In this article, we are going to discuss the 10 best US Stocks to invest in according to billionaires.
The S&P 500, which is a leading benchmark of the US stock market performance, has surged by around 8.7% since the beginning of the year and is currently hovering at its all-time high. The strong performance comes despite the US-Iran war raising fuel costs and uncertainty for everyone.
The index has received strong support from the strong optimism around AI investments, as well as the better-than-expected results posted by megacap companies in the ongoing earnings season. According to LSEG IBES data, S&P 500 profits are now expected to grow 27.8% in the first quarter, the strongest since the fourth quarter of 2021. Out of the 125 companies that reported their earnings last week, 110 exceeded EPS expectations, while 2 met estimates and 13 fell short. Notably, 103 firms reported an increase in earnings when compared to last year.
The resilient earnings growth is also prompting analysts to turn more bullish on the index. An example is HSBC, which raised its year-end target for the benchmark S&P 500 index to 7,650 from 7,500 on May 11. According to the bank’s strategists, while the recent rally has been relatively narrow in breadth, most stocks are still trading below their 52-week highs, indicating the potential for further gains if the market participation widens.
With that said, here are the Best American Stocks to Buy According to Billionaires.
Photo by Viacheslav Bublyk on Unsplash
Our Methodology
To collect data for this article, we used our screeners to identify popular U.S.-headquartered stocks and then shortlisted those with the highest number of billionaire investors as of the end of Q4 2025, per the Insider Monkey database. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. The following are the Best American Stocks to Invest in According to Billionaires.
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).
10. Exxon Mobil Corporation (NYSE:XOM)
Number of Billionaire Holders: 21
Exxon Mobil Corporation (NYSE:XOM) is one of the largest integrated fuels, lubricants, and chemical companies in the world.
On May 11, Bernstein analyst Bob Brackett lowered the firm’s price target on Exxon Mobil Corporation (NYSE:XOM) from $195 to $182, but maintained an ‘Outperform’ rating on the shares. The revised target represents a downside of almost 21% from the current levels.
Bernstein acknowledges that the global oil market could take a multitude of paths in the current geopolitical scenario, including the extreme possibility that the Hormuz waterway could remain closed for years. However, the firm updated its models assuming a return to normal conditions by the mid of this year.
On the other hand, UBS turned more bullish on Exxon Mobil Corporation (NYSE:XOM) and raised its price target on the stock on May 4 (read more details here).
Exxon Mobil Corporation (NYSE:XOM) reported better-than-expected earnings in its Q1 results on May 1, helped by the higher output in Guyana and the Permian Basin. However, the company’s net income dropped to its lowest level in five years due to global supply disruptions amid the Middle East conflict. The company revealed that around 15% of its production is impacted by the war.
9. Eli Lilly and Company (NYSE:LLY)
Number of Billionaire Holders: 31
Eli Lilly and Company (NYSE:LLY) discovers, develops, manufactures, and markets human pharmaceutical products in the United States, Europe, China, Japan, and internationally.
On May 8, Guggenheim analyst Seamus Fernandez boosted the firm’s price target on Eli Lilly and Company (NYSE:LLY) from $1,183 to $1,235, while maintaining a ‘Buy’ rating on the shares. The revised target, which indicates an upside of almost 28% from the current price level, comes after the analyst firm updated its model following Eli Lilly’s Q1 results.
Eli Lilly and Company (NYSE:LLY) reported strong results for its first quarter on April 30, with the firm beating expectations in both profits and revenue. The company’s revenue grew by 56% YoY, and adjusted EPS surged by a massive 156% YoY, as the soaring demand for its GLP-1 weight-loss and diabetes drugs helped offset lower prices across the US and international markets.
Notably, Eli Lilly and Company (NYSE:LLY) hiked its profit and revenue forecasts for full-year 2026. The company now expects its revenue to range between $82 billion and $85 billion, up from $80 billion to $83 billion previously. Similarly, adjusted earnings for the year are now projected at $35.50 to $37.00 per share, up from the previous guidance of $33.50 to $35.00 per share.
8. Apple Inc. (NASDAQ:AAPL)
Number of Billionaire Holders: 32
Apple Inc. (NASDAQ:AAPL) designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide.
Apple Inc. (NASDAQ:AAPL) made headlines on May 8 when a Wall Street Journal report revealed that the tech giant has reached a preliminary agreement with Intel that would see the latter make some of the chips for the iPhone maker’s devices, marking a major shift in the chipmaking landscape. According to the report, the two companies had been engaged in intensive talks for over a year and finally hammered out a formal deal in recent months.
Apple’s processors for its various iPhones, iPads, and other products are currently manufactured by Taiwan Semiconductor, but TSMC’s wafer capacity can only go so far in the ongoing semiconductor frenzy.
The report also stated that the US government, which became the largest shareholder in Intel last year, played a major role in bringing Apple Inc. (NASDAQ:AAPL) to the negotiating table as part of its push to shore up the country’s chip production.
7. The Walt Disney Company (NYSE:DIS)
Number of Billionaire Holders: 33
Next on our list of the Best American Stocks is The Walt Disney Company (NYSE:DIS). It is a leading diversified international family entertainment and media enterprise that includes three core business segments: Disney Entertainment, ESPN, and Disney Experiences.
On May 8, Citi raised its price target on The Walt Disney Company (NYSE:DIS) from $135 to $145, while keeping a ‘Buy’ rating on the shares. The target boost, which reflects an upside potential of over 35% from the current levels, comes after the analyst firm updated the company’s model following its recent Q2 report.
The Walt Disney Company (NYSE:DIS) reported strong results for its second quarter on May 6, with the company beating forecasts in both profits and revenue. The entertainment enterprise grew its revenue and total segment operating income by 7% and 4%, respectively, compared to the prior year and outperformed its guidance. Free cash flow also surged by 1% to $4.94 billion.
The Walt Disney Company (NYSE:DIS) expects 12% growth of adjusted EPS for FY 2026 and double-digit growth of adjusted EPS for FY 2027. The company is also targeting at least $8 billion in share repurchases in the ongoing year.
6. McDonald’s Corporation (NYSE:MCD)
Number of Billionaire Holders: 34
McDonald’s Corporation (NYSE:MCD) is the world’s leading global foodservice retailer with over 37,000 locations in over 100 countries.
On May 8, Morgan Stanley lowered its price target on McDonald’s Corporation (NYSE:MCD) from $334 to $331, while keeping an ‘Equal Weight’ rating on the shares. The reduced target still represents an upside of over 20% from the current price levels.
Similarly, RBC Capital also trimmed its price target on McDonald’s Corporation (NYSE:MCD) by $25 on May 9, but maintained a ‘Sector Perform’ rating on the shares (read more details here).
The move comes after McDonald’s Corporation (NYSE:MCD) reported better-than-expected results in its Q1 report on May 7, with the foodservice retailer topping estimates in both profits and revenue. The company’s global comparable sales surged by 3.8% during the quarter, up from a 1% decline reported last year.
Ian Borden, McDonald’s Corporation (NYSE:MCD)’s CFO, flagged a weaker start to the second quarter due to the high fuel prices putting persistent pressure on low-income consumers and turning sales slightly negative in April. However, the company reaffirmed its full-year 2026 financial guidance and reiterated its plan to expand to about 50,000 restaurants by the end of 2027.
While we acknowledge the potential of MCD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MCD and that has 100x upside potential, check out our report about the cheapest AI stock.
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