.2% month-over-month.
David Russell, global head of market strategy at TradeStation, stated the following on the gains:
“Following a three-day pullback in the broader market, this is good enough to pull buyers off the sidelines. Yesterday’s claims and GDP revision undermined the dovish narrative, but today’s PCE calms some of those worries. No news is good news.”
Despite some recent volatility, the market enjoyed encouraging momentum in September, with stocks surging to new highs during the month.
Jeffrey Hirsch, editor of the Stock Trader’s Almanac, expects further upside in the coming month and has ruled out the likelihood of “Octoberphobia”, a term used to describe big market crashes that have taken place in the month in the past.
With that said, let’s now head over to discuss some of the best money making stocks to buy now.
The New York Stock Exchange building. Photo by Дмитрий Трепольский on Pexels
Methodology
For this article, we sifted through screeners to identify stocks with a market cap of over $2 billion (mid-cap or above), whose ROE was greater than 30%, and ROIC of more than 25%, as of the close of business on September 24. From there, we selected the 10 stocks with the highest number of hedge fund investors, based on Insider Monkey’s database of 983 prominent hedge funds as of Q2 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. Adobe Inc. (NASDAQ:ADBE)
Number of Hedge Fund Holders: 104
Adobe Inc. (NASDAQ:ADBE) is among the 10 Best Money Making Stocks to Invest In. The stock has seen a series of price target reductions over the past month from several analysts.
On September 11, Citigroup lowered ADBE’s share price target to $400 from $450, citing risks around the company’s pricing strategy in the medium term. However, the firm maintained its Neutral rating for the stock.
This was followed by Piper Sandler’s adjustment on Adobe Inc. (NASDAQ:ADBE) a day later. The firm cut the stock’s price target to $470 from $500, while maintaining an Overweight rating for its shares. The reduction was driven by lower growth assumptions and a 2029 EV/free cash flow multiple of 22x based on uncertainty around AI.
More recently, on September 24, Morgan Stanley downgraded Adobe Inc. (NASDAQ:ADBE) to Equal-Weight from Overweight and slashed its price target to $450 from $520. Analyst Keith Weiss pointed out a growing gap between the company’s promises about AI and the revenue numbers that were showing up in its Digital Media ARR.
Adobe Inc. (NASDAQ:ADBE)’s share price has slumped 19% year-to-date.
9. AppLovin Corporation (NASDAQ:APP)
Number of Hedge Fund Holders: 109
AppLovin Corporation (NASDAQ:APP) is among the 10 Best Money Making Stocks to Invest In. On September 26, UBS hiked the stock’s price target to $810 from $540, while maintaining a Buy rating for its shares.
Analyst Chris Kuntarich noted that the company was on track to execute key initiatives over the next 12 months, which could help in enhancing the efficacy of Axon 2.0 and drive estimate and valuation expansion.
In a research note to analysts, Kuntarich also highlighted that web-based advertiser checks point toward strong demand for AppLovin Corporation (NASDAQ:APP)’s referral program.
In other related news, Piper Sandler, on the same day, also raised AppLovin Corporation (NASDAQ:APP)’s price target to $740 from $500, and reiterated an Overweight rating for its shares.
