10 Best Stocks to Buy According to Billionaire Steve Cohen

2. Microsoft Corporation (NASDAQ:MSFT)

Point72 Asset Management’s Q4 Stake: $713.79 million

Number of Hedge Fund Holders: 317

Microsoft Corporation (NASDAQ:MSFT) is a major technology firm recognized for its core software products, which include the Windows operating system, the Microsoft 365 suite, and the Edge browser. Its offerings include business software, software development tools, video games, gaming equipment, and cloud services.

Microsoft Corporation (NASDAQ:MSFT) increased revenues by 12% yearly to $69.6 billion for the fiscal second quarter of fiscal 2025, while net income increased by 10% to $24.1 billion. The company’s cloud segment is rapidly playing a key role in driving growth, with revenues from the intelligent cloud sector jumping 21% to $40.9 billion.

On January 30, RBC Capital Markets reiterated its Outperform rating for the MSFT stock, with a $500 price target. The firm recently announced its software industry estimate for 2025, and it chose Microsoft Corporation (NASDAQ:MSFT) for its broad market exposure and ability to profit from generative AI.