In this article, we will take a detailed look at 12 Best Multibagger Stocks to Buy in 2025.
In the world of investing, the term “multibagger” refers to stocks that have the potential to deliver returns several times greater than the original investment. One key factor that can help identify potential multibaggers is momentum. Momentum investing focuses on capitalizing on the continuation of existing market trends. Investors using this strategy look for stocks that are experiencing upward price movements, often driven by strong earnings reports, positive news, industry tailwinds, or overall market sentiment. The idea is simple: “the trend is your friend,” and momentum can be a powerful force in identifying winners before they peak. The importance of momentum has been recognized by famous investors, but many of them emphasized the idea that it is crucial to catch momentum stocks early on. As Warren Buffett put it – “What the wise do in the beginning, fools do in the end”.
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The US market is close to entering a correction mode as the absolute magnitude of decline since the mid-February peak is approaching 10%. The current policies of the new US administration, such as tariffs, federal jobs cuts and cuts in some large-scale public projects, are causing havoc among investors as many are fearing a scenario in which the US economy enters stagflation – a period of high inflation among weak economic growth and unemployment. Some analysts have pointed out that sectors reliant on government contracts, such as infrastructure and defense, are already experiencing heightened volatility as a result of these policy shifts. In a recent interview with Maria Bartiromo on Fox News, the President himself refused to rule out a recession in the current year and claimed that the economy is in “a period of transition” and that tariffs might fuel inflation at some point. With consumer confidence showing early signs of weakening, as signaled by recent business surveys, some economists argue that the Federal Reserve may be forced to intervene sooner than expected to stabilize the markets. This idea was already supported by the President, who at some point expressed the opinion that interest rates in the US economy are higher than they should be.
The aforementioned developments have caused a market selloff, particularly in previously high-momentum stocks such as the Magnificent 8, which have benefited from the AI megatrend and were responsible for most of the market returns last year. Prior to that, many previously well-performing stocks, such as government contractors, had already lost their momentum following the election results, while some of the few well-performing healthcare stocks were hit by Medicare/Medicaid reimbursement threats. Likewise, the energy sector remained somewhat out of favor – despite volume tailwinds from Trump 2.0, the expectation of lower oil prices amid a weaker economy has put downward pressure on stock prices in the sector. The key takeaway for investors is that one should look for multibaggers that haven’t yet lost their momentum during the market dip in the last month. These are often lower-capitalization companies that are underfollowed by analysts and operate in high-growth markets.
A trader cheers his market gains. Photo by Tima Miroshnichenko on Pexels
Our Methodology
To compile our list of multibagger stocks, we used Finviz to filter the companies that have delivered at least 200% stock price return in the last twelve months. Then we compare the list with our proprietary database of hedge funds ownership as of Q4 2024 and include in the article the top 12 names with the highest number of hedge funds that own the stock.
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. Innodata Inc. (NASDAQ:INOD)
Number of Hedge Fund Holders: 15
Stock Price Return in the last twelve months: 522%
Innodata Inc. (NASDAQ:INOD) is a data engineering and AI company that provides digital transformation solutions for enterprises. It specializes in AI model training, data annotation and knowledge management, serving industries such as technology, finance, healthcare, and publishing. INOD’s services include data preparation, machine learning model development, and content digitization, helping businesses leverage AI for automation and analytics. The company operates globally, delivering scalable data solutions to support AI-driven applications.
Innodata Inc. (NASDAQ:INOD) delivered exceptional Q4 2024 results with revenue reaching $59.2 million, representing a 127% YoY increase. For the full year 2024, the company achieved revenue of $170.5 million, marking a 96% increase over 2023. The company demonstrated strong profitability with Q4 adjusted EBITDA of $14.1 million (23.9% of revenue) and full year adjusted EBITDA of $34.6 million (20.3% of revenue). The company’s financial position strengthened significantly, ending the year with $46.9 million in cash, up from $13.8 million at the end of 2023, while maintaining an undrawn $30 million credit facility.
Looking ahead, Innodata Inc. (NASDAQ:INOD) has forecasted 40% or more revenue growth for 2025, building on their momentum with big tech customers. The company’s largest customer relationship expanded to approximately $135 million in annualized run rate revenue, while revenues from seven other big tech customers grew by 159% sequentially. INOD is strategically positioning itself in the growing AI services market, particularly focusing on providing data engineering services for generative AI frontier models to big tech companies and enterprises. Management plans to reinvest in the business through 2025 while aiming to exceed 2024’s adjusted EBITDA, focusing investments primarily on expanding technology, product development, operations, and sales capabilities. With a 522% stock price return in the last twelve months, INOD is one of the best multibagger stocks to buy in 2025.
11. Root, Inc. (NASDAQ:ROOT)
Number of Hedge Fund Holders: 16
Stock Price Return in the last twelve months: 224%
Root, Inc. (NASDAQ:ROOT) is a technology-driven insurance company that uses data science and telematics to offer personalized auto, home, and renters insurance. It leverages mobile app-based driving behavior analysis to determine premiums, aiming to provide fairer pricing based on individual risk rather than traditional demographic factors. ROOT operates primarily in the US, selling policies directly to consumers through its digital platform. The company focuses on automation, AI-driven underwriting, and customer-centric technology to streamline the insurance process.
The year 2024 was a landmark for Root, Inc. (NASDAQ:ROOT), as the company marked its first full year of net income profitability with GAAP net income of $31 million and adjusted EBITDA of $112 million. ROOT achieved impressive operational metrics, including a gross combined ratio of 95% on $1.3 billion of gross premiums written, while growing policies in force by 21% YoY to more than 414,000. The company’s underwriting performance remained strong with a gross loss ratio of 59%, which the company believes is best-in-class. The company made significant strides in expanding its distribution channels, with partnership channel new writings more than doubling in 2024 and representing approximately one-third of overall new business in the fourth quarter.
Root, Inc. (NASDAQ:ROOT)’s technological advantage was demonstrated through its proprietary tech stack that enables seamless integration with partner platforms and its ability to maintain nimble pricing strategies. The company’s improved performance led to a reduction in run-rate interest expense by more than 50% and significantly reduced reinsurance costs. Looking ahead, management plans to continue its growth trajectory through national expansion, having recently launched in Minnesota and now reaching 76% of the US population. The company maintains a focus on disciplined underwriting while planning to reduce rates in select states due to favorable loss ratio trends, aiming to offer better savings to their best drivers. With a 224% stock price return in the last year, ROOT is one of the best multibagger stocks to buy in 2025.
10. Rigetti Computing, Inc. (NASDAQ:RGTI)
Number of Hedge Fund Holders: 17
Stock Price Return in the last twelve months: 338%
Rigetti Computing, Inc. (NASDAQ:RGTI) is a quantum computing company that designs and develops superconducting quantum processors and cloud-based quantum computing services. It provides access to its quantum computing platform through its Quantum Cloud Services (QCS), allowing researchers, businesses, and government agencies to run quantum algorithms. RGTI integrates quantum hardware with classical computing infrastructure to enable hybrid quantum-classical computing solutions. The company serves industries such as finance, healthcare, materials science, and machine learning, aiming to advance practical applications of quantum technology.
Rigetti Computing, Inc. (NASDAQ:RGTI) has entered into a strategic collaboration agreement with Quanta Computer Inc., a Taiwan-based Global Fortune 500 company, with both companies committing to invest more than $100 million each over the next 5 years to accelerate quantum computing development. Additionally, Quanta will invest $35 million to purchase RGTI common stock, pending regulatory clearance. On the technology front, RGTI launched its 84-qubit Ankaa-3 system in December 2024, achieving significant milestones with 99.0% median iSWAP gate fidelity and demonstrating 99.5% median fidelity with fSim gates. The company made notable progress in sales, securing Novera QPU sales to Montana State University and the UK government in the fourth quarter.
Financially, Rigetti Computing, Inc. (NASDAQ:RGTI) ended the recent Q4 with $217.2 million in cash, which they believe should be sufficient to meet anticipated operating needs for at least the next 3 years. Looking ahead, management remains confident in their plans to scale to 100-plus qubits by the end of the year with a targeted 2x reduction in error rates from the end of 2024 levels. The company believes that superconducting qubits are the winning modality for quantum computers given their fast speeds and scalability. With a 338% stock price return in the last twelve months, RGTI is one of the best multibagger stocks to buy in 2025.
9. Sezzle Inc. (NASDAQ:SEZL)
Number of Hedge Fund Holders: 19
Stock Price Return in the last twelve months: 300%
Sezzle Inc. (NASDAQ:SEZL) is a financial technology company that provides buy-now, pay-later services, allowing consumers to split purchases into interest-free installments. It partners with merchants across various industries, including retail, electronics, and fashion, to offer flexible payment solutions at checkout. SEZL’s platform includes features like credit-building programs and budgeting tools to help users manage spending. The company operates primarily in the US and Canada, facilitating transactions through its mobile app and online integrations.
Sezzle Inc. (NASDAQ:SEZL) delivered exceptional financial performance in Q4 2024, with revenue growing more than 100% YoY during the holiday season. The company’s net income increased more than 10-fold compared to 2023 on top-line growth that outpaced the industry. The WebBank partnership launched in September 2024 proved successful, enabling the introduction of the On-Demand product and fee unification across states. Monthly On-Demand & Subscriber users reached 707,000 by December, representing a 130% YoY increase. The company signed three enterprise-level merchants – Backcountry, Bealls, and Rural King – with GMVs ranging from approximately $700 million to over $1.5 billion.
Looking forward to 2025, Sezzle Inc. (NASDAQ:SEZL) anticipates double-digit revenue growth with pretax net income rising at least 55% compared to 2024. The company’s focus remains on maximizing the On-Demand launch and improving shopping experience and engagement in their app. For 2025, the principal loss rate is expected to be in the range of 2.5% to 3% as the company continues to prioritize growth. With a 300% stock price return in the last year, SEZL is one of the best multibagger stocks to buy in 2025.
8. Clover Health Investments, Corp. (NASDAQ:CLOV)
Number of Hedge Fund Holders: 21
Stock Price Return in the last twelve months: 353%
Clover Health Investments, Corp. (NASDAQ:CLOV) is a healthcare technology company that provides Medicare Advantage insurance plans. It leverages its proprietary Clover Assistant platform, an AI-driven software designed to improve clinical decision-making and patient outcomes. The company serves Medicare-eligible individuals, offering plans with low costs and broad provider networks. CLOV operates primarily in the United States, focusing on data-driven healthcare management to enhance efficiency and preventative care.
The year 2024 was pivotal for Clover Health Investments, Corp. (NASDAQ:CLOV), marked by achieving meaningful full year adjusted EBITDA profitability and strong membership growth. The company surpassed 100,000 Medicare Advantage members with a 27% YoY growth and achieved a 95% AEP retention rate. The company strengthened its star ratings with over 95% of members now in 4-star rated PPO plans for the 2025 star rating year, which will positively impact financials in 2026. CLOV successfully launched Counterpart Health, its software business housing Clover Assistant for third-party partnerships, signing and implementing its first external partners.
For 2025, Clover Health Investments, Corp. (NASDAQ:CLOV) expects revenue between $1.8 billion and $1.875 billion, reflecting 37% YoY growth at the midpoint, with Medicare Advantage membership projected to grow 30%. The company’s technology-first care model has demonstrated strong results, with Clover Assistant delivering over 1,000 basis points of MCR improvement for returning MA members whose PCPs use CA compared to those who do not. Looking ahead to 2026, CLOV is positioned for accelerated profitability due to its 4-star payment status, maturing member cohort economics, and increased impact of cost efficiency programs. With a 353% stock price return in the last twelve months, CLOV is one of the best multibagger stocks to buy in 2025.
7. AST SpaceMobile, Inc. (NASDAQ:ASTS)
Number of Hedge Fund Holders: 22
Stock Price Return in the last twelve months: 918%
AST SpaceMobile, Inc. (NASDAQ:ASTS) is a satellite communications company developing the first space-based cellular broadband network. Its technology is designed to provide direct connectivity between standard mobile phones and satellites, enabling global coverage without the need for ground-based cell towers. The company aims to serve consumers, businesses, and government entities, particularly in remote and underserved areas. ASTS partners with major mobile network operators to integrate its satellite network with existing telecommunications infrastructure. The Texas-based company ranked second on our recent list of 10 VLEO Technology Stocks and Startups to Watch in 2025.
AST SpaceMobile, Inc. (NASDAQ:ASTS) has made significant progress in building the first and only global cellular broadband network in space to operate directly with everyday unmodified mobile devices. The company has secured agreements with approximately 50 mobile network operators globally, representing nearly 3 billion existing subscribers worldwide. It also completed a $460 million convertible senior note offering, resulting in nearly $1 billion in cash on their balance sheet.
AST SpaceMobile, Inc. (NASDAQ:ASTS) has accelerated its manufacturing plans, with production of 40 Block 2 global satellites underway and additional components for over 50 satellites in progress. The company has expanded its global manufacturing footprint to approximately 194,000 square feet in Midland, Texas, 59,000 square feet in Barcelona, Spain, and plans for 85,000 additional square feet in Homestead, Florida. Their technology has demonstrated capacity to deliver voice, data, video calls and other native cellular broadband capabilities, with successful video calls completed by partners AT&T, Verizon and Vodafone over their in-orbit network.
AST SpaceMobile, Inc. (NASDAQ:ASTS) has secured fully contracted launch capacity for approximately 60 satellites during 2025 and 2026, which will enable continued service in the US, Europe, and Japan and selected markets. Additionally, ASTS recently secured a $43 million contract with the US Space Development Agency, marking their fifth contract with the US government. ASTS delivered a 918% stock price return in the last year and is thus one of the best multibagger stocks to buy in 2025.
6. Summit Therapeutics Inc. (NASDAQ:SMMT)
Number of Hedge Fund Holders: 25
Stock Price Return in the last twelve months: 306%
Summit Therapeutics Inc. (NASDAQ:SMMT) is a biopharmaceutical company focused on developing innovative medicines for infectious diseases and oncology. Its pipeline includes targeted therapies designed to address antibiotic-resistant bacterial infections and novel cancer treatments. The company collaborates with research institutions and industry partners to advance its drug candidates through clinical development. SMMT operates primarily in the United States and international markets, working to bring new treatment options to patients with unmet medical needs.
Summit Therapeutics Inc. (NASDAQ:SMMT) has made significant progress with its lead investigational asset – Ivonescimab – reaching several meaningful milestones in Q4 2024 and early 2025. The company announced a clinical trial collaboration with Pfizer to evaluate Ivonescimab in combination with multiple Pfizer antibody drug conjugates in unique solid tumor settings, with trials expected to start by mid-2025. SMMT completed enrollment in HARMONi, their global Phase III trial for EGFR mutated advanced non-small cell lung cancer patients, and received Fast Track designation, with top line data expected in mid-2025.
Summit Therapeutics Inc. (NASDAQ:SMMT) expanded its HARMONi-3 trial to include both squamous and non-squamous histologies, significantly increasing the addressable patient population by 2-3x. More than 2,300 patients have been treated with Ivonescimab in clinical trials since 2019, and the drug was featured in 14 publications across 7 tumor types and selected for 5 oral presentations at major medical conferences in 2024. Currently, between SMMT and its partner Akeso, 4 Phase III trials have completed enrollment, 2 are awaiting top line data, and 5 Phase III trials are ongoing across various cancer types. The company ended 2024 with a strong cash position of approximately $412 million and is debt-free, positioning it well to continue executing its clinical trials. With a stock price return of 306% in the last year, SMMT is one of the best multibagger stocks to buy in 2025.
5. CommScope Holding Company, Inc. (NASDAQ:COMM)
Number of Hedge Fund Holders: 32
Stock Price Return in the last twelve months: 248%
CommScope Holding Company, Inc. (NASDAQ:COMM) is a global network infrastructure provider that designs and manufactures communication solutions for wired and wireless networks. Its product portfolio includes fiber optic and copper cabling, antennas, broadband access solutions, and enterprise networking equipment. The company serves telecommunications providers, data centers, enterprises, and government entities, supporting broadband, 5G, and indoor and outdoor connectivity. COMM operates worldwide, delivering networking solutions that enable high-speed data transmission and communications infrastructure.
CommScope Holding Company, Inc. (NASDAQ:COMM) delivered strong Q4 results with core net sales of $1.17 billion, representing a 27% YoY increase, and core adjusted EBITDA of $240 million, showing a 69% YoY increase. The company achieved one of its highest core adjusted EBITDA margins since the ARRIS acquisition at 20.6%. For the full year 2024, COMM delivered net sales of $4.21 billion, though this represented an 8% decrease from the prior year. Looking ahead to 2025, the company projects core adjusted EBITDA in the range of $1.0 billion to $1.05 billion. The company significantly improved its financial position by completing a debt refinancing and selling its OWN and DAS businesses to Amphenol for $2.1 billion, using the proceeds to repay approximately $2 billion of debt.
The data center business of CommScope Holding Company, Inc. (NASDAQ:COMM) showed particularly strong performance, with the enterprise fiber business growing 73% in 2024 and representing 22% of CCS revenue. Third-party market analysis indicates 30-plus percent annual revenue growth expected over the next few years in the data center business. The company is investing in new capacity expansion that will deliver an additional $300 million of revenue at full capacity. In the ANS segment, meaningful shipments of FDX nodes to Comcast began in Q4, with expectations for significant ramp-up in 2025, marking the beginning of a multiyear upgrade cycle. With a stock price return of 248% in the last twelve months, COMM is one of the best multibagger stocks to buy in 2025.
4. GeneDx Holdings Corp. (NASDAQ:WGS)
Number of Hedge Fund Holders: 32
Stock Price Return in the last twelve months: 909%
GeneDx Holdings Corp. (NASDAQ:WGS) is a genomics company that specializes in genetic testing and diagnostics for rare diseases and inherited conditions. It offers comprehensive genomic sequencing services, including whole genome sequencing, exome sequencing, and gene panel testing, to help identify genetic mutations and support personalized medicine. WGS primarily serves healthcare providers, clinicians, and research institutions, helping improve patient care through advanced genetic insights. The company focuses on expanding its diagnostic offerings to accelerate the understanding and treatment of genetic disorders.
GeneDx Holdings Corp. (NASDAQ:WGS) delivered exceptional Q4 results with revenues exceeding $95 million and gross margins expanding to 70%. The company’s exome and genome revenues grew significantly, showing a 101% YoY increase and 31% sequential growth, contributing $78.8 million in Q4. The company has set guidance for 2025 with expected revenues between $350 million and $360 million, projecting at least 30% growth in exome and genome volume and revenue. WGS has cemented its position as the market leader in exome and genome testing, with 8 out of 10 clinicians choosing their services for exome testing. The company’s data asset, comprising more than 750,000 exomes and genomes, provides a competitive advantage by enabling novel gene disease connections and ensuring high clinical utility.
In terms of operational improvements, GeneDx Holdings Corp. (NASDAQ:WGS) achieved an average reimbursement rate of approximately $3,500 for exome and genome after all denials in Q4, up from $3,100 last quarter and $2,500 in the same quarter last year. The company has launched its ultraRapid Whole Genome Sequencing product, which delivers results in as soon as 48 hours, demonstrating continued innovation in lab operations. Looking ahead, management plans to focus on expanding into the NICU market, developing new patient access channels, and strategically targeting opportunities outside the US. With a stock price return of 909% in the last twelve months, WGS is one of the best multibagger stocks to buy in 2025.
3. Rocket Lab USA, Inc. (NASDAQ:RKLB)
Number of Hedge Fund Holders: 37
Stock Price Return in the last twelve months: 298%
Rocket Lab USA, Inc. (NASDAQ:RKLB) is an aerospace company that designs, manufactures, and launches small satellites into space. Its primary offerings include the Electron rocket, which is designed for small satellite launches, and the Photon satellite platform, which provides end-to-end satellite solutions. RKLB serves commercial, government, and defense customers by providing cost-effective, reliable, and flexible space launch services. The company operates globally, focusing on expanding its launch capabilities and advancing space technologies for various applications, including communication, Earth observation, and scientific research.
Rocket Lab USA, Inc. (NASDAQ:RKLB) achieved its highest annual revenue to date of $436 million in 2024, representing a 78% increase from the previous year. The company demonstrated strong performance with Q4 2024 revenue of $132 million, showing significant YoY growth of 121%. The Launch Services segment delivered $125.4 million in revenue for the full year, increasing 74% YoY, while Space Systems generated $310.8 million, growing 80% YoY. The company maintained its position as the leading small launch provider globally and the second most frequently launched US rocket annually, with 16 successful launches across Electron and HASTE platforms in 2024.
Rocket Lab USA, Inc. (NASDAQ:RKLB) strengthened its backlog to over $1 billion after signing more than $450 million in new contracts across launch and space systems in 2024. The company made significant progress on Neutron development, with launch planned for the second half of 2025, and introduced Flatellite, a new low-cost, mass-producible satellite tailored for large constellations. The company’s backlog shows a roughly 50-50 split between government and commercial customers, though many commercial customers ultimately cater to US government needs, making the effective government exposure closer to 80%. Looking ahead, management expects to execute more than 20 missions in 2025 across Electron and HASTE platforms, while continuing to scale its Space Systems business and advance toward completing its vision of becoming an end-to-end space company. With a 298% stock price return in the last year, RKLB is one of the best multibagger stocks to buy in 2025.
2. Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 64
Stock Price Return in the last twelve months: 216%
Palantir Technologies Inc. (NASDAQ:PLTR) is a data analytics company that develops software platforms for data integration, analysis, and decision-making. Its products, Palantir Foundry and Palantir Gotham, are used by organizations in sectors such as government, healthcare, finance, and energy to manage, analyze, and derive insights from large, complex datasets. PLTR’s technology supports a wide range of applications, including national security, fraud detection, and supply chain optimization. The company focuses on providing solutions that help clients make data-driven decisions and improve operational efficiency. The US-based company ranked sixth on our recent list of 10 Best Growth Stocks Under $100 to Buy Now.
Palantir Technologies Inc. (NASDAQ:PLTR) posted impressive Q4 2024 results, with revenue rising 36% YoY and 14% sequentially to $828 million. The company’s US business showed exceptional performance, with US commercial revenue growing 64% YoY and US government revenue increasing 45% YoY in Q4. PLTR secured a record number of deals during the quarter, including 32 deals valued at $10 million or more, with a total TCV of $1.8 billion, marking a 56% YoY increase. The company’s AI Platform (AIP) continues to be a key driver of new customer acquisition, with PLTR now having almost five times the number of US commercial customers compared to three years ago.
Palantir Technologies Inc. (NASDAQ:PLTR) reported robust profitability, with an adjusted operating margin of 45%, the highest in the company’s history, and a Rule of 40 score rising to 81 in Q4. Looking ahead, management is projecting a full-year 2025 revenue midpoint of $3.749 billion, reflecting a 31% YoY growth rate. The company’s success is largely attributed to its Ontology-based approach to AI implementation, which enables organizations to seamlessly incorporate LLMs into their operations. With a 216% stock price return over the last twelve months, PLTR is one of the best multibagger stocks to buy in 2025.
1. AppLovin Corporation (NASDAQ:APP)
Number of Hedge Fund Holders: 95
Stock Price Return in the last twelve months: 320%
AppLovin Corporation (NASDAQ:APP) is a mobile app technology company that provides a platform for app developers to market, monetize, and analyze their applications. Its services include user acquisition, advertising solutions, and analytics tools designed to help developers grow their businesses and maximize revenue. APP’s platform supports a wide range of mobile apps across gaming, entertainment, and other industries, using machine learning and data analytics to optimize ad campaigns. The company operates globally, connecting advertisers and developers to improve the mobile advertising ecosystem. The California-based company ranked first on our recent list of 10 Hot AI Stocks to Buy Now.
AppLovin Corporation (NASDAQ:APP) has demonstrated extraordinary growth inflection over the past 2 years, driven by their differentiated culture and focus on building a team of entrepreneurial doers. The company expects 20-30% long-term growth in their core gaming ads business, supported by reinforcement learning driving 5% growth per quarter and directed model enhancements contributing at least 10% annual growth. APP is expanding beyond gaming into e-commerce advertising, with early tests showing exceptional results, marking it as their best and fastest-growing product release ever.
AppLovin Corporation (NASDAQ:APP) maintains a highly efficient operating model, achieving approximately 90% flow-through from revenue to EBITDA over the past 4-6 quarters, with expectations for margin improvement. Their strategy emphasizes automation and AI implementation rather than headcount expansion, with plans to actually reduce employee count while growing revenue. The company continues to prioritize share repurchases as the primary use of their substantial free cash flow, with a current $2.3 billion authorization. Looking ahead, APP aims to expand beyond being a niche gaming market player to creating broader digital economies, similar to how major tech companies have built their businesses.
Overall AppLovin Corporation (NASDAQ:APP) ranks first on our list of the 12 best multibagger stocks to buy in 2025. While we acknowledge the potential of APP as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than APP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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