In this article, we will discuss: 10 Best Stocks to Buy According to Billionaire Richard Chilton.
Richard Chilton, short for Richard Lockwood Chilton Jr., is a hedge fund billionaire worth $1.2 billion according to Celebrity Net Worth. He is the chairman, founder, chief investment officer and chief executive officer of the Chilton Investment Company. The hedge fund describes itself as a firm that seeks to invest through ownership instead of rent by acquiring small stakes in great businesses.
Looking at the fund’s filings, for the first quarter of 2026, Insider Monkey’s data shows that Chilton Investment had disclosed $4.2 billion in holdings. This marked an uptick over the year ago quarter’s $4 billion. However, it marked a dip over Q4 2025’s $4.8 billion. Delving deeper, the firm significantly reduced its position in several notable stocks in the fourth quarter. These include Netflix, Qualcomm, Bank of America and Caterpillar. Some notable increases include Google, Pfizer and Adobe.
As for the fund’s top holdings, read on below to find out the ten top stocks in the fund’s holdings.
Richard Chilton of Chilton Investment Company
Our Methodology
For this article, we scanned Chilton Investment’s Q1 portfolio and picked its top holdings. The sector P/E data was sourced from FactSet, while the company data came courtesy of Yahoo Finance.
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 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
10. International Business Machines Corporation (NYSE:IBM)
Chilton Investments’ Stake: $114 million
Technology giant International Business Machines Corporation (NYSE:IBM) made a key announcement recently when it announced its 0.7-nanometer chip manufacturing technology. This technology is the most advanced chip manufacturing technology in the world. International Business Machines Corporation claims that it carries the potential to significantly grow AI GPU performance. In 0.7-nanometer, the firm bonds wafers to stack transistors on top of each other.
JPMorgan discussed International Business Machines Corporation’s shares on June 23rd. It raised the share price target to $291 from $270 and bumped the rating to Overweight to Neutral. The financial firm discussed the technology company’s software business and outlined that International Business Machines Corporation could see its software business grow in the future. On the same day, Morgan Stanley raised the share price target to $267 from $225 and kept an Equal Weight rating on the stock. The bank remarked that International Business Machines Corporation could benefit from hardware refresh cycles and growth in compute hardware requirements.
9. Cintas Corporation (NASDAQ:CTAS)
Chilton Investments’ Stake: $130 million
Cintas Corporation (NASDAQ:CTAS) is a business services firm that provides uniforms, fire protection products, first aid products, and other associated items and services. Its shares are down by 23% over the past year and by 8.5% year-to-date. Citi discussed Cintas Corporation’s shares on March 31st. It cut the share price target to $160 from $181 and kept a Sell rating on the shares. As part of its coverage, Citi pointed towards economic cycles and weaker employment in the US and their impact on the firm’s business. Earlier in the month, UBS had lowered Cintas Corporation’s share price target to $228 from $235 and kept a Buy rating on the shares. Discussing the firm’s earnings, the bank remarked that it had met EPS expectations and delivered earnings growth.
Cintas Corporation currently trades at a forward P/E multiple of 31.35, which is significantly higher than the market’s 21.
Aoris Investment Management discussed Cintas Corporation in its Q1 2026 investor letter:
“Cintas Corporation (NASDAQ:CTAS) is America’s largest provider of uniform rental services. For around $1.50 per worker per day Cintas will collect, clean and replace uniforms for organisations in industries such as lodging, entertainment, manufacturing and health care, allowing them to reduce cost and complexity and to focus on their core businesses. Cintas will often provide additional facility services in the same delivery, such as entrance mats, aprons, restroom supplies, and fire safety inspection. It keeps its customers on average for more than 20 years and has grown earnings at an impressive rate over time.
We had previously owned Cintas in the portfolio for six years until July 2024, when we sold it for valuation reasons. We repurchased this high-quality business on a significantly lower earnings multiple than it traded on when we sold it.”
8. Amazon.com, Inc. (NASDAQ:AMZN)
Chilton Investments’ Stake: $156 million
eCommerce giant Amazon.com, Inc. (NASDAQ:AMZN)’s shares are up by a modest 4.5% over the past year and are flat year-to-date. As reported by Investing.com, Bank of America discussed the shares on June 18th. It kept a Buy rating and a $310 share price target. BofA discussed Amazon.com, Inc.’s Prime Day event as part of its coverage and commented that it expected Gross Merchandise Value to grow by 4.5% annually and sit at $11.6 billion. The bank added that third-party GMV should grow by 5% to $11 billion.
As Prime Day unfolded, Bloomberg was out with some fresh stats. The publication reported that first-day spending at all retailers was $8.3 billion, which exceeded Adobe Analytics’ estimates of $7.9 billion and set a new record. Amazon.com, Inc. is currently trading at a forward P/E multiple of 31.15, which is higher than the S&P 500’s 21.
Amazon.com, Inc.’s cloud computing business is also focusing on custom AI chips to lessen dependence on NVIDIA’s products. CNBC’s Jim Cramer discussed the strategy in a recent appearance:
“Google and Amazon announce once again that they have competitive chips to Nvidia and they are going to sell them to others…. How many times have they done that? Benchmarks? Clients?”
7. Amphenol Corporation (NYSE:APH)
Chilton Investments’ Stake: $172 million
Amphenol Corporation (NYSE:APH) is one of the largest electronics components companies in the world. Its shares are up by 70% over the past year and by 18.2% year-to-date. Evercore ISI discussed the firm on June 11th, as it reiterated the stock as a top AI infrastructure pick. According to the firm, Amphenol Corporation holds a strong position in key markets such as those for cables, connectors, power products, and high-speed interconnects. Barclays discussed the firm on June 8th, as it raised the share price target to $198 from $180 and kept an Overweight rating on the stock. As was the case with Evercore, Barclays also expressed optimism in Amphenol Corporation’s ability to cater to the needs of the AI industry.
The stock is currently trading at a forward price-to-earnings ratio of 33.22, which is higher than the S&P 500’s 21. Amphenol Corporation’s first-quarter earnings report saw it grow revenue by 58% annually to $7.6 billion.
Baron Durable Advantage Fund discussed Amphenol Corporation in its Q1 2026 investor letter:
“We took advantage of price volatility to add to our position in Amphenol Corporation (NYSE:APH), a leading provider of high-technology interconnect, sensor, and antenna solutions to a broad range of of end markets. Amphenol is benefiting from the AI data center buildout as the leading supplier of high-speed copper interconnects. Its IT datacom segment has been growing rapidly (now around $10 billion revenue run rate), and the recent $10.5 billion CommScope CCS acquisition (closed January 2026) adds fiber optic capabilities, making Amphenol a total solution provider for data center connectivity.”
6. The Home Depot, Inc. (NYSE:HD)
Chilton Investments’ Stake: $179 million
Home improvement retailer The Home Depot, Inc. (NYSE:HD)’s shares are down by 5% over the past year and are flat year-to-date. Wolfe Research discussed the firm on June 23rd as it cut the rating to Peer Perform from Outperform. Mortgage rates factored into the financial firm’s discussion as it remarked that investors were evaluating the impact of the lock-in effect on The Home Depot, Inc.’s shares. In May, UBS had lowered the firm’s share price target to $430 from $450 and kept a Buy rating on the stock on the 20th. On the same day, Mizuho reduced the price target to $385 from $415 and kept an Outperform rating. The bank remarked that it expected The Home Depot, Inc. to deliver strong performance over the long term.
As part of its earnings conference call, The Home Depot, Inc.’s CEO Ted Decker remarked that the firm’s underlying demand remained similar to levels seen in its fiscal year 2025 despite pressures on consumer certainty and housing affordability.
Carillon Eagle Growth & Income Fund discussed The Home Depot, Inc. in its fourth quarter 2025 investor letter:
“The Home Depot, Inc. (NYSE:HD) traded lower after reporting weaker‑than expected same‑store sales for the prior quarter. While weather‑related events boosted results in the prior quarter, the additional demand management anticipated failed to materialize. On a positive note, recent acquisitions continue to perform well and appear likely to be a tailwind as the business environment improves.”
5. Mastercard Incorporated (NYSE:MA)
Chilton Investments’ Stake: $202 million
Payment platform Mastercard Incorporated (NYSE:MA)’s shares are down by 8.8% over the past year and 11.7% year-to-date. In today’s AI-driven market, the firm made a key announcement on June 10th when it announced its Agent Pay for Machines platform. The platform enables transactions between AI agents and its network. A day earlier, on the 9th, Mastercard Incorporated and peer firm Visa’s longstanding dispute with merchants also made headway after a court granted preliminary approval to a $38 billion settlement.
As part of its fiscal first quarter 2026 earnings, Mastercard Incorporated posted $8.4 billion in net revenues and $4.60 in adjusted earnings per share. The figures beat analyst estimates of $8.26 billion and $4.41. The shares currently trade at a forward P/E ratio of 24.94, which is slightly higher than the S&P’s 21.
L1 Capital International Fund discussed Mastercard Incorporated in its Q1 2026 investor letter:
“Mastercard Incorporated (NYSE:MA) and Visa remain two of the Fund’s largest holdings. Both businesses continue to deliver consistent financial performance, with double-digit earnings growth. Despite this, share prices have drifted over the past 12 months and underperformed the broader market, including a decline of more than 10% during the March quarter. This underperformance reflects concerns that emerging technologies – including agentic commerce, stablecoins and alternative payment rails – may disrupt the traditional payments ecosystem.”
4. Republic Services, Inc. (NYSE:RSG)
Chilton Investments’ Stake: $274 million
Republic Services, Inc. (NYSE:RSG) is one of the largest waste collection companies in America. Its shares are down by 11.5% over the past year and are up by 3% year-to-date. Citi discussed the firm on May 12th as it cut the share price target to $247 from $253 and kept a Buy rating on the shares. Similarly, CIBC also reduced the share price target. It lowered it to $249 from $251 and kept an Outperform rating on the stock. The financial firm discussed Republic Services, Inc.’s first-quarter earnings and remarked that despite macroeconomic struggles, the results were solid. As part of its earnings, the waste collection firm posted $4.11 billion in revenue and $1.70 in earnings per share to beat analyst estimates of $4.10 billion and $1.64.
Republic Services, Inc.’s shares are trading at a forward P/E ratio of 29.67, which is higher than the S&P’s 21. The firm scored a win earlier this month after the Federal Trade Commission allowed it to acquire assets from TD*X Associates. The latter operates facilities to process hazardous waste.
3. The Sherwin-Williams Company (NYSE:SHW)
Chilton Investments’ Stake: $315 million
The Sherwin-Williams Company (NYSE:SHW) is a specialty chemicals company that makes and sells paints, coatings, and other associated products. The shares are flat over the year and up by 4.5% year-to-date. Citi discussed the firm on June 24th as it raised the share price target to $380 from $355 and kept a Buy rating on the shares. Citi had reinstated coverage of The Sherwin-Williams Company on June 3rd and set a $355 price target along with a Buy rating. It had viewed the price back then as an attractive entry opportunity, as it could offer upside in case of a cyclical recovery.
UBS cut the share price target to $330 from $385 and reduced the rating to Neutral from Buy on June 2nd as part of a more balanced risk-reward outlook. The Sherwin-Williams Company’s shares trade at a forward P/E multiple of 28.82, which is higher than the S&P 500’s 21.
Aoris Investment Management discussed The Sherwin-Williams Company in its Q1 2026 investor letter:
“The Sherwin-Williams Company (NYSE:SHW) is a leading provider of paints and coatings, with a particularly strong position with professional painters in the US. A key driver of the paint market is the volume of property sales, as homes are often repainted after they’re purchased. Higher mortgage rates and lower population growth in the US have meant the number of property sales has been weak in recent years, affecting Sherwin-Williams’ paint volumes.
Growth in its industrial coatings business has also been weak due to a sluggish industrial economy. Even though Sherwin-Williams has continued to grow its market share, we have become concerned that its end markets are structurally slower growing. We also had the opportunity to purchase a higher quality business in Cintas at a wider discount to fair value.”
2. Costco Wholesale Corporation (NASDAQ:COST)
Chilton Investments’ Stake: $335 million
Membership warehouse retailer Costco Wholesale Corporation (NASDAQ:COST)’s shares are down by 2.4% over the past year and are up by 12.3% year-to-date. The firm reported its latest sales figure earlier this month and posted $24 billion in net sales for May, which marked a 14.5% annual growth. For the first 39 weeks of the year, Costco Wholesale Corporation posted $221.9 billion in net sales to mark a 10% annual growth. Morgan Stanley discussed the firm on May 29th as it reiterated a Buy rating and a $1,130 share price target. The bank commented on Costco Wholesale Corporation’s strong business as part of its coverage to remark that its supply chain, scale and value proposition could lead to strong performance in today’s tough environment.
Costco Wholesale Corporation’s shares trade at a hefty forward P/E multiple of 41.84, which is significantly higher than the market’s 21.
It is also a favorite stock of CNBC’s Jim Cramer. In a recent appearance on Mad Money, the TV host remarked:
“Okay… I think that you buy some here, it’s at 47 times earnings, and then you hope it goes to 45. Now, I know people say, what do you mean, buy some and then hope it goes lower, but that’s how I work. I want value just like I want value at a store. And I think if you start Costco and you let it come in a little, well, that’s the way to play it. The worst that happens is it flies right out, 974 to 1025, and you have to kick it out. Let’s do it that way so that we don’t get caught up at one level because nobody’s that good.”
1. Microsoft Corporation (NASDAQ:MSFT)
Chilton Investments’ Stake: $352 million
Technology giant Microsoft Corporation (NASDAQ:MSFT)’s shares are among the weakest in the market this year as they are down by 22% year-to-date. The firm scored a win earlier this month when it announced on the 23rd that it had completed its first data center in Mount Pleasant. The data center is designed to support supercomputing and artificial intelligence, and Microsoft Corporation continues to invest in the region until 2028. The firm also made inroads in the global clinical research sector in June after ICON plc selected it as a partner for its enterprise software needs. Through the deal, Microsoft Corporation’s Microsoft 365 and Copilot software will be deployed by the firm.
Stifel discussed the firm on June 23rd as it reiterated a Hold rating and a $415 share price target. The coverage came after Microsoft Corporation partnered with Chevron to support its power procurement needs.
Janus Henderson Global Sustainable Equity Fund discussed Microsoft Corporation in its Q1 2026 investor letter:
“Microsoft Corporation (NASDAQ:MSFT) shares underperformed amid concerns over near-term returns from elevated cloud infrastructure investment and slower growth in the legacy software segment. While we trimmed the position in favor of more attractively valued opportunities, our long-term thesis remains intact. Microsoft benefits from powerful network effects and a deeply embedded ecosystem across productivity, cloud, and developer platforms, reinforcing its competitive moat. Its carbon-neutral Azure cloud platform plays a critical role in enabling businesses to decarbonize energy-intensive computing operations across sectors globally.”
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