In this article, we will look at the 10 Most Profitable Stocks to Buy Now.
On November 17, Jeremy Siegel, former Wharton professor and WisdomTree chief economist, appeared on a CNBC Television interview to discuss the AI valuations. Siegel noted that the market is currently trading at around 23 times forward earnings. However, he highlighted that excluding the AI/Mag 7 stocks, the market is trading at around 20 times forward earnings. Sigel noted that, considering the interest rates, liquidity, and other macroeconomic factors, 20 times earnings is the right valuation ratio. He added that this brings the discussion to a pertinent question regarding the valuations of AI being too high.
Sigel believes that AI is a revolution, which is unlike anything we have seen in our lifetimes, and holds the potential to transform the economy of the United States. He highlighted that the biggest risk of AI investment is not regarding the effectiveness of AI, but about the same work being done much more cheaply. Sigel drew a comparison with the dotcom era to support his argument. He noted that during the dotcom era, internet companies invested heavily in laying cables around the world only to find out that a thousand times more data could have been transmitted through fiber optics, which later led to the dotcom bust. Therefore, Sigel concludes that while there are no doubts about the effectiveness of the AI investment, the concerns regarding whether it requires trillions of dollars are valid.
With that, let’s take a look at the 10 Most Profitable Stocks to Buy Now.
Our Methodology
To compile the list of 10 Most Profitable Stocks to Buy Now, we used the Stock Analysis stock screener, WSJ, and Insider Monkey’s Q2 2025 database. Using the screener, we aggregated a list of the top 30 US-listed stocks by market cap. Out of these stocks, we shortlisted the ones with more than $15 billion in net income (TTM) and more than 15% net profit margins (TTM). Lastly, we ranked these companies in ascending order of the net income (TTM). We have also added the hedge fund sentiment around each stock sourced from Insider Monkey’s database.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
10 Most Profitable Stocks to Buy Now
10. Wells Fargo & Company (NYSE:WFC)
Net Income (TTM): $19.72 billion
Net Profit Margins (TTM): 15.62%
Number of Hedge Fund Holders: 75
Wells Fargo & Company (NYSE:WFC) is one of the Most Profitable Stocks to Buy Now. On November 12, John McDonald CFA from Truist Financial reiterated a Buy rating on Wells Fargo & Company (NYSE:WFC) without disclosing any price target. Earlier on November 3, Jason Goldberg from Barclays had also reiterated a Buy rating on the stock with a price target of $94.
The reiterated bullish sentiment on the stock follows the company’s release of fiscal Q3 2025 results, announced on October 14. The company reported 5.25% year-over-year revenue growth to $21.44 billion, surpassing estimates by 272.33 million. Moreover, the EPS of $1.73 also topped estimates by $0.19. Management attributed revenue growth to higher net interest income, along with strong growth in fee-based income from consumer and commercial businesses.
In addition, on November 6, Wells Fargo & Company (NYSE:WFC) also presented at the BancAnalysts Association of Boston Conference, where CFO Mike Santomassimo outlined strategic initiatives. He noted that the bank aims for best-in-class returns across all business segments. Moreover, the bank also aims for a CET1 ratio of 10%-10.5%, which stood at 11% during Q3 2025. Santomassimo highlighted that the bank has achieved $15 billion in gross savings over the past 5 years, which has helped the company increase its spending for the betterment of the company.
Wells Fargo & Company (NYSE:WFC) is a large financial services company offering banking, mortgage, and investment products.
9. Visa Inc. (NYSE:V)
Net Income (TTM): $19.85 billion
Net Profit Margins (TTM): 49.63%
Number of Hedge Fund Holders: 167
Visa Inc. (NYSE:V) is one of the Most Profitable Stocks to Buy Now. On November 12, Visa Inc. (NYSE:V) announced a breakthrough pilot at Web Summit that allows businesses and platforms to send out payouts directly to recipients’ stable coin wallets.
The pilot allows creators and gig workers a faster way to access funds by bypassing traditional banking delays. Moreover, businesses using Visa Direct can fund payouts in fiat currency, while recipients can opt to receive funds in stable coins, specifically USD-backed stable coins like USDC. The program is currently in the onboarding stage with select partners; Visa Inc. (NYSE:V) expects wider access in 2026.
In addition, Wall Street remains bullish on the stock since the fiscal Q4 2025 earnings release. Earlier on November 10, Harshita Rawat from Bernstein reiterated a Buy rating on the stock with a price target of $418.
Visa Inc. (NYSE:V) announced results on October 28, with revenue growing 11.51% year-over-year to $10.72 billion, surpassing estimates by $105.86 million. Moreover, the EPS of $2.98 also surpassed estimates by $0.01. Management attributed growth to a 9% year-over-year increase in global payment volume and 11% growth in cross-border volume.
Visa Inc. (NYSE:V) is an international payment technology company that enables secure and fast money movement and commerce across more than 200 countries.
8. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Net Income (TTM): $37.60 billion
Net Profit Margins (TTM): 40.54%
Number of Hedge Fund Holders: 187
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the Most Profitable Stocks to Buy Now. On November 17, Mike Yang from Bank of America Securities reiterated a Buy rating on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) with a $390 price target.
The rating comes after the company, on November 11, announced the approval of a $14.98 billion budget for supporting its long-term capacity plans. Management noted they plan to use this investment for fab construction, expanding advanced technology and packaging capabilities, and funding research and development in 2026.
Analyst Yang noted that the company’s robust capital expenditure has led to increased share in the foundry industry. He expects the company’s gross margins to remain robust at around 60% throughout 2027, supported by sales growing at a CAGR of 21%.
In addition, the analyst also sees Taiwan Semiconductor Manufacturing Company Limited’s (NYSE:TSM) technological capability in the 2nm expansion and high-end packaging to be a significant competitive edge against its peers. Yang anticipates that this edge can potentially contribute to a 5% CAGR supply growth from 2025 to 2027.
Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) is the world’s largest dedicated semiconductor foundry. It produces advanced integrated circuits for global industries, including technology, communications, and automotive.
7. JPMorgan Chase & Co. (NYSE:JPM)
Net Income (TTM): $58.13 billion
Net Profit Margins (TTM): 20.86%
Number of Hedge Fund Holders: 124
JPMorgan Chase & Co. (NYSE:JPM) is one of the Most Profitable Stocks to Buy Now. On November 13, Mike Mayo from Wells Fargo reiterated a Buy rating on JPMorgan Chase & Co. (NYSE:JPM) with a price target of $13. Earlier on November 12, Erika Najarian from UBS raised the price target on the stock from $350 to $357 and maintained a Buy rating.
Analyst Erika Najarian of UBS praised the company’s use of artificial intelligence to enhance its revenue streams. She noted that the company is focusing on creating new revenue-generating opportunities with generative AI, particularly in the consumer banking, pricing, credit, and fraud prevention space.
In addition, the analyst also pointed to JPMorgan Chase & Co.’s (NYSE:JPM) proprietary data assets as a strategic edge for the company. She believes integration of this data allows management to make more informed decisions to boost revenue generation.
Earlier, on October 14, the company released its fiscal Q3 2025 results. The revenue grew 8.85% year-over-year to $46.43 billion, surpassing estimates by $852.32 million. The EPS of $5.07 also topped the consensus by $0.20. Management attributed revenue growth to higher market revenues and higher fees from asset management, investment banking, and payments.
JPMorgan Chase & Co. (NYSE:JPM) is a global financial services firm that provides a wide range of banking and investment services. It operates through segments including Consumer & Community Banking, Commercial & Investment Banking, and Asset & Wealth Management.
6. Meta Platforms, Inc. (NASDAQ:META)
Net Income (TTM): $62.36 billion
Net Profit Margins (TTM): 37.91%
Number of Hedge Fund Holders: 260
Meta Platforms, Inc. (NASDAQ:META) is one of the Most Profitable Stocks to Buy Now. On November 18, Laura Martin from Needham maintained a Hold rating on Meta Platforms, Inc. (NASDAQ:META) without disclosing any price targets. However, earlier on November 13, Lloyd Walmsley from Mizuho Securities raised the firm’s price target on the stock from $812 to $920 and reiterated a Buy rating.
The ratings follow the company’s recent outperformance during its fiscal Q3 2025 results. On October 29, Meta Platforms, Inc. (NASDAQ:META) announced Q3 2025 results with revenue growth of 26.25% year-over-year to $51.24 billion, surpassing estimates by $1.83 billion. Moreover, the EPS of $7.25 also topped estimates by $0.58.
In addition to topping analyst expectations, Meta Platforms, Inc. (NASDAQ:META) continues to invest in AI. For instance, on November 7, Reuters reported that the company plans to invest $600 billion in the United States over the next 3 years. Management noted this investment will be used in building AI infrastructure and data centers, thereby creating more jobs in the country.
Meta Platforms, Inc. (NASDAQ:META) is a tech company that connects people through social media and immersive experiences.
5. NVIDIA Corporation (NASDAQ:NVDA)
Net Income (TTM): $72.88 billion
Net Profit Margins (TTM): 55.85%
Number of Hedge Fund Holders: 235
NVIDIA Corporation (NASDAQ:NVDA) is one of the Most Profitable Stocks to Buy Now. On November 18, NVIDIA Corporation (NASDAQ:NVDA) announced a new strategic partnership with Microsoft and Anthropic, aimed at enhancing its AI model Claude.
Under this partnership, Anthropic will scale its AI model Claude on the Azure cloud, which is powered by NVIDIA’s technology. Moreover, Anthropic has also committed to purchasing Azure compute capacity worth $30 billion, along with an additional compute up to 1 gigawatt. Anthropic will initially use NVIDIA’s Grace Blackwell and Vera Rubin systems.
In addition, NVIDIA Corporation (NASDAQ:NVDA) and Anthropic are also entering a deep technology partnership with this announcement to collaborate on model and hardware design and engineering. Lastly, this collaboration will also see NVIDIA and Microsoft investing up to $10 billion and $5 billion, respectively, in Anthropic to support its growth.
A day earlier, on November 17, Harlan Sur from J.P. Morgan reiterated a Buy rating on NVIDIA Corporation (NASDAQ:NVDA) with a $215 price target. On the same day, analyst Ruben Roy from Stifel Nicolaus raised the price target on the stock from $212 to $250 and maintained a Buy rating.
The analyst anticipates NVIDIA Corporation (NASDAQ:NVDA) to beat expectations for fiscal Q3 2025, along with providing an optimistic Q4 guidance. Roy anticipates the company beating sales and margins expectations, driven by the accelerated ramp of its Blackwell platform. The company is set to release its Q3 2025 results on November 19 (post-market).
NVIDIA Corporation (NASDAQ:NVDA) is a full-stack computing infrastructure company that focuses on accelerated computing to solve complex computational problems. The company offers AI data center platforms, GPUs, networking, and autonomous vehicle solutions.
4. Alphabet Inc. (NASDAQ:GOOGL)
Net Income (TTM): $100.12 billion
Net Profit Margins (TTM): 28.62%
Number of Hedge Fund Holders: 219
Alphabet Inc. (NASDAQ:GOOGL) is one of the Most Profitable Stocks to Buy Now. On November 18, Rob Sanderson from Loop Capital Markets upgraded Alphabet Inc. (NASDAQ:GOOGL) from Hold to Buy and also raised the price target from $260 to $320.
The analyst noted that the concerns regarding AI taking up Google’s search revenue are diminishing. He noted the company’s search revenues to be as healthy as ever, supported by AI overviews and the new AI mode feature. In addition, the firm highlighted that the traffic share of Gemini has doubled year-over-year, along with an improved market position for Google Cloud and proprietary AI processors.
Earlier on October 29, Alphabet Inc. (NASDAQ:GOOGL) released its fiscal Q3 2025 results, which topped estimates. The company grew its revenue by 15.95% year-over-year to $102.35 billion, surpassing estimates by $2.21 billion. Moreover, the EPS of $2.87 also topped consensus by $0.61. Management attributed growth to double-digit growth across its major businesses. During the quarter, Google Services revenues increased 14% to $87.1 billion, while Google Cloud revenues increased 34% to $15.2 billion, driven by growth in Google Cloud Platform.
Alphabet Inc. (NASDAQ:GOOGL) is a holding company with major segments including Google Services, Google Cloud, and Other Bets.
3. Novo Nordisk A/S (NYSE:NVO)
Net Income (TTM): $100.99 billion
Net Profit Margins (TTM): 34.78%
Number of Hedge Fund Holders: 45
Novo Nordisk A/S (NYSE:NVO) is one of the Most Profitable Stocks to Buy Now. On November 17, Reuters reported that Novo Nordisk A/S (NYSE:NVO) will lower the US prices of its injectable Wegovy obesity drug.
The price reduction for injectable Wegovy follows the company’s earlier announcement on November 6, where it agreed with the US Administration to lower drug prices beginning in 2026. However, the price reduction timeline was accelerated as Reuters on November 17 reported the company began cutting the price of Wegovy from $499 to $349 per month for US cash-paying patients.
The report by Reuters also noted the CEO of Novo Nordisk A/S (NYSE:NVO), Mike Doustdar, pledging to go “all in” with its upcoming oral weight-loss pill, expected to be approved by the end of the year. This is significant as the company is locked in competition with Eli Lilly and is looking to avoid repeating the supply issues it faced with the launch of Wegovy in 2021. CEO Mike Doustdar said,
”We have more than enough pills this time, so we’re going to go all in and really make this happen.”
Wall Street has a mixed opinion on Novo Nordisk A/S (NYSE:NVO). On November 17, Evan Seigerman from BMO Capital lowered the firm’s price target on the stock from $55 to $50, while reiterating a Hold rating. Earlier on November 13, Kerry Holford from Berenberg Bank had also lowered the price target on the stock from $67 to $62, but maintained a Buy rating.
Novo Nordisk A/S (NYSE:NVO) is a global healthcare company focused mainly on diabetes and obesity care.
2. Microsoft Corporation (NASDAQ:MSFT)
Net Income (TTM): $101.83 billion
Net Profit Margins (TTM): 36.15%
Number of Hedge Fund Holders: 294
Microsoft Corporation (NASDAQ:MSFT) is one of the Most Profitable Stocks to Buy Now. On November 18, Alexander Haissl from Rothschild & Co Redburn downgraded Microsoft Corporation (NASDAQ:MSFT) from Buy to Hold and also reduced the price target on the stock from $560 to $500. On the same day, Gregg Moskowitz from Mizuho Securities also downgraded the stock from Buy to Hold, without disclosing any price targets.
Alexander Haissl from Rothschild & Co Redburn commented in a research note that the underlying economies of hyperscalers are far weaker than anticipated, which suggests that it is time to take a more cautious stance. He highlighted that the deployment of Graphics Processing Units needs almost six times the capital to generate the same cloud 1.0 value, along with the associated downside risks.
Haissl added that investors are giving too much benefit of the doubt to the hyperscalers. He noted the valuations of these companies are high, as if they have already delivered cloud 1.0 level returns. In reality, the economies suggest no clear path for return on these investments. Therefore, the analyst expects lower earnings and higher capital expenditure for Microsoft Corporation (NASDAQ:MSFT) to sustain its growth.
On the other hand, Microsoft Corporation (NASDAQ:MSFT) topped estimates during its fiscal Q1 2026 results, announced on October 29. The company grew its revenue by 18.43% year-over-year to $77.67 billion, surpassing estimates by $2.28 billion. Moreover, the EPS of $4.13 also came in ahead of the expectation by $0.47. Management attributed revenue growth to Microsoft Cloud revenue, which grew 26% to $49.1 billion, exceeding expectations. This was supported by Productivity and Business Processes revenue, which grew 17% year-over-year to $33 billion.
Microsoft Corporation (NASDAQ:MSFT) is a leading technology company known for a wide range of devices, software, and services. Some of the core offerings by the company include productivity software, including Microsoft Office and Azure, the Windows operating system, and gaming devices.
1. Apple Inc. (NASDAQ:AAPL)
Net Income (TTM): $112.01 billion
Net Profit Margins (TTM): 26.92%
Number of Hedge Fund Holders: 156
Apple Inc. (NASDAQ:AAPL) is one of the Most Profitable Stocks to Buy Now. On November 18, Tim Long from Barclays raised the firm’s price target on Apple Inc. (NASDAQ:AAPL) from $180 to $230, but maintained a Sell rating. A day earlier, on November 17, Brandon Nispel from KeyBanc reiterated a Hold rating on the stock, without disclosing any price targets.
Brandon Nispel noted the firm’s Key First Look Data, which showed a 4% decrease month-over-month in October. The analyst noted that while this data is better than the three-year average decline of 8%, it still reflects a 12% decline year-over-year. Nispel added that the data is relatively weaker compared to the firm’s expectations for Apple Inc. (NASDAQ:AAPL) as the company’s performance continues to exceed historical averages. Despite the weak data, the firm expects the company’s hardware revenue for fiscal Q1 2026 to remain in line with expectations. However, the iPhone revenue is expected to remain slightly below expectations.
Apple Inc. (NASDAQ:AAPL) released its fiscal Q4 2025 results on October 30. The revenue grew 7.94% year-over-year to $102.47 billion, surpassing expectations by $215.52 million and marking a record September quarter revenue. Moreover, the EPS of $1.85 also came in ahead of the expectations by $0.08. Management attributed revenue growth to record September quarter iPhone revenue of $49.025 billion and an all-time record Service revenue of $28.750 billion.
Apple Inc. (NASDAQ:AAPL) is an international provider of smartphones, personal computers, and other technology gadgets. Based in America, the company is renowned for its iPhone, Mac, and iPad.
While we acknowledge the potential of AAPL to grow, 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 AAPL and that has 100x upside potential, check out our report about this cheapest AI stock.
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