10 Best NASDAQ Stocks to Buy According to Billionaires

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Funds: 317

Number of Billionaire Investors: 39

Value of Billionaire Holdings: $53,356,256,512

Microsoft Corporation (NASDAQ:MSFT) is an international technology company that develops and sells a range of software, services, devices, and solutions. The company’s operations are segregated into three main segments including Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The company is known for its productivity tools such as Microsoft 365 and LinkedIn.

On May 2, CMB International Securities analyst Saiyi He maintained a Buy rating on the stock with a price target of $510.3. The analyst noted that the company posted growth in net revenue and profit during the third quarter of fiscal 2025, which surpassed the market estimates. Microsoft Corporation (NASDAQ:MSFT) achieved $70.1 billion in revenue after a solid 13% growth year-over-year. The operating income grew 16% during the same time to reach $25.8 billion. Analyst Saiyi noted that the growth was driven by the company’s Intelligent Cloud and More Personal Computing segments.

Microsoft Corporation (NASDAQ:MSFT) is experiencing robust demand for its AI cloud services which continues to outpace the data center capacity. The analyst highlighted that despite the increased investment in AI infrastructure the company has been able to maintain growing its operating profits reflecting its improved execution and efficiency. Microsoft Corporation (NASDAQ:MSFT) is one of the best NASDAQ stocks to buy according to billionaires.

Polen Focus Growth Strategy stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its first quarter 2024 investor letter:

“The top absolute contributors were Amazon, Netflix, and Microsoft Corporation (NASDAQ:MSFT). Microsoft continues to grow impressively despite its immense size, driven primarily by Azure and related cloud offerings. While we expect generative AI to be a tailwind to growth for Azure and Microsoft’s Office and Power Apps businesses, it is still early days on that journey.”