In this article, we will take a look at the 12 Best Fundamental Stocks to Buy Right Now.
In contrast to previous structural bull periods, equity markets are currently facing complications. These include high prices, rising inflation and interest rates, a slowdown in global commerce, weak economic development, and increased pressure on government spending. Given these characteristics, Peter Oppenheimer, chief global equity strategist at Goldman Sachs Research states that absolute returns are probably going to be lower than they were during previous long-term market advances.
Furthermore, the stock market has been abnormally concentrated around a small number of prominent technology companies, particularly in the United States. According to Oppenheimer, this “may be due to the success of a few large companies that manage to dominate specific sectors, as we have seen in recent years in the US technology industry.”
That said, the major stock indexes recently reached new highs due to weaker labor market data, which paved the way for the Federal Reserve to cut interest rates. According to Mehmet Beceren of Rosenberg Research, that is simply a component of the S&P 500’s character shift.
Our Methodology
For this list, we looked for stocks that are known for their solid business operations, well-known product lines, and a track record of outperforming during economic fluctuations. These companies recorded reliable revenue growth rates of more than 10% over the past 5 years. We also used the number of hedge fund investors to rank the stocks, as of Q2 2025.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
12. Autodesk, Inc. (NASDAQ:ADSK)
5-Year Revenue Growth Rate: 13.42%
Number of Hedge Fund Holders: 73
Autodesk, Inc. (NASDAQ:ADSK) ranks among the best fundamental stocks to buy right now. On September 15, Autodesk, Inc. (NASDAQ:ADSK) and the Kraft Group signed a multi-year agreement for Autodesk to serve as the New England Patriots’ Official Design and Make Platform.
The Patriots and Kraft Group have agreed to use Autodesk Construction Cloud to oversee infrastructure projects, such as Gillette Stadium’s real estate developments and facility enhancements.
As part of the arrangement, Autodesk, Inc. (NASDAQ:ADSK) will have visibility through content on the Patriots’ social media and digital channels as well as LED signage in end zones during home games. According to Autodesk Vice President Sidharth Haksar, the collaboration builds “the digital foundation that not only streamlines construction today, but also strengthens the performance and value of their facilities for years to come.”
Autodesk, Inc. (NASDAQ:ADSK) is a leading software provider to designers, engineers, and builders. Its technology spans architectural, engineering, construction, product design, and manufacturing.
11. Costco Wholesale Corporation (NASDAQ:COST)
5-Year Revenue Growth Rate: 10.75%
Number of Hedge Fund Holders: 91
Costco Wholesale Corporation (NASDAQ:COST) ranks among the best fundamental stocks to buy right now. On September 15, UBS upheld its Buy rating and $1,205 price target for Costco Wholesale Corporation (NASDAQ:COST), pointing to a number of growth levers that should support the retailer’s continued momentum.
The firm responded to recent market worries about Costco’s ability to maintain its performance, which were brought on by weaker comparable sales patterns in May and June that made some investors doubt the retailer’s valuation. According to UBS, these worries were interpreting the numbers “in a vacuum,” and they should have been allayed when Costco’s comparable sales and traffic reaccelerated in July and August.
The firm affirmed its optimism about Costco’s future, pointing to the retailer’s “best-in-class merchandising engine” as a crucial component that will help it maintain its pace in the upcoming months and quarters.
A membership-based warehouse club, Costco Wholesale Corporation (NASDAQ:COST) offers bulk discounts on an array of products, including food, electronics, and household products.
10. ServiceNow, Inc. (NYSE:NOW)
5-Year Revenue Growth Rate: 25.99%
Number of Hedge Fund Holders: 106
ServiceNow, Inc. (NYSE:NOW) ranks among the best fundamental stocks to buy right now. ServiceNow, Inc. (NYSE:NOW) unveiled its new Zurich platform on September 10, with capabilities centered on enterprise security, autonomous workflows, and multi-agent AI development.
New developer tools included in the platform version allow for natural language “vibe coding,” which lets employees design apps by explaining them in conversational terms. The Zurich release also carries security features that include Vault Console to find and safeguard sensitive data across workflows.
Additionally, the platform offers agentic playbooks, which establish autonomous workflows by fusing AI with automation. These playbooks enable human intervention as needed while integrating AI agents into planned sequences.
ServiceNow, Inc. (NYSE:NOW) is a leading provider of cloud-based software solutions that enable corporations to streamline their digital workflows.
9. AppLovin Corporation (NASDAQ:APP)
5-Year Revenue Growth Rate: 36.49%
Number of Hedge Fund Holders: 109
AppLovin Corp (NASDAQ:APP) ranks among the best fundamental stocks to buy right now. On September 15, BTIG maintained its Buy rating on AppLovin Corp (NASDAQ:APP) and boosted its price target from $547 to $664. The firm stated that the main reason for the higher target was the expansion of non-gaming revenue potential. Analyst Clark Lampen predicted non-gaming revenue for the fourth quarter of 2025 to reach $531 million, up from an earlier projection of $369 million.
BTIG updated its 2026 non-gaming revenue forecast to $2.580 billion from its initial $2.129 billion estimate. The firm expects quarter-over-quarter growth from Q4 2025 as new marketing cohorts join and progressively raise expenditure.
The firm said that, with referral-based onboarding expected to begin in less than a month, its adjusted predictions take into account seasonality, foreign reach growth, and referral program benefits.
AppLovin Corp (NASDAQ:APP) is a US-based mobile technology company that connects app developers with advertisers, delivering a suite of tools and services to enable developers monetise their apps through advertising.
8. Eli Lilly and Company (NYSE:LLY)
5-Year Revenue Growth Rate: 15.08%
Number of Hedge Fund Holders: 119
Eli Lilly & Company (NYSE:LLY) ranks among the best fundamental stocks to buy right now. Eli Lilly & Company (NYSE:LLY) revealed plans on September 16 to build a $5 billion manufacturing facility in Goochland County, Virginia. This is the first of four new U.S. production locations that Eli Lilly & Company (NYSE:LLY) hopes to reveal this year.
The facility will be Eli Lilly’s first fully integrated facility for active pharmaceutical ingredients and therapeutic products specifically designed for the company’s monoclonal antibody portfolio and bioconjugate platform.
The project is estimated to generate 1,800 construction jobs and 650 permanent manufacturing jobs. The effort is a component of Eli Lilly’s $50 billion commitment to capital expansion in the United States since 2020.
Eli Lilly & Company (NYSE:LLY) is a major global pharmaceutical company that develops, manufactures, and distributes a wide range of drugs. Founded in 1876, it has grown to become one of the world’s largest pharmaceutical companies.
7. Salesforce, Inc. (NYSE:CRM)
5-Year Revenue Growth Rate: 17.25%
Number of Hedge Fund Holders: 121
Salesforce, Inc. (NYSE:CRM) ranks among the best fundamental stocks to buy right now. Salesforce, Inc. (NYSE:CRM) presented a strategy vision focused on business transformation and AI integration at the Goldman Sachs Communicopia + Technology Conference 2025 on September 9. Salesforce CEO Marc Benioff spoke about the company’s goals of employing AI-driven solutions to increase customer satisfaction and profitability.
Salesforce, Inc. (NYSE:CRM) is evolving into a “agentic enterprise,” combining human workers and artificial intelligence. With the assistance of 4,000 human agents, Salesforce, Inc. (NYSE:CRM) utilized AI agents to process 1.5 million conversations over the previous nine months.
In addition, the company is building its Data Cloud and investing in data strategy, forming alliances with giants like Snowflake and Databricks.
Salesforce, Inc. (NYSE:CRM) is a cloud-based software company focused on customer relationship management. The company provides a number of custom software and solutions for various applications, such as analytics, marketing automation, and sales.
6. JPMorgan Chase & Co. (NYSE:JPM)
5-Year Revenue Growth Rate: 14.80%
Number of Hedge Fund Holders: 124
JPMorgan Chase & Co. (NYSE:JPM) ranks among the best fundamental stocks to buy right now. Morgan Stanley reaffirmed its Equalweight rating and $298 price target for JPMorgan Chase & Co. (NYSE:JPM) on September 15, emphasizing the bank’s leading position in global payments. The affirmation comes after Morgan Stanley met with Umar Farooq, Co-Head of Global Payments at JPMorgan, whose division is part of the Commercial and Investment Bank business.
With over $10 trillion in average daily transaction values through its Treasury Services business, the bank is currently the largest correspondent bank in the world, accounting for 9.5% of the global payments market and 32% of U.S. large-cap banks.
According to Morgan Stanley, as of April 16, 2025, JPMorgan’s customer base comprises all 20 of the largest companies in the world by market capitalization, and the bank continues to hold the top spot in the US dollar SWIFT market share.
JPMorgan Chase & Co. (NYSE:JPM) is a multinational financial services company that offers investment banking in addition to consumer and small business financial services. It also offers commercial banking, asset management, and financial transaction processing.
5. Netflix Inc. (NASDAQ:NFLX)
5-Year Revenue Growth Rate: 36.85%
Number of Hedge Fund Holders: 133
Netflix Inc. (NASDAQ:NFLX) ranks among the best fundamental stocks to buy right now. On September 15, Bernstein addressed concerns regarding Netflix Inc. (NASDAQ:NFLX)’s content licensing contracts while maintaining its Outperform rating and $1,390 price target for the streaming giant. The reaffirmation comes amid questions around Netflix’s dependence on Paramount and Warner Bros. Discovery content in the wake of rumors that Paramount Global may buy Warner Bros. Discovery.
The firm came to the view that it is “not overly concerned about the potential impact on Netflix’s content slate” that the possible acquisition of Warner Bros. Discovery may have.
According to Bernstein, Netflix Inc. (NASDAQ:NFLX) “has options and sufficient time to mitigate the effect” of such changes, even if a combined firm drastically cut content licensing to the company.
Netflix Inc. (NASDAQ:NFLX) is a well-known global streaming platform that provides limitless access to a vast collection of films, TV series, and video games on devices with internet connections.
4. Alphabet Inc. (NASDAQ:GOOGL)
5-Year Revenue Growth Rate: 26.76%
Number of Hedge Fund Holders: 219
Alphabet Inc. (NASDAQ:GOOGL) ranks among the best fundamental stocks to buy right now. On September 12, Alphabet Inc. (NASDAQ:GOOGL)’s Google Cloud won a £400 million contract to provide a sovereign cloud capability for the United Kingdom Ministry of Defence (MOD). The endeavor will offer a safe cloud platform for innovation while preserving improved data controls for the MOD.
In line with the ministry’s Strategic Defense Review, the collaboration encourages the use of cutting-edge cloud infrastructure for enhanced capabilities as well as secure information processing, including AI and cybersecurity. Google Cloud has already generated millions of pounds as a result of the contract, will employ specialists in the UK to oversee the technology.
Alphabet Inc. (NASDAQ:GOOGL) is a leading tech giant with a diverse portfolio, offering services such as Google Ads, Google Chrome, Google Cloud, Search, and YouTube.
3. Meta Platforms, Inc. (NASDAQ:META)
5-Year Revenue Growth Rate: 18.40%
Number of Hedge Fund Holders: 260
Meta Platforms, Inc. (NASDAQ:META) ranks among the best fundamental stocks to buy right now. On September 9, Meta Platforms, Inc. (NASDAQ:META) became the central draw at the Goldman Sachs Communicopia + Technology Conference 2025. A strategic picture of Meta’s future was provided at the conference, which highlighted both possible obstacles and encouraging developments.
The company has continuously surpassed the digital advertising sector owing to advancements in AI. In that regard, Meta Platforms, Inc. (NASDAQ:META) stressed that investments in AI and superintelligence remain essential to the company’s long-term growth plan.
With the company’s Andromeda and GEM systems driving ad retrieval and ranking, user engagement on Facebook and Instagram has also improved due to advancements in sorting and suggestions.
Meta Platforms, Inc. (NASDAQ:META) is a renowned technology company known primarily for its flagship platforms Facebook, Instagram, and WhatsApp, as well as its revolutionary advances in augmented reality (AR) and virtual reality (VR).
2. Microsoft Corporation (NASDAQ:MSFT)
5-Year Revenue Growth Rate: 14.52%
Number of Hedge Fund Holders: 294
Microsoft Corporation (NASDAQ:MSFT) ranks among the best fundamental stocks to buy right now. Despite its recent decline, Evercore ISI analysts maintained their Outperform rating and $625 target price for Microsoft Corporation (NASDAQ:MSFT) on September 8. The analysts believes the stock is still well-positioned for long-term growth.
Citing discussions with investors and Microsoft’s investor relations team, Evercore analysts stated, “On a fundamental basis, we don’t see much to justify the recent underperformance.”
The need for generative AI workloads and steady enterprise trends, the firm states, drove Azure cloud’s 39% growth in the most recent quarter. With that in mind, the mid-30% increase in fiscal 2026 seems feasible.
According to Evercore, Microsoft’s bullish outlook is supported by its capacity to commercialize AI across the infrastructure and application layers over the course of the next three to five years.
Microsoft Corporation (NASDAQ:MSFT) is a leading technology company known for its core software products, which include the Windows OS, Microsoft 365 suite, and Edge browser. Its product portfolio includes corporate software, software development tools, video games, gaming gear, and cloud services.
1. Amazon.com, Inc. (NASDAQ:AMZN)
5-Year Revenue Growth Rate: 17.86%
Number of Hedge Fund Holders: 335
Amazon.com, Inc. (NASDAQ:AMZN) ranks among the best fundamental stocks to buy right now. Morgan Stanley reaffirmed its Overweight rating and $300 price target for Amazon.com, Inc. (NASDAQ:AMZN) on September 10, pointing to the company’s entry into the fresh grocery sector. According to Morgan Stanley, Amazon’s U.S. gross merchandise value may increase by about 120 basis points for every 1% of the market share it gains in this area.
Morgan Stanley states that Amazon.com, Inc. (NASDAQ:AMZN) has already established the logistics infrastructure required to enable its grocery growth. The firm also highlights how the fresh food initiative is positioned favorably by higher produce margins and minimum $25 basket criteria.
According to the firm’s analysis, Amazon’s fresh grocery sector is expected to be successful and contribute to the company’s earnings before interest and taxes (EBIT) dollar upside.
Amazon.com, Inc. (NASDAQ:AMZN) is a dominant American multinational technology company that operates in several industries, including e-commerce, cloud computing via Amazon Web Services (AWS), online advertising, digital streaming, and artificial intelligence.
While we acknowledge the potential of AMZN 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 AMZN and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds.
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
