Steve Cohen, the billionaire chief of Point72 Asset Management, has had a long and storied career on Wall Street. At the end of the fourth quarter of 2025, the value of the 13F portfolio of his fund was in excess of $89 billion. Cohen spoke with hedge fund expert Tony Pasquariello at a Goldman Sachs event last year, discussing his success as a trader and hedge fund manager. During the conversation, Cohen discussed the evolution of the hedge fund industry, noting that when he started, it was a “cottage industry.” He emphasized that the current multi-manager model in the hedge fund world was about providing consistent returns and managing risk through a diverse set of specialized investment professionals. Regarding these professionals, Cohen noted that finding and training talent was the hardest part of the business. Per the billionaire, Point72 invested heavily in its Academy to train the next generation of analysts and portfolio managers from the ground up.
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Discussing the present market situation, Cohen underlined that the markets had become more “efficient” but also more volatile. He noted that the speed of information flow required investors to be more disciplined and reactive than in previous decades. He also expressed significant optimism about Artificial Intelligence, describing it as a “transformational” technology that would change how firms analyzed data and executed trades, potentially creating a new era of productivity. Cohen also owns the New York Mets, and in his discussion, he drew parallels between running a hedge fund and a baseball team, noting that both required top-tier talent, data-driven decision-making, and a long-term strategic vision rather than just quick fixes. Cohen emphasized that whether in the $100 trillion global markets or on the baseball diamond, the ultimate key to winning was adaptability and a commitment to “all in” excellence.
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Steven Cohen of Point72 Asset Management
Our Methodology
To compile our list of the best stocks to invest in according to Billionaire Steve Cohen, we reviewed the latest 13F filings of Point72 Asset Management. Next, we focused on the top 10 stocks in his portfolio. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q4 2025 database of 1041 elite hedge funds.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Best Stocks to Invest In According to Billionaire Steve Cohen
10. Coherent Corp. (NYSE:COHR)
Point72 Asset Management’s Stake: $616 Million
Coherent Corp. (NYSE:COHR) has consistently featured in the 13F portfolio of Point72 Asset Management since the second quarter of 2023. Back then, this position comprised more than 300,000 shares. The fund then increased this position steadily, upping it to 4.2 million shares by the second quarter of 2024. It then trimmed the holding for a couple of quarters before buying the stock again. Latest filings, submitted at the end of the fourth quarter of 2025, show that the fund owned more than 3.3 million shares in the company, down close to 14% compared to filings for the third quarter of 2025.
Coherent Corp. has surged to the top of buy lists for hedge funds following the announcement of a multi-year strategic agreement with NVIDIA. Under the deal, the latter is investing $2 billion into Coherent to expand its R&D and US-based manufacturing capacity. Hedge funds are also betting on Coherent’s leadership in silicon photonics and co-packaged optics, which NVIDIA views as essential for the next generation of AI factories. This partnership effectively locks in Coherent as the primary supplier for NVIDIA’s 2027–2028 hardware roadmap. In its Q2 fiscal 2026 results, Coherent proved it could monetize the AI cycle more effectively than peers. Revenue hit $1.7 billion, beating analyst estimates. This was driven by unprecedented demand for optical networking products in the Datacenter Communications segment.
9. Sea Limited (NYSE:SE)
Point72 Asset Management’s Stake: $625 Million
Sea Limited (NYSE:SE) is one of the long-term bets of Steve Cohen. His fund has held a stake in the company since the middle of 2018. Back then, this position comprised 777,000 shares. The fund grew this holding to more than 2.7 million shares by the second quarter of 2019 before selling it off completely by the fourth quarter of 2021. A new position was then opened in the second quarter of 2023. This holding comprised just over 200,000 shares. Cohen started loading up on the stock in the coming quarters, growing this stake to close to 5 million shares by the end of the fourth quarter of 2025, up close to 200% compared to the previous quarter.
Sea Limited is attracting a lot of interest from investors on Wall Street as the company successfully transitions Shopee from a cash-burning startup into a profitable e-commerce powerhouse. In 2025, Shopee officially turned profitable, generating $881 million in adjusted EBITDA. For the full year 2026, management has guided for 25% Gross Merchandise Value growth, with EBITDA expected to remain stable or improve. The digital financial services arm of the firm, SeaMoney, has emerged as a secret profit weapon, which institutional investors are now valuing more aggressively. SeaMoney’s loan portfolio grew 80% year-over-year to $9.2 billion by early 2026. The segment generated $1 billion in adjusted EBITDA in 2025.
8. ASML Holding N.V. (NASDAQ:ASML)
Point72 Asset Management’s Stake: $632 Million
Steve Cohen has long admired ASML Holding N.V. (NASDAQ:ASML) stock. His fund first disclosed a position in the company back in the second quarter of 2014. This stake comprised nearly 500,000 shares but was sold off within months. A new position was then opened in the fourth quarter of 2017 but was sold off quickly as well. Since the second quarter of 2019, however, barring a few minor exceptions, the stock has consistently featured in the 13F portfolio of Point72 Asset Management. Latest filings, submitted at the end of the fourth quarter of 2025, show that the fund owned more than 590,000 shares in the company, up 33% compared to filings for the previous quarter.
ASML Holding N.V. is moving away from standard EUV to High-NA (High Numerical Aperture) EUV machines. Hedge funds view this as a major long-term catalyst for the stock. These machines have had early adoption success. In early 2026, Intel successfully integrated its first High-NA tool into high-volume manufacturing. This has significantly reduced execution risk for other major players like TSMC and Samsung. As chipmakers move toward 2-nanometer and Angstrom-era nodes, the number of critical lithography layers increases. This litho-intensity is a massive tailwind for ASML’s revenue per wafer. Institutional investors are pleased with ASML’s financial outlook for the current year. Management has guided for 2026 total net sales between €34 billion and €39 billion, with gross margins hitting 51%–53%.
7. Credo Technology Group Holding Ltd (NASDAQ:CRDO)
Point72 Asset Management’s Stake: $800 Million
Credo Technology Group Holding Ltd (NASDAQ:CRDO) has been a staple in the 13F portfolio of Point72 Asset Management since the beginning of 2022. Back then, this holding comprised just 670,000 shares. In the coming quarters, Steve Cohen grew this into 4.8 million shares. By the first quarter of 2025, it had been increased to 6.2 million shares. After reducing the position by close to 44% in the second quarter of 2025, the fund proceeded to increase it by 15% and 17% in the third and fourth quarter of 2025 respectively. At the end of 2025, the fund owned 5.6 million shares of the company.
Credo Technology Group Holding Ltd has attained a dominant position in Active Electrical Cables (AECs), which have become the industry standard for connecting AI server racks. Hedge funds are thus bullish on the shares. For context, traditional copper cables fail at distances over 3 meters at high speeds, while optical fibers are too expensive and power-hungry for short-range links. Credo’s AECs fill the 3–7 meter gap, which represents the majority of connections in a massive AI cluster. Institutional investors are also particularly bullish on Credo’s ZeroFlap feature. In high-stakes GPU training, like NVIDIA’s Blackwell clusters, a single link flap can crash a weeks-long training run, costing millions. Hedge funds view Credo’s reliability as a toll collector requirement for hyperscalers.
6. Broadcom Inc. (NASDAQ:AVGO)
Point72 Asset Management’s Stake: $989 Million
Broadcom Inc. (NASDAQ:AVGO) is one of the long-term stock picks of Steve Cohen. His hedge fund has held a stake in the chip firm since the second quarter of 2018. Back then, this position comprised 892,000 shares. Within a year, the fund had upped this stake to more than 7.7 million shares. A slow period followed, during which the fund trimmed the stake and even sold it off completely before opening up a new position. This new position reached 8 million shares at peak and was sold off as well. The latest holding, purchased in the first quarter of 2024, comprised nearly 2.9 million shares at the end of the fourth quarter of 2025. This represents an increase of 80% compared to filings for the third quarter of 2025.
Broadcom Inc. is on the radar of elite hedge funds in light of CEO Hock Tan’s structural reset of expectations. In early March, Broadcom projected that its AI chip revenue alone would hit $100 billion by 2027. The company issued Q2 revenue guidance of $22 billion, 47% YoY growth, which was a staggering $1.5 billion above Wall Street consensus. Hedge funds are also betting on the shift from general GPUs to proprietary, in-house accelerators (ASICs) designed by hyperscalers. Broadcom is currently the exclusive design partner for the Big Three of custom silicon: Google (TPUs), Meta (MTIA), and OpenAI. This creates a high-margin, recurring revenue stream that is difficult for competitors like Marvell or AMD to disrupt.
5. Arista Networks, Inc. (NYSE:ANET)
Point72 Asset Management’s Stake: $991 Million
Arista Networks, Inc. (NYSE:ANET) is a relatively recent addition to the 13F portfolio of Point72 Asset Management. The fund first disclosed a stake in the company back in the fourth quarter of 2024. This position comprised 3 million shares. By the second quarter of 2025, this had grown to nearly 7 million shares. After trimming the holding by 20% in the third quarter of 2025, the hedge fund added 37% to it in the fourth quarter of 2025. At the end of last year, the fund owned nearly 7.6 million shares in the networking company.
The most significant driver for institutional buying of Arista Networks, Inc. stock is the industry-wide move toward open-source Ethernet for backend AI networking. Historically, NVIDIA’s proprietary InfiniBand was the only choice for connecting GPUs. However, hedge funds are betting that hyperscalers like Meta, Microsoft, and Google are switching to Arista’s high-speed Ethernet to avoid vendor lock-in and lower their total cost of ownership. With the launch of the 7800R4 series, Arista has proven that Ethernet can now match InfiniBand’s low latency while supporting clusters of over 100,000 GPUs. As AI data centers hit power and heat limits, Arista is also winning contracts through superior hardware engineering. The firm introduced XPO Liquid-Cooled Optics in March 2026. This module addresses the extreme heat generated by 800G and 1.6T networking.
4. Microsoft Corporation (NASDAQ:MSFT)
Point72 Asset Management’s Stake: $1 Billion
Steve Cohen has held a long-term bullish view on Microsoft Corporation (NASDAQ:MSFT). This is reflected in the 13F filings as well. The tech giant has featured in the 13F portfolio of the fund since the second quarter of 2015. Back then, this position comprised just 4,000 shares. In the next quarter, the holding jumped to 2.1 million shares. The share ownership then stayed under the 2 million mark till early 2024, barring one exception. In the third quarter of 2025, the fund owned 2.6 million shares in the company. However, filings for the fourth quarter of 2025 reveal that this holding has been trimmed by 20% and the fund now owns 2 million shares of Microsoft.
Microsoft Corporation is one of the favorite stocks among elite hedge funds. One catalyst for this interest is the Microsoft 365 Copilot transition into Agentic AI, where software does not just answer questions but performs complex, multi-step tasks, like automated procurement or project management. In late 2025/early 2026, Microsoft inked landmark deals with Cognizant, Infosys, and Wipro to deploy 50,000+ Copilot licenses. Hedge funds view these massive enterprise rollouts as the blueprint for global adoption. Another long-term driver for the shares is the move by the tech giant to control its own hardware costs. Microsoft is rolling out its custom Maia AI chips within Azure. Hedge funds believe this will significantly improve inference economics, reducing Microsoft’s reliance on expensive NVIDIA hardware and protecting cloud margins even as capital expenditure surges.
3. Amazon.com, Inc. (NASDAQ:AMZN)
Point72 Asset Management’s Stake: $1.2 Billion
Amazon.com, Inc. (NASDAQ:AMZN) has consistently featured in the 13F portfolio of Point72 Asset Management for more than a decade. The fund first disclosed a stake in the company back in the third quarter of 2014. This position comprised 2 million shares. By the second quarter of 2016, the fund had increased this to over 13 million shares. A cool-off period followed, during which Cohen trimmed this stake and brought it under 5 million shares. Latest filings, submitted at the end of the fourth quarter of 2025, show that the fund owned 5.2 million shares in the company, up 68% compared to filings for the previous quarter.
Amazon.com, Inc. is turning heads on Wall Street not just because of AI but the growth inflection at Amazon Web Services, which has returned to its fastest growth rates since 2022. In early 2026, AWS reported that virtually all new capacity added is immediately purchased by customers. As of Q1 2026, Amazon’s cloud backlog has reached a staggering $200 billion. This massive committed revenue provides a safety net that few other tech giants can match. Hedge funds are also rewarding Amazon for its Trainium3 and Graviton5 chips. These custom processors allow AWS to offer AI training at a significantly lower cost than competitors reliant solely on third-party hardware, protecting long-term margins.
2. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Point72 Asset Management’s Stake: $1.4 Billion
Even though Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) first appeared in the 13F portfolio of Point72 Asset Management back in 2015, it has not been a consistent feature in the historical portfolio of the fund. 2021 onwards, however, the chip stock has appeared in the holdings constantly. Latest filings, submitted at the end of the fourth quarter of 2025, show that the fund owned 4.6 million shares in the company, up 157% compared to filings for the third quarter of 2025. Previously, the largest stake in the firm by the fund consisted of almost 2.5 million shares, disclosed in the fourth quarter of 2024.
Hedge funds love Taiwan Semiconductor Manufacturing Company Limited stock for a variety of reasons. The single most significant catalyst for institutional buying in early 2026 was the official launch of mass production for 2-nanometer chips in January. TSMC is the first in the world to achieve high-volume manufacturing with Gate-All-Around (GAA) transistors at the 2nm node. Hedge funds are focused on the fact that over 50% of 2nm capacity through 2027 has already been pre-ordered by Apple, NVIDIA, and AMD. Wafers for the 2nm node are reportedly priced at $30,000, a 20% premium over the 3nm generation, ensuring massive margin expansion for the company.
1. NVIDIA Corporation (NASDAQ:NVDA)
Point72 Asset Management’s Stake: $1.9 Billion
NVIDIA Corporation (NASDAQ:NVDA) first appeared in the 13F portfolio of Point72 Asset Management back in the second quarter of 2015. This position comprised 2 million shares. By the fourth quarter of 2015, this stake had jumped to ownership of 66 million shares. Thereafter, Cohen reduced exposure to the stock, even selling it off completely but opening a new position within a few months. The present holding was purchased back in the first quarter of 2023 and consisted of 9.8 million shares then. Latest filings, submitted at the end of the fourth quarter of 2025, show that the fund owned nearly 10 million shares in the company, up 38% compared to filings for the previous quarter.
NVIDIA Corporation remains the single most important barometer for hedge fund confidence in the AI supercycle. The company recently raised its lifetime sales projection for its major chip systems, Blackwell and the upcoming Vera Rubin, to $1 trillion through 2027, up from a previous estimate of $500 billion. Hedge funds are front-running the 2026–2027 rollout of the Vera Rubin architecture, which promises a 35x increase in throughput per megawatt. This efficiency is critical as data centers hit physical power constraints. Hedge funds are also shifting their focus from AI training to AI inference, where NVIDIA is extending its moat. NVIDIA’s partnership with Groq to deliver 1,500+ tokens per second is a major draw.
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