In this article, we explore the 13 Best Performing NASDAQ Stocks According to Hedge Funds.
Nasdaq is the second-largest stock market in the world by market capitalization. It lists some of the most well-known tech and growth companies globally. According to its CEO, Adena Friedman, the market is having a great year so far. In her own words, the stock market welcomed a large number of new companies in the first half of 2025; the highest since 2021. At the same time, the Nasdaq Composite index has seen record performance much of this year. In fact, the index has outpaced the S&P 500 (a broad market index) by more than 3% on year-to-date performance (as of October 6, 2025).
From Friedman’s perspective, Nasdaq’s impressive performance is the result of strategy, both at the market level and among listed companies. She stated at the 2025 All-In Summit on September 18 that the exchange has focused lots of energy on nurturing innovation through “technology and digital transformation.” Listed companies have also put a lot of emphasis on cloud technology and the rapid adoption of artificial intelligence (AI). Friedman added that private capital and blockchain technology have helped buoy the performance of listed companies, and by extension, that of the exchange.
To a large extent, Friedman’s conviction explains why hedge funds continue to seek exposure to NASDAQ-listed companies. And with that in mind, this article highlights some of the best-performing NASDAQ-listed names that hedge funds are betting on today.
Our Methodology
To identify the 13 Best Performing NASDAQ Stocks According to Hedge Funds, we first used the Finviz stock screener to compile a list of NASDAQ-listed large-cap companies with a year-to-date performance of at least 30% as of October 6, 2025. We then refined the selection by examining hedge fund sentiment, drawing on Q2 2025 13F filings data from Insider Monkey’s database to measure institutional interest. The final list is presented in ascending order based on the number of hedge funds holding each 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).
Best Performing NASDAQ Stocks According to Hedge Funds
13. CoreWeave, Inc. (NASDAQ:CRWV)
Number of Hedge Fund Holders: 29
Market Capitalization: $68.24 billion
Year-To-Date Performance: 247.60%
CoreWeave, Inc. (NASDAQ:CRWV) is one of the best performing NASDAQ stocks according to hedge funds. On October 6, Cantor Fitzgerald maintained its Overweight rating for CoreWeave and kept its $174 price target. The firm continues to be positive on CoreWeave due to its strong momentum, particularly following its partnership with Meta (Facebook’s parent company).
Cantor Fitzgerald noted that Meta will pay CoreWeave up to $14.2 billion through 2031 under a new order linked to their existing Master Services Agreement. Meta may also materially expand its commitment through 2032. On top of the Meta deal, CoreWeave amended its credit agreement, adding a $3.0 billion tranche for equipment and infrastructure spending to support growth initiatives. The company’s backlog now stands at $44.3 billion, not including NVIDIA’s unused capacity agreement.
CoreWeave, Inc. (NASDAQ:CRWV) provides cloud infrastructure optimized for AI, machine learning, and high-performance computing workloads. The company offers GPU and CPU compute resources, storage, networking, and managed services through its CoreWeave Cloud platform. Its solutions support AI model training and inference, visual effects and rendering, and large-scale enterprise compute needs.
12. CrowdStrike Holdings, Inc. (NASDAQ:CRWD)
Number of Hedge Fund Holders: 66
Market Capitalization: $122.94 billion
Year-To-Date Performance: 43.17%
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the best performing NASDAQ stocks according to hedge funds. On October 3, TD Cowen raised its price target for CrowdStrike from $500 to $580, maintaining a Buy rating. One of the factors cited for the decision is CrowdStrike’s record pipeline. Others include growing adoption of CrowdStrike’s Falcon Flex platform (which is seen as contributing to future revenue growth), and strong overall execution; TD Cowen cited that second-half fiscal 2026 targets are “highly achievable.”
TD Cowen also highlighted that recent acquisitions, such as Onum and Pangea, demonstrate CrowdStrike’s ability to transform smaller acquisitions into meaningful annual recurring revenue (ARR) sources within two to three years. The analysts also expect partners and global system integrators (GSIs) to support both short- and medium-term strategic goals, as platform deals increase in average size. TD Cowen is confident in the expanded platform strategy and points to CrowdStrike’s “strong financial position,” with a current ratio of 1.88.
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is an American cybersecurity company. It provides cloud-delivered protection of endpoints, cloud workloads, identities, and data through its subscription-based Falcon platform. The company’s offerings include endpoint and workload security, identity protection, threat intelligence, vulnerability management, and security orchestration and automation.
11. Shopify Inc. (NASDAQ:SHOP)
Number of Hedge Fund Holders: 69
Market Capitalization: $209.43 billion
Year-To-Date Performance: 51.55%
Shopify Inc. (NASDAQ:SHOP) is one of the best performing NASDAQ stocks according to hedge funds. On October 3, Rothschild Redburn lifted its price target for Shopify to $200 from $180 and maintained a Buy rating. The change is linked to Shopify’s partnership with OpenAI’s ChatGPT, which gives Shopify merchants access to a new online sales channel powered by AI. The firm expects ChatGPT to accelerate online sales for “functional retail goods” by acting as a virtual in-store personal advisor, which is comparable to how social media enabled “impulsive spending” online.
The analysts pointed out that, unlike several “Magnificent 7” tech companies, Shopify can monetize AI without large upfront capital spending. As such, AI revenues can contribute directly to free cash flow. For this reason, Rothschild Redburn has increased Shopify’s e-commerce growth rates (a 6–8% rise from 2025 to 2027) and projected market share.
Shopify Inc. (NASDAQ:SHOP) is a Canadian e-commerce technology company. It provides a cloud-based platform that enables merchants of all sizes to start, scale, and manage their businesses across multiple sales channels. Its core offerings include Shopify Payments for integrated payment processing, Shopify Shipping for logistics and fulfillment, and Shopify Capital for merchant financing.
10. Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 78
Market Capitalization: $410.41 billion
Year-To-Date Performance: 128.74%
Palantir Technologies Inc. (NASDAQ:PLTR) is one of the best performing NASDAQ stocks according to hedge funds. On October 3, the company rejected claims that a new battlefield communications system it co-developed with Anduril is flawed. Palantir stated that no vulnerabilities were found in the system and that the concerns were addressed as part of the normal development process. The company said the concerns reflect an “outdated snapshot” of the program. Anduril echoed Palantir’s position, stating that the Army memo was not representative of the current system and that the risks highlighted are typically resolved during development stages.
Palantir and Anduril’s statements are in response to an internal US Army memo in early September that flagged “fundamental security” flaws in the battlefield communications system, dubbed NGC2. Evidence of the memo surfaced early Friday, October 3, 2025. Written by Chief Technology Officer Gabrielle Chiulli, the memo described the NGC2 prototype as a “very high risk.” It warned that adversaries could potentially gain undetectable access to the system.
But Army officials clarified that the memo is part of an ongoing process to “triage cybersecurity vulnerabilities,” and mitigation steps are underway. They added that security gaps are identified early and are a normal part of the development cycle for complex defense technology projects.
Palantir Technologies Inc. (NASDAQ:PLTR) is a US-based software and data analytics company. It builds and deploys platforms that help governments, corporations, and institutions integrate, manage, and analyze large datasets for decision-making. Its core products include Palantir Gotham, Palantir Foundry, Palantir Apollo, and the Artificial Intelligence Platform (AIP).
9. Constellation Energy Corporation (NASDAQ:CEG)
Number of Hedge Fund Holders: 79
Market Capitalization: $112.47 billion
Year-To-Date Performance: 60.92%
Constellation Energy Corporation (NASDAQ:CEG) is one of the best performing NASDAQ stocks according to hedge funds. On October 2, the company announced an agreement with Maryland Governor Wes Moore and several environmental organizations to fund and implement major operational and environmental improvements at the Conowingo Dam on the Susquehanna River. Valued at over $340 million, the agreement covers multiple initiatives designed to improve water quality in the Chesapeake Bay, tackle pollution, restore aquatic habitats, and safeguard renewable energy production.
The company added that this agreement is a revised deal that replaces a previous 2019 settlement. The last agreement stalled because it was challenged by environmental groups and overturned in court in 2022. The new terms respond to concerns about the dam’s contribution to sediment, nutrient pollution, and debris entering the Chesapeake Bay. The agreement also commits to addressing invasive species problems, such as snakeheads and blue catfish that threaten the Chesapeake Bay ecosystem.
The new regulatory framework, including a Revised Water Quality Certification, will be enforced by Maryland and is expected to be incorporated into Constellation’s 50-year operating license for the dam. All parties involved have formally signed the agreement.
Constellation Energy Corporation (NASDAQ:CEG) generates and supplies carbon-free power across major US markets. It operates the nation’s largest fleet of nuclear plants alongside hydro, wind, solar, and natural gas facilities, giving it a leading role in clean energy production.
8. Applied Materials, Inc. (NASDAQ:AMAT)
Number of Hedge Fund Holders: 81
Market Capitalization: $173.29 billion
Year-To-Date Performance: 33.76%
Applied Materials, Inc. (NASDAQ:AMAT) is one of the best performing NASDAQ stocks according to hedge funds. On October 3, Cantor Fitzgerald maintained its Overweight rating on Applied Materials with a $225 price target. The firm stated that Applied Materials addressed the messaging issues (related to China-related concerns) but signaled that the expected financial impact was minor, estimating a 2% effect on fiscal year 2026 revenues. Cantor Fitzgerald slightly lowered its 2026 earnings per share estimate from approximately $11.50 to $11.25.
The firm noted that other equipment companies might face a differentiated impact. For instance, Lam Research may experience less disruption because it already has significant exposure to embargoed Chinese memory makers. On the other hand, ASML is expected to see “‘very limited’ effects” due to less stringent Dutch restrictions. The analysts said China-related regulatory concerns would remain “a key investor focus” at the upcoming SEMICON West conference and during earnings season.
Applied Materials, Inc. (NASDAQ:AMAT) develops and supplies manufacturing equipment, services, and software for the semiconductor, display, and related industries. Its operations span three main segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets.
7. Lam Research Corporation (NASDAQ:LRCX)
Number of Hedge Fund Holders: 85
Market Capitalization: $183.87 billion
Year-To-Date Performance: 101.87%
Lam Research Corporation (NASDAQ:LRCX) is one of the best performing NASDAQ stocks according to hedge funds. On October 2, the company announced a breakthrough in etch technology. The technology is specifically developed for advanced semiconductor packaging, which is crucial for heterogeneous integration and 3D chip architectures.
Lam Research stated that the breakthrough focuses on a new Kiyo etch solution that can process high-bow wafers bonded on glass carriers. This technology addresses challenges posed by warping or bowing of wafers during advanced packaging, enabling reliable and precise etching for complex device structures.
The etch innovation enables manufacturers to achieve tighter interconnect spacing and more reliable through-silicon vias (TSVs). It also enables efficient stacking of dies, supporting the trend toward higher memory density, power efficiency, and faster bandwidth.
Lam Research stated that the new Kiyo etch technology is designed to be compatible with glass carrier wafer processes. These are increasingly adopted for better thermal and mechanical performance in ultra-thin, high-bow silicon wafers.
Lam Research Corporation (NASDAQ:LRCX) designs and manufactures wafer fabrication equipment used in the production of semiconductors. Its systems are critical for etch, deposition, and cleaning processes that enable the creation of advanced integrated circuits. The company’s product portfolio includes plasma etch tools, chemical vapor deposition systems, atomic layer deposition platforms, and wafer cleaning technologies.
6. Coinbase Global, Inc. (NASDAQ:COIN)
Number of Hedge Fund Holders: 87
Market Capitalization: $97.64 billion
Year-To-Date Performance: 53.05%
Coinbase Global, Inc. (NASDAQ:COIN) is one of the best performing NASDAQ stocks according to hedge funds. On October 3, Rothschild Redburn upgraded Coinbase stock from Neutral to Buy and kept the $417 price target. The firm based its decision on Coinbase’s successful revenue diversification.
The analysts noted that Coinbase’s percentage of revenues from retail trading fees dropped from about 90% in 2019–2021 to around 50% in 2025. And while retail transaction fees are expected to remain under pressure, Rothschild Redburn sees growth in retail trading volumes offsetting this pressure.
The analysts also project that institutional trading revenues will rise. This growth will be supported by increased institutional adoption of crypto, Coinbase’s investments in derivatives capabilities (including the acquisition of Deribit), and the company’s strong liquidity (it has a 2.13 current ratio), enabling it to pursue growth strategies.
Rothschild Redburn noted that Subscriptions and Services revenue is now a key growth driver. It grew at an approximate 53% compound annual growth rate (CAGR) from 2021 to 2025 (estimates). And stablecoin revenue, particularly from USDC, is also a major and growing component.
Coinbase Global, Inc. (NASDAQ:COIN) operates one of the world’s largest cryptocurrency exchanges. The company provides a platform for individuals, institutions, and developers to access the digital asset economy. It offers services that include buying, selling, and storing cryptocurrencies, as well as staking, lending, and payment solutions.
5. Micron Technology, Inc. (NASDAQ:MU)
Number of Hedge Fund Holders: 94
Market Capitalization: $210.21 billion
Year-To-Date Performance: 123.18%
Micron Technology, Inc. (NASDAQ:MU) is one of the best performing NASDAQ stocks according to hedge funds. On October 6, Morgan Stanley raised its price target for Micron stock from $160 to $220 and upgraded its rating to Overweight from Equalweight. The firm made this move because of momentum in core dynamic random-access memory (DRAM) pricing, which continues to exceed expectations.
Morgan Stanley noted that industry contacts believe DRAM supply may stay tight for several quarters, with DDR5 spot pricing already up 15% since Micron’s most recent guidance. Server memory (specifically, DDR5 server pricing) is expected to experience double-digit increases in both Q4 and Q1; Morgan Stanley views the current consensus estimates as “likely conservative.”
Micron Technology, Inc. (NASDAQ:MU) designs, develops, and manufactures memory and storage solutions used across data centers, mobile devices, consumer electronics, and automotive systems. Its operations are organized into four segments: Compute and Networking, Mobile, Embedded, and Storage. The company’s product portfolio includes DRAM, NAND flash, and NOR flash technologies.
4. DoorDash, Inc. (NASDAQ:DASH)
Number of Hedge Fund Holders: 100
Market Capitalization: $115.86 billion
Year-To-Date Performance: 61.68%
DoorDash, Inc. (NASDAQ:DASH) is one of the best performing NASDAQ stocks according to hedge funds. On September 30, the company introduced a new hardware solution called SmartScale. DoorDash stated that SmartScale is designed to increase order accuracy in restaurant deliveries by combining precise weighing technology with smart predictive analytics.
The device checks each order’s weight to ensure it matches the expected contents. If there is any discrepancy, the system notifies kitchen staff in real time so mistakes can be corrected before orders leave the restaurant. This solution aims to reduce cases of missing or incorrect items, quicken the process of handing off orders to Dashers (delivery drivers), and improve overall customer satisfaction.
DoorDash said that SmartScale has led to a reduction in missing item claims by as much as 30%. It added that the device is smaller than a cutting board, making it practical for use in busy commercial kitchens.
Panera Bread is the first major national restaurant brand to implement SmartScale for DoorDash orders, drive-thru, and first-party digital orders. It reports the device as easy to use and highly effective in ensuring order accuracy.
DoorDash, Inc. (NASDAQ:DASH) operates a local commerce platform that connects merchants, consumers, and delivery contractors. It manages the DoorDash Marketplace and Wolt Marketplace. It provides DoorDash Drive and Wolt Drive, white-label logistics services that power merchant deliveries, as well as subscription programs such as DashPass and Wolt+. Its main offerings are marketplace delivery services, merchant logistics solutions, and consumer subscriptions.
3. AppLovin Corporation (NASDAQ:APP)
Number of Hedge Fund Holders: 109
Market Capitalization: $230.94 billion
Year-To-Date Performance: 110.84%
AppLovin Corporation (NASDAQ:APP) is one of the best performing NASDAQ stocks according to hedge funds. On October 1, the company rebranded its customer-facing advertising platform as Axon. It launched Axon Ads Manager, a self-service ad management tool, which is initially available on a referral-only basis. Axon is powered by an AI engine that uses predictive analytics, real-time optimization, and continuous feedback to target ads more effectively and deliver measurable results for advertisers.
The platform allows advertisers to set specific goals, and the Axon AI automates campaign optimizations without manual intervention. Axon evaluates user behavior and serves ads to those most likely to engage. The goal is to drive genuine, high-intent interactions like app downloads, purchases, or subscriptions. The engine continuously learns from campaign outcomes, refining targeting on each iteration to achieve better engagement and revenue for advertisers in a feedback loop that improves over time.
Axon’s performance-focused model is being extended from gaming to e-commerce, web, and other sectors. Early results show rapid adoption by hundreds of advertisers, significant increases in advertising spend, and improved revenue attribution compared to other platforms. Axon’s public global launch is planned after an initial feedback period, expected in 2026.
AppLovin Corporation (NASDAQ:APP) develops a software-based platform that supports mobile app marketing, monetization, and distribution. It operates through two segments, Software Platform and Apps. The company’s solutions include AppDiscovery, MAX, Adjust, and Wurl.
2. Broadcom Inc. (NASDAQ:AVGO)
Number of Hedge Fund Holders: 156
Market Capitalization: $1.60 trillion
Year-To-Date Performance: 45.95%
Broadcom Inc. (NASDAQ:AVGO) is one of the best performing NASDAQ stocks according to hedge funds. On October 1, the company announced the achievement of industry-leading quality and readability of Co-Packaged Optics (CPO). Broadcom achieved one million cumulative 400G equivalent port device hours of “flap-free” operation for its CPO technology, specifically in partnership with Meta. The milestone validates the maturity, reliability, and production readiness of Broadcom’s CPO platform for use in next-generation hyperscale data centers supporting AI and cloud infrastructure.
CPO technology achieves a 65% reduction in optics power consumption compared to traditional pluggable module solutions. At the same time, it delivers higher link reliability and bandwidth density by tightly integrating optical engines with switch silicon. Key engineering features underlying this reliability include: advanced thermal management and control systems; proven optical engine packaging with built-in monitoring; robust firmware and link diagnostics; and end-to-end validation across electrical, optical, and mechanical domains.
The company emphasized that CPO is now production-proven and ready to scale beyond research concept to widespread commercial use. As data center switch bandwidth needs exceed 51.2 terabits per second, CPO technology is positioned as a sustainable solution to the power and physical limitations of legacy pluggable optics. It will also be foundational for future AI and cloud networking architectures.
Broadcom Inc. (NASDAQ:AVGO) designs, develops, and supplies semiconductor devices and infrastructure software solutions. It operates through two segments: Semiconductor Solutions and Infrastructure Software. Broadcom’s technologies are used in data centers, networking, broadband, wireless communications, storage, and industrial applications.
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 235
Market Capitalization: $4.56 trillion
Year-To-Date Performance: 39.71%
NVIDIA Corporation (NASDAQ:NVDA) is one of the best performing NASDAQ stocks according to hedge funds. On October 6, Goldman Sachs raised its price target for NVIDIA from $200 to $210, maintaining a Buy recommendation. The upgrade follows NVIDIA’s accelerated growth in AI-related revenues and robust partnerships, particularly with companies like OpenAI and other strategic collaborators.
Goldman Sachs forecasts short-term strength in NVIDIA’s fundamentals, driven by growth both from hyperscalers and traditional clients. The analyst, James Schneider, credits NVIDIA’s investments and collaborations for building “substantial upside” to 2026 estimates. These include infrastructure expansions and unconventional buyers entering the market, and partnerships with OpenAI.
The bank expects the new Blackwell chip rollout and increased hyperscaler spending to further boost market momentum into next year. Its valuation model maintains a P/E multiple of 35x on updated earnings per share (EPS) projections.
However, Analyst Schneider cautioned about “circular revenue” risk, where NVIDIA’s investments in partners (like OpenAI) may loop back as sales, artificially boosting top-line growth. This dual role (supplier and investor) may require investors to look more closely at how much of the demand is driven by outside funding rather than NVIDIA’s own capital.
NVIDIA Corporation (NASDAQ:NVDA) designs and manufactures graphics processing units (GPUs), as well as accelerated computing platforms and networking solutions. It operates through two main segments: Graphics and Compute & Networking. NVIDIA also develops software such as CUDA for parallel computing and Omniverse for 3D simulation and digital twins. Its main offerings are GPUs, AI computing platforms, and software ecosystems that support gaming, data centers, and automotive applications.
While we acknowledge the potential of NVIDIA Corporation (NASDAQ:NVDA) 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 NVDA and that has 100x upside potential, check out our report about the cheapest AI stock.
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