In this piece, we will take a look at the 10 Best Multibagger Stocks to Buy According to Billionaires.

US Trade tariffs have triggered heightened volatility and amplified the downdraft in the equity markets. Unlike in the previous years, where pullbacks were countered by strong buying power, investors have become increasingly cautious. The S&P 500 dropping by an incredible 6% on April 4 alone in the face of the US enacting large tariffs on global trade partners has only heightened the jitters and uncertainty in the markets.

The recent market turbulence has not spared the world’s ultra-wealthy. Following the tariff announcements, the Bloomberg Billionaires Index saw the largest two-day loss in history, wiping off almost $536 billion in worth for the world’s 500 wealthiest individuals. Similarly, prominent figures on Wall Street, including money managers and bankers, have all started raising alarms about the mounting risks of the US trade war. Legendary investor Bill Gross has also joined the fray, warning that the market rout may continue.

Amid the chaos in the equity markets, opportunities are also increasingly cropping up. The deep pullbacks have lessened the steep valuations that most stocks traded on. In the run-up to major indices rallying to record highs amid the artificial intelligence-driven rally, valuations got out of hand, skyrocketing above historical norms. Investors were subjected to premium valuations, with tech stocks most affected. Given that most stocks have given back a significant chunk of the gains accrued over the years, most are trading at multiples not seen in years. Likewise, billionaires are increasingly buying the dips that are authentic to Warren Buffett’s idea that investors should “be fearful when others are greedy, and greedy when others are fearful.” Some people think that time is at hand.

Following the lead of some of the world’s wealthiest money managers could be a smart move for investors searching for stock ideas. Fortunately, the Securities and Exchange Commission (SEC) has made it simple to see what many of them have been up to lately through mandatory disclosures. Similarly, there are stocks that have delivered significant gains over the past year, even on the overall market turning bearish. The stocks have remained resilient amid uncertainty in US interest rates, recession concerns, and trade war spat to deliver blockbuster gains.

The best multibagger stocks to buy, according to billionaires, are of companies backed by solid core business and underlying fundamentals. The robust growth of the core business in the face of the headwinds has been the primary catalyst in the stocks, delivering gains of over 200% over the past year. While it could be challenging to find reasonably priced stocks after the blockbuster gains, some are still trading below their historical norms, making them ideal value investment plays.

Our Methodology

To compile our list of multibagger stocks, we used Finviz screener to filter the top 2000 companies that have delivered at least 200% stock price return in the last twelve months. Then, we compared the list with our proprietary database of billionaire ownership as of Q4 2024 and included the top 10 names with the highest number of billionaires that own the stock. Finally, we ranked the stocks in ascending order based on the number of billionaires who hold stakes in them.

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 Multibagger Stocks to Buy According to Billionaires

10. Kingsoft Cloud Holdings Limited (NASDAQ:KC)

Number of Hedge Fund Holders: 12

Number of Billionaire Holders: 6

1-Year Gain as of April 22: 301.46%

Kingsoft Cloud Holdings Limited (NASDAQ:KC) is a cloud service provider offering a range of cloud computing solutions. It provides a comprehensive suite of infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS) middleware and industry-specific solutions. It is turning out to be one of the best multibagger stocks to buy, according to billionaires, going by the 300% plus rally over the past year.

The rally has come on China’s leading cloud service provider, delivering solid financial results as it benefits from the artificial intelligence frenzy. For the fourth quarter of fiscal 2024, Kingsoft Cloud Holdings Limited (NASDAQ:KC) posted a 29.6% growth in net revenue to $305.8 million as full-year revenue increased 10.5% to $1.07 billion. The robust revenue growth also came as the company enjoyed strong demand from AI businesses and enterprise cloud projects increased.

In addition, Kingsoft Cloud Holdings Limited (NASDAQ:KC) is benefiting from expanded revenue from Xiaomi and Kingsoft Ecosystem. Additionally, the company recorded its first profit of RMB24.4 million, an improvement from a net loss of RMB187.6 million in the previous year same quarter. The company’s bouncing to profitability comes from public and enterprise cloud businesses increasingly harnessing its AI cloud computing.

9. IonQ, Inc. (NYSE:IONQ)

Number of Hedge Fund Holders: 28

Number of Billionaire Holders: 8

1-Year Gain as of April 22: 221.03%

IonQ, Inc. (NYSE:IONQ) is a computer hardware company that develops and sells trapped-ion quantum computers and related software. It offers access to its quantum computers through various cloud platforms and also provides services like consulting and support. The stock has rallied by about 221% over the past year on quantum computing emerging as one of Wall Street’s hottest topics.

Likewise, analysts at Davidson reiterated a Buy rating on the stock, on April 14, despite cutting the price target to $35 from $50. The price cut comes amid concerns that the current tariff regime will affect corporate investment in IonQ solutions. Nevertheless, the leader of quantum computing inked a strategic $54.5 million contract with the United States Air Force Research Lab last year. The deal underscores how governments, businesses, and academia are increasingly turning to quantum computing to address multibillion-dollar problems in healthcare, finance, and chemistry.

IonQ, Inc. (NYSE:IONQ) sentiments also received a boost on the signing of a new $21.1 million project to work with the United States Air Force Research Lab. The new deal marks an important milestone in the company’s bid to install quantum network infrastructure. The wave of quantum computing deals should continue to bolster IonQ’s revenue base. The company’s revenue has nearly doubled yearly since going public in 2021 as it increasingly addresses customer needs.

8. Rocket Lab USA, Inc. (NASDAQ:RKLB)

Number of Hedge Fund Holders: 37

Number of Billionaire Holders: 8

1-Year Gain as of April 22: 419.50%

Rocket Lab USA, Inc. (NASDAQ:RKLB) is an aerospace and defense company that offers end-to-end space solutions, including launch services, spacecraft design and manufacturing, satellite components, and on-orbit management. The stock has rallied by more than 400% over the past year amid growing demand for its services.

In March, Rocket Lab USA, Inc. (NASDAQ:RKLB) was one of the companies included in Phase 3, Lane 1 of the Nation Security Space Launch program by the US Space Force. The inclusion affirms that the company has the potential and ability to launch the kind of satellites and spacecraft that the government plans to launch over the next five years. Rocket Lab could win $5.6 billion worth of contracts from Space Force following its inclusion.

Early in the year, Kratos selected the company to deliver hypersonic test launches for the Department of Defense. Consequently, it can bid for contracts worth $1.45 billion. The wave of deals is the catalyst behind Wells Fargo reiterating an Equal Weight on the stock with an $18 price target.

7. GDS Holdings Limited (NASDAQ:GDS)

Number of Hedge Fund Holders: 32

Number of Billionaire Holders: 8

1-Year Gain as of April 22: 221.85%

GDS Holdings Limited (NASDAQ:GDS) is a leading developer and operator of high-performance data centers. The company provides facilities for hosting, powering, and cooling computer systems and networking equipment. The stock has rallied by about 221% over the past year amid a string of positive financial results that underscore growing demand for the company’s data center offerings.

Additionally, analysts at Citizens JMP reiterated an Outperform rating on the stock on March 20 and hiked the price target to $40 from $35. The hike came as GDS Holdings Limited’s (NASDAQ:GDS) Q4 2024 results underscored accelerated growth in China. Net revenue in Q4 2024 was up 9.1% year-over-year to $368.6 million; full-year revenue increased 5.5% to $1.41 billion.

GDS Holdings Limited’s (NASDAQ:GDS) net loss in Q4 2024 shrunk to RMB173.4 million from RMB2.47 billion a year ago in the same quarter. Likewise, the full-year net loss shrunk to RMB770.9 million from RMB 3.92 billion in 2023. The robust revenue growth and a significant drop in net loss come as GDS Holdings increasingly capitalizes on the growing demand for inferencing in Tier 1 markets. The company expects 2025 revenue to average between RMB11, 290 million to RMB11, 590 million, representing a growth of between 9.4% to 12.3%.

6. GeneDx Holdings Corp. (NASDAQ:WGS)

Number of Hedge Fund Holders: 32

Number of Billionaire Holders: 9

1-Year Gain as of April 22: 776.23%

GeneDx Holdings Corp. (NASDAQ:WGS) is a diagnostic and research company that provides personalized health insights through exome and genome testing, with a focus on rare and pediatric diseases. The company uses data to inform diagnosis, treatment, and drug discovery. While the stock is up by more than 700% over the past year, its sentiments have received a significant boost amid reports the company plans to acquire Fabric Genomics.

With the acquisition, GeneDx Holdings Corp. (NASDAQ:WGS) gains access to valuable assets in AI-powered genomic interpretation. Therefore, it will be in a position to create a leading platform for rare disease diagnostics while also accelerating genomic newborn screening. The acquisition should expand GeneDX’s reach through on-site sequencing and enhance its NICU testing capabilities.

Fabric Genomics acquisition comes on the heels of GeneDx Holdings Corp. (NASDAQ:WGS) delivering robust Q4 2024 results, with revenues increasing 64% year-over-year to $95.3 million as full-year revenue increased 56% to $302.3 million. Amid the robust revenue growth, the company plans to introduce its testing solutions to a wider population to strengthen its revenue base further. On March 10, Wells Fargo raised the stock’s price target to $105 from $75 and reiterated an Equal weight rating buoyed by the company’s strong 2024 results and solid 2025 guidance.

5. Alignment Healthcare, Inc. (NASDAQ:ALHC)

Number of Hedge Fund Holders: 29

Number of Billionaire Holders: 9

1-Year Gain as of April 22: 249.30%

Alignment Healthcare, Inc. (NASDAQ:ALHC) is a healthcare company that operates a consumer-centric healthcare platform for seniors. Through the platform, it delivers customized healthcare experiences to meet the needs of seniors through its Medicare Advantage plans. While the stock is up by about 249% over the past year, analysts at Baird insist it could edge higher, having upgraded it to an Outperform and hiked the price target to $22.

According to Baird, Alignment Healthcare, Inc. (NASDAQ:ALHC) is experiencing robust growth owing to its focus on domestic Medicare Advantage and Prescription drug plans. The company achieved a 35% year-over-year growth in members to 209,900 as of January 1. It expects robust growth to persist, with forested growth of between 22% and 25% among health plan members before the end of the year.

Alignment Healthcare, Inc.’s (NASDAQ:ALHC) ability to scale profitability while achieving solid growth underscores why it is one of the best multibagger stocks to buy, according to billionaires. The company delivered solid fourth-quarter 2024 results, with revenues increasing 50.7% to $701.2 million. It expects Q1 2025 revenues to be $887.5 million, 4.1% above the analysts’ target. It has also conducted significant leadership changes with the appointment of Dr. Arta Bakshandeh as President of AVA® and Aly Duzich as Chief Experience Officer. The leadership changes are tailored to scaling the company’s AI-enabled Medicare Advantage platform.

4. Verona Pharma plc (NASDAQ:VRNA)

Number of Hedge Fund Holders: 42

Number of Billionaire Holders: 10

1-Year Gain as of April 22: 282.12%

Verona Pharma plc (NASDAQ:VRNA) is a biopharmaceutical company that develops and commercializes innovative therapies for chronic respiratory diseases. It specializes in treatments for conditions like COPD, with its leading product candidate, ensifentrine, being an investigational drug. It is also turning out to be one of the best-performing stocks in the sector, going by the 282% gain over the past year. Likewise, on April 21, Cantor Fitzgerald initiated coverage of the stock with an $80 price target and an Overweight rating.

The stock’s sentiments have received a significant boost following the approval of the flagship drug Ohtuvayre for the treatment of chronic obstructive pulmonary disease by the US Food and Drug Administration. Sales from the drug are projected to top $1 billion by 2029, having surged to $42 million by 2024.

Verona Pharma plc (NASDAQ:VRNA), a development partner for greater China, Nuance Pharma, has already secured approval for the Ohtuvayre launch in Macau. The launch is poised to strengthen the company’s revenue base outside the US. In addition to Ohtuvayre, Verona is also strengthening its pipeline with plans for two phase 2 clinical trials for glycopyrrolate, a long-acting muscarinic antagonist and glycopyrrolate for the maintenance treatment of COPD.

3. ADMA Biologics, Inc. (NASDAQ:ADMA)

Number of Hedge Fund Holders: 37

Number of Billionaire Holders: 12

1-Year Gain as of April 22: 216.77%

ADMA Biologics, Inc. (NASDAQ:ADMA) is a biotechnology company that manufactures and commercializes speciality biologics to prevent and treat infectious diseases. The company also develops and commercializes plasma-derived products, including immune globulin therapies. It is one of the best multibagger stocks to buy, according to billionaires, going by the 216% gain over the past year. Likewise, Cantor Fitzgerald maintains an Overweight rating on the stock with a $25 price target.

Cantor Fitzgerald reiterated the buy stance while echoing the biopharmaceutical company pattern of issuing conservative revenue guidance. Last year, ADMA Biologics, Inc. (NASDAQ:ADMA) projected sales of $320 million only to deliver a 33% increase in sales to $426 million as of the end of the year. The research firm expects the company to deliver significant revenue growth in 2025 owing to expected growth in immunoglobulin therapy, ASCENIV, and the impact of high-titer plasma supply contracts.

Additionally, ADMA Biologics, Inc. (NASDAQ:ADMA) delivered impressive fourth-quarter and full-year 2024 results, underscoring success in the biopharmaceutical market. Revenue in the fourth quarter totalled $117.5 million against $113.4 million expected. On the other hand, full-year revenue increased 65% to $426.5 million as gross profit margins improved to 51.5%.

2. Palantir Technologies Inc. (NASDAQ:PLTR)

Number of Hedge Fund Holders: 63

Number of Billionaire Holders: 12

1-Year Gain as of April 22: 333.00%

Palantir Technologies Inc. (NASDAQ:PLTR) is a software infrastructure company that builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations. Its stock has surged by about 333% over the past year and by 1,214% since 2003, emerging as one of the best multibagger stocks to buy, according to billionaires.

The significant gain comes from Palantir Technologies Inc. (NASDAQ:PLTR) emerging as one of the biggest winners of the artificial intelligence boom. Its artificial intelligence platform is increasingly helping governments and companies integrate AI into their operations to support better decision-making. The company has already secured a $480 billion deal to help build the US Army’s MAVEN System, which Alphabet’s Google abandoned. It has also signed agreements with the Ukrainian and Israeli governments for various projects.

Palantir Technologies Inc.’s (NASDAQ:PLTR) AI-fueled momentum received a boost after NATO announced it would start using its battlefield software. NATO adopting the AI-driven military system is a huge validator as Europe’s defence demand and spending rise. The deal comes on Palantir projecting a sale of $3.76 billion for 2025, beating consensus estimates by $240 million. The growing business prospects and sales growth are why Morgan Stanley maintains an equal weight on the stock. However, the firm cut its price target to $95, wary of the long-term tariff risks.

1. Brinker International Inc. (NYSE:EAT)

Number of Hedge Fund Holders: 51

Number of Billionaire Holders: 14

1-Year Gain as of April 22: 223.93%

Brinker International Inc. (NYSE:EAT) engages in the ownership, development, operation, and franchising of casual dining restaurants. It owns, operates, and franchises restaurants under the brands Chili’s Grill & Bar and Maggiano’s Little Italy. The stock has been on an impressive run over the past year, rallying by 223% as investors react to the company winning the fast food casual war.

However, Barclays has cut its stock price target to $165 from $190, concerned by adverse weather that affected comparable store sales in its fiscal third quarter of 2025. Another headwind that Barclay feels might have affected Brinker International’s results is softening consumer spending habits amid surging inflation. Nevertheless, the firm maintains an Equal weight on the stock.

In its fiscal Q2 2025 ended December, Brinker International Inc. (NYSE:EAT) delivered $1.34 billion in sales, up from $1.06 billion delivered the same quarter a year earlier. The increase was driven by a 19.9% increase in traffic generated by investments in advertising. Additionally, the company continues to benefit from new guests trying Chili’s and return guests coming more frequently. The company remains well-positioned to benefit from operational improvements, including menu simplification and ingredient upgrades expected to lead to full-year revenue of between $5.15 billion – $5.25 billion.

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 insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.