The “Fantastic 40” portfolio, curated by hedge fund manager Philippe Laffont’s Coatue Management LLC, is a select list of 40 companies best positioned to lead in an AI- and technology-driven world. According to Coatue, Fantastic 40 consists of 30 publicly listed companies and 10 companies/assets from the private/crypto domains. Our list of 30 fantastic stocks is based on the publicly listed companies from this portfolio.
To shortlist stocks, Coatue’s team identifies top technology leaders by screening the 150 largest public and private tech firms and ranking them by five-year CAGR across four growth tiers—hypergrowth, growth, compounding, and below-market performance. From this universe, the team excludes firms facing valuation multiple compression, revenue or earnings challenges, or other structural headwinds. This selection methodology thus results in 40 high-quality names with strong and sustainable long-term growth potential.
As per its Q2 2025 13F filings, Coatue Management’s public equities assets under management (AUM) stood at around $35.9 billion.
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Laffont provided an update on the Fantastic 40 on October 16, during which he delved into market performance and addressed whether AI is currently in a bubble. He cited, among other data, the prevailing media discussions and the BofA Merrill Lynch fund manager survey to illustrate the point that the number of people in the investment community who believe AI stocks are in a bubble has increased over the last couple of months.
However, Laffont’s analysis suggests that “not all the long-term investment cycles are bubbles,” and he provides several factors to support this belief. First among them was the colossal adoption of AI despite it being in the early years of its journey. He also notes that while AI-mandated capital expenditures are rising, they are well-funded by operating cash flows. Moreover, despite the strong AI-led rally, valuations are significantly lower than those in the dot-com bubble era (measured by the next twelve-month forward P/E ratio).
In conclusion, Philippe Laffont and Coatue Management’s team remains bullish on AI and believes that the opportunities provided by AI are worth taking the risk.
With that backdrop, let’s explore our list of 30 most fantastic stocks every investor should pay attention to.
Our Methodology
We have compiled our list of 30 most fantastic stocks based on the publicly listed companies from Coatue Management LLC’s Fantastic 40 portfolio. We have ranked these companies in ascending order of their market capitalization as of November 11. Additionally, we included data on hedge fund holdings in these companies as of Q2 2025 to provide further insight into investor interest.
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).
Note: All pricing data is as of market close on November 11, 2025.
30 Most Fantastic Stocks Every Investor Should Pay Attention To
30. Snowflake Inc. (NYSE:SNOW)
Market Cap: $91.9 Billion
Number of Hedge Fund Holders: 100
Snowflake Inc. (NYSE:SNOW) is the first stock on our list of the most fantastic stocks every investor should pay attention to. The company is a leading player in the data infrastructure space and has seen a very strong performance year-to-date (~+76%).
On November 4, Jason Ader, an analyst at William Blair, reaffirmed his Buy rating on the stock without assigning any price target. His affirmation came after the company introduced several advancements at its “Build” Developer Conference 2025, which left the analyst impressed.
Among the prominent highlights noted by Ader was the official full release (general availability) of the company’s Snowflake Intelligence agentic application. The analyst highlighted that innovations like these not only solidify Snowflake Inc.’s (NYSE:SNOW) competitive positioning in the data analytics space but also help it expand its scale and provide the fuel for future growth. Moreover, he noted that the introduction of Snowflake Intelligence has already seen encouraging early adoption.
Ader’s optimistic view is also underpinned by Snowflake Inc.’s (NYSE:SNOW) ambition to become a leader in enterprise data management, and the company’s investments in areas like customizable AI agents appear prudent in that direction.
In another positive development, Snowflake and SAP SE (NYSE:SAP) announced a partnership on November 4, aimed at helping businesses connect and utilize their data more effectively. This collaboration will enable organizations to combine the capabilities of Snowflake’s AI Data Cloud with SAP’s Business Data Cloud (BDC) platforms by integrating them. As part of the deal, Snowflake’s data and AI platform will be offered as a solution extension for SAP BDC customers.
Christian Kleinerman, EVP of Product at Snowflake, believes that this collaboration will help the organizations speed up innovation. He further added:
“By tightly integrating SAP and Snowflake, we’re making it simple for enterprises to connect their critical business data with its rich context in SAP with the power of seamless AI app and data agent development at scale in Snowflake. Enterprises can now innovate faster with Snowflake and SAP BDC and seamlessly share data between the platforms —zero-copy and fully governed.”
Snowflake Inc. (NYSE:SNOW) provides a cloud-based data platform that helps organisations store, manage, and share data across multiple public clouds. Its architecture separates compute from storage, allowing customers to scale workloads as needed.
29. Constellation Energy Corp. (NASDAQ:CEG)
Market Cap: $109.8 Billion
Number of Hedge Fund Holders: 79
Constellation Energy Corp. (NASDAQ:CEG) is among the most fantastic stocks every investor should pay attention to. Following the company’s Q3 results on November 5, Citi analyst Ryan Levine updated his estimates and raised his price target on the company from $337 to $368, according to TheFly. While the analyst reiterated his Neutral call on the stock, he acknowledged the positive trends in nuclear, which are benefiting the company.
Earlier, on November 3, analysts from KeyBanc Capital Markets released a report addressing concerns about a potential oversupply emerging from the recent focus on expanding nuclear energy capacities. According to the analysts, the overall power demand from the U.S. market is enormous, and the recent nuclear projects will only address a small part of it. They believe that the power markets will see capacity increases over a longer period of time and still see Constellation Energy Corp. (NASDAQ:CEG) as one of their top picks, which should benefit from the “electric power super-cycle”.
In their earlier update on October 14, KeyBanc analyst Sophie Karp had reiterated a Buy rating with a price target of $417, which she had raised up from $337 earlier.
Additionally, on October 28, Wells Fargo analyst Shahriar Pourreza initiated coverage on the stock, assigning an Overweight rating and a price target of $478, according to TheFly. As the foundation of the bullish rating, the analyst acknowledged that the company is structurally well-positioned to benefit from the constrained power supply and robust demand in the long term. The stock has seen a strong share price performance, and the analyst predicts both long-term and short-term drivers to support the momentum.
Constellation Energy Corp. (NASDAQ:CEG) is a major producer and supplier of clean electricity in the United States. Its generation portfolio consists of a large fleet of nuclear plants, supported by natural gas, wind, solar, and hydro assets. The company boasts of the largest carbon-free generation fleet in the U.S., and with its owned contracted capacity, it is also the largest electric generation company in the country.
28. Spotify Technology S.A. (NYSE:SPOT)
Market Cap: $131.8 Billion
Number of Hedge Fund Holders: 111
Spotify Technology S.A. (NYSE:SPOT) is among the most fantastic stocks every investor should pay attention to. On November 5, Benjamin Swinburne, a U.S. Media sector analyst at Morgan Stanley, reaffirmed the company’s Buy rating with an unchanged price target of $800, following its Q3 2025 results.
Spotify Technology S.A. (NYSE:SPOT) reported an 11% growth in its monthly active users (MAU) to 713 million, which came in better than the company’s own guidance and the consensus, according to LSEG data. Swinburne notes that faster product upgrades and developments underpin this growth in user adoption. He believes that this innovation-led growth in users and engagement should result in strong, low-to-mid-teens revenue growth in the coming years.
The analyst also appreciated the company’s push into higher-margin verticals and enhancement of its platform capabilities, which, in his view, should support margin expansion. Moreover, Swinburne also added that Spotify’s focus on AI-driven personalization and automation is beginning to translate into improvement in operating leverage.
While we don’t have his updated estimates following the Q3 results, Swinburne had estimated an EBIT compound annual growth rate (CAGR) of around 40% through 2028 in his earlier report on October 21. He also expected that the EBIT in 2028 would exceed street expectations by over 10%, highlighting the analyst’s confidence in the company’s execution.
Meanwhile, on November 4, Spotify Technology S.A. (NYSE:SPOT) reported better-than-expected results, but its Q4 2025 revenue guidance of $4.5 billion and 289 million premium subscribers was modestly below the consensus, according to a report from CNBC. That said, the company guided for an operating profit of €620 million and an addition of 32 million of net new MAUs (to total 745 million) in Q4, which was 1%-2% ahead of street expectations.
The consensus remains strongly positive on the stock, with a 1-year median price target of $760, implying a solid 24% upside.
Spotify Technology S.A. (NYSE:SPOT) is a Swedish company that operates a global audio-streaming platform, offering music, podcasts, and audiobooks to users across subscription and ad-supported tiers.
27. CrowdStrike Holdings Inc. (NASDAQ:CRWD)
Market Cap: $139.7 Billion
Number of Hedge Fund Holders: 66
CrowdStrike Holdings Inc. (NASDAQ:CRWD) is among the most fantastic stocks every investor should pay attention to. On November 4, BTIG analyst Gray Powell highlighted the encouraging demand trends to reaffirm his bullish stance on the company, assigning a Buy rating. He also raised his price target from $489 to $640, implying a 20% potential upside.
Powell argued that his industry checks point to a pickup in enterprise spending, and the momentum has improved since the company reported Q2 earnings (in late August). He also expects average selling prices across its customer base to nearly double due to improving traction for CrowdStrike’s Next-Generation SIEM platform.
Earlier, on October 28, Ellie Bagshaw, an analyst from Arete Research, upgraded her rating on CrowdStrike Holdings Inc. (NASDAQ:CRWD) to Buy from Neutral, and assigned a price target of $706, which is currently the consensus high.
Separately, CrowdStrike Holdings Inc. (NASDAQ:CRWD) has also been focusing on partnerships to increase its market reach. In the most recent collaboration, on October 28, CrowdStrike announced that it is partnering with Nvidia to enhance cybersecurity across cloud, data center, and edge environments through autonomous, continuously learning AI agents.
These agents will be capable of detecting and neutralizing cyber threats in real time. To achieve this, the companies plan to integrate CrowdStrike’s Charlotte AI AgentWorks with NVIDIA’s suite of AI technologies, including Nemotron open models and NeMo Data Designer.
On this collaboration, George Kurtz, CEO and founder of CrowdStrike Holdings Inc. (NASDAQ:CRWD), stated:
“AI is transforming cybersecurity, and defenders need speed and edge intelligence to outpace the adversary. Addressing AI-driven cyber threats requires AI to protect systems from the speed and volume of attacks, and we’re working with NVIDIA to deliver autonomous, AI agents that learn continuously to defend the critical infrastructure powering the global economy.”
CrowdStrike Holdings Inc. (NASDAQ:CRWD) delivers cloud-native cybersecurity through its Falcon platform, which integrates endpoint protection, threat intelligence, and security operations.
26. Xiaomi Corp. (OTC:XIACF)
Market Cap: $144.0 Billion
Number of Hedge Fund Holders: NA
Xiaomi Corp. (OTC:XIACF) is among the most fantastic stocks every investor should pay attention to. On November 4, analysts from CLSA reaffirmed their “Buy” rating on the stock with a price target of HK$69.00, which equates to approximately $8.87 as of November 7 and a 63% upside potential.
Just three days before CLSA, on November 1, analysts from Goldman lowered their price target on Xiaomi Corp. (OTC:XIACF) to HK$56.50 ($7.26) from around HK$66.00 ($8.48) earlier. Among other reasons for the target cut, the analysts argued that the rising prices of memory semiconductors will lead to margin pressure for the company, as reported by Bloomberg. The company is expected to report a 23% year-over-year growth in revenue, according to the Bloomberg consensus, when it reports Q3 2025 earnings on November 18.
However, the weakness in the electric vehicle business appears to be overshadowing the company’s near-term outlook. A November 6 Bloomberg report highlighted that Goldman Sachs Group had noticed an increasing number of bearish bets on Xiaomi Corp. (OTC:XIACF), with caution being led by pension and hedge funds.
According to the feedback Goldman received from hedge funds, market sentiment has turned cautious amid ongoing safety concerns, production delays, and weaker-than-expected demand for its electric vehicles despite recent promotional efforts. They further indicated that Xiaomi is “a consensus short/sell at least in the short term due to a lack of catalysts”.
That said, the company remains a strong Buy, with a consensus 12-month median price target indicating 55% potential upside, based on data compiled by TipRanks.
Xiaomi Corp. (OTC:XIACF) is a consumer technology company known for its smartphones, smart home devices, and broader IoT products. The company has also expanded into electric vehicles in recent years.
25. GE Vernova Inc. (NYSE:GEV)
Market Cap: $156.3 Billion
Number of Hedge Fund Holders: 106
GE Vernova Inc. (NYSE:GEV) is among the most fantastic stocks every investor should pay attention to. On November 7, TheFly reported that JPMorgan has added the stock to its ‘Positive Catalyst Watch’ list and has also included it on its Analyst Focus List as a key growth idea. Having said that, JPMorgan analyst Mark Strouse reiterated an Overweight rating and his price target of $740 on the stock.
This renewed focus on the stock comes as Strouse expects multiple upcoming catalysts over the coming months, including a series of investor and industry events involving GE Vernova Inc. (NYSE:GEV), customers, and its peers. The analyst believes that the company’s shares have underperformed in recent months relative to other power generation players in the industry, despite the company reporting strong Q3 results. That underperformance provides an attractive entry opportunity with catalysts in place for a re-rating, according to the analyst.
Earlier, on October 30, David Arcaro, an analyst at Morgan Stanley, had also raised his price target on GE Vernova Inc. (NYSE:GEV) from $690 to $710, while reaffirming his Buy rating, according to TheFly. The analyst raised his estimates after the company provided guidance higher than expected for 2025. Moreover, he also factored in an approximately $800 million contribution to EBITDA by 2028, after the company recently announced the acquisition of the remaining 50% stake in its JV, Prolec GE.
Headquartered in Cambridge, Massachusetts, GE Vernova Inc. (NYSE:GEV) is a global energy company that provides equipment manufacturing and services across gas power, wind, grid solutions, and electrification systems.
24. Arm Holdings plc (NASDAQ:ARM)
Market Cap: $158.9 Billion
Number of Hedge Fund Holders: 41
Arm Holdings plc (NASDAQ:ARM) is among the most fantastic stocks every investor should pay attention to. On November 7, Lee Simpson, an analyst at Morgan Stanley, reaffirmed his bullish stance on the company with an Overweight rating and raised the price target from $171 to $180, according to TheFly.
The positive update followed the company’s announcement of strong Q2 2025 results (FY ends in March), with both sales and earnings exceeding expectations. The analyst also believes that the company’s AI-based project pipeline, spanning from the edge to the cloud, is expanding, as evidenced by the increased operating expense guidance. This indicates that the strong momentum will continue even after 2025.
In its Q2 results, revenue of $1.14 billion (+34% YoY) exceeded street estimates, with Licensing ($515 million) and Royalty ($620 million) revenue surpassing expectations by 9% and 6%, respectively, according to Bloomberg data. Buoyed by its strong Q2 performance, the company provided a bullish forecast. It guided for Q3 revenue and adjusted EPS to be $1.23 billion and $0.41, which were 12% and 17% ahead of consensus expectations, respectively.
On a broader note, Arm Holdings plc (NASDAQ:ARM) is a beneficiary of the rising demand for designing chips for AI data centers, a trend that Chief Executive Officer Rene Haas expects to continue. In addition to the results, Bloomberg reported that Haas has announced the acquisition of networking chip company DreamBig Semiconductor Inc.
Arm Holdings plc (NASDAQ:ARM) is a leader in the design of CPUs and compute platforms for semiconductor chips used in mobile devices, cloud infrastructure, automotive systems, and IoT hardware.
23. ServiceNow Inc. (NYSE:NOW)
Market Cap: $178.6 Billion
Number of Hedge Fund Holders: 106
ServiceNow Inc. (NYSE:NOW) is among the most fantastic stocks every investor should pay attention to. On October 30, BMO Capital analyst Keith Bachman reiterated his Buy rating on the company with an unchanged price target of $1,150, following the company’s Q3 2025 results a day earlier.
While Bachman called the Q3 results strong, with both subscription revenue and current remaining performance obligations (cRPO*) surpassing expectations, subscription revenue growth guidance for Q4 was below expectations. However, he believes that ServiceNow’s expanding AI capabilities and well-established portfolio position it for continued momentum.
The analyst also argued that the company’s growth is sustainable, given its ability to win large deal sizes, achieve higher attach rates, and maintain a healthy sales pipeline. His conviction is further supported by the management’s raised guidance for cash flow generation, including higher operating and free cash flow margins, as well as subscription revenue.
In its Q3 results, ServiceNow Inc. (NYSE:NOW) experienced broad-based demand across the platform and solid execution, which contributed to a 20.5% year-over-year growth in subscription revenue (on a constant currency basis) to $3.3 billion. RPO increased by 23% to $24.3 billion, and cRPO rose 20.5% to $11.35 billion, driven by strong momentum in industries such as transportation, logistics, retail, and hospitality. Supported by improved operating leverage, adjusted operating margin expanded by 250 basis points year-over-year to 33.5%, leading to an adjusted EPS of $4.82, which came in 13% ahead of consensus.
ServiceNow Inc. (NYSE:NOW) also announced that its board has authorized a 5-for-1 stock split, which will be submitted to shareholders for approval at a special meeting on December 5. The split is expected to increase the stock’s appeal and make the stock price more affordable for investors who wish to gain exposure to AI through the company.
As for the share price, the performance has been weak so far, with a YTD decline of nearly 19%.
*cRPO—contract revenue that will be recognized as revenue in the next 12 months
ServiceNow Inc. (NYSE:NOW) provides cloud-based platforms for digital workflows, enabling organizations to automate and optimize their business processes. The company’s Now Platform offers solutions across IT service management, customer service, HR, and other areas.
22. Intuit Inc. (NASDAQ:INTU)
Market Cap: $182.4 Billion
Number of Hedge Fund Holders: 105
Intuit Inc. (NASDAQ:INTU) is among the most fantastic stocks every investor should pay attention to. Encouraged by the recent strong results from companies like Bank of America (NYSE:BAC), Wells Fargo (NYSE:WFC), and LendingTree Inc. (NASDAQ:TREE), Mizuho Securities analyst Siti Panigrahi released an optimistic report on Intuit on October 31, ahead of the company’s results on November 20.
Panigrahi argues that the cross-reads for Intuit’s Credit Karma business are significantly positive, given the strong new credit card account growth seen by the mentioned banks in Q3. Moreover, LendingTree’s personal loans and insurance segments thrived in the quarter, which also bodes well and could mean a revenue upside surprise is in the offing for Credit Karma. Panigrahi reaffirmed his Outperform rating on Intuit Inc. (NASDAQ:INTU) and a price target of $875, implying a 35% upside.
More recently, on November 3, analyst Steve Enders from Citi also reaffirmed his Buy rating on the stock with an unchanged price target of $803.
Meanwhile, the stock has been a relative underperformer this year with gains of just over 4% so far, amid substantial gains for the software sector and the broader market. That said, the consensus still shows a strong Buy sentiment and expects a 27% potential upside.
Intuit Inc. (NASDAQ:INTU) offers financial management and tax preparation platforms, including TurboTax, QuickBooks, Credit Karma, and Mailchimp.
21. Uber Technologies Inc. (NYSE:UBER)
Market Cap: $194.5 Billion
Number of Hedge Fund Holders: 152
Uber Technologies Inc. (NYSE:UBER) is among the most fantastic stocks every investor should pay attention to. Following the strong Q3 results, Goldman Sachs’ analyst Eric Sheridan maintained his Buy rating on the company but raised his price target from $120 to $126, according to TheFly.
Sheridan identified several key catalysts for the company’s performance in Q3, with strong bookings and demand for its delivery services being highlighted as the primary drivers, along with rising adoption of its Uber One membership program. The analyst highlighted Uber’s expanding ecosystem with its investment in a multi-platform strategy. Of these, he particularly liked the strategic investments in mobility, autonomous vehicle (AV) initiatives, and the Eats business.
Goldman Sachs now estimates that Uber’s gross bookings will grow at a mid-teens CAGR between 2025 and 2028, with adjusted EBITDA expected to rise more than 20%.
Meanwhile, Uber Technologies Inc. (NYSE:UBER) reported Q3 gross bookings of $49.74 billion, reflecting a substantial 21% year-over-year growth. However, its weaker-than-expected profitability weighed on an otherwise robust performance in the rideshare and delivery businesses. The company reported an operating income of $1.11 billion, which fell short of the Bloomberg consensus of $1.62 billion, due to the impact of charges related to some undisclosed legal and regulatory matters. Q4 adjusted EBITDA guidance of $2.41 billion to $2.51 billion was also modestly below expectations at the mid-point.
That said, the Q4 gross bookings guide of $52.25 billion to $53.75 billion exceeded street expectations, partially offsetting the pressure on profitability.
Uber Technologies Inc. (NYSE:UBER) is a global technology platform that connects consumers with transportation, delivery, and logistics services. The company operates through its Mobility, Delivery, and Freight segments, offering ride-hailing, meal delivery, and freight brokerage solutions.
20. AppLovin Corp. (NASDAQ:APP)
Market Cap: $201.1 Billion
Number of Hedge Fund Holders: 109
AppLovin Corp. (NASDAQ:APP) is among the most fantastic stocks every investor should pay attention to. On November 6, Nat Schindler, an analyst at Scotiabank, raised the price target for the stock from $575 to $750, warranted by the strong Q3 results and upbeat management commentary. As a result, he reaffirmed his bullish stance with an Outperform rating, according to TheFly.
For context, in its Q3 results, the company reported a 68% surge in revenue to $1.41 billion, which came in 5% ahead of consensus. The management attributed the topline growth to model updates in the core gaming business. Its Axon Advertising platform performed strongly, witnessing a 75% increase in net revenue per installation, which was only modestly offset by a 1% decrease in installation volume.
The EBITDA margin also expanded by approximately 490 basis points year-over-year, resulting in an adjusted EPS of $2.45, 3% ahead of consensus.
Apart from the strong results, Nat Schindler was encouraged by the management’s commentary, which indicated broad-based momentum across various segments of the business. Schindler also highlighted that the management cited expanding ad supply, diversified content portfolio, and improved user retention as key drivers for future growth.
AppLovin Corp. (NASDAQ:APP) is a technology company that provides software and tools for mobile app developers and advertisers to acquire customers, as well as to grow and monetize their businesses.
19. Intuitive Surgical Inc. (NASDAQ:ISRG)
Market Cap: $202.8 Billion
Number of Hedge Fund Holders: 107
Intuitive Surgical Inc. (NASDAQ:ISRG) is among the most fantastic stocks every investor should pay attention to. The company’s stock has experienced substantial volatility throughout the year due to investor concerns about the impact of Medicaid cuts by the U.S. administration and the potential use of third-party, reprocessed instruments with the company’s robotic systems. However, on October 22, the stock rallied nearly 14% after its Q3 earnings report, which contributed to its YTD returns of 9.6%.
Following the stronger results, several analysts have raised their price targets, while most maintained their existing ratings. Notably, UBS increased its price target to $600 from $585, while retaining its Hold rating. Overall, the consensus view remains a strong Buy on the stock, but with around 9% potential upside.
Most recently, on October 29, Ilya Zubkov, an analyst from Freedom Capital, reiterated his Hold rating on the stock and raised the price target to $560 from $475, as per TheFly. The analyst highlighted that, due to its solid operating leverage and continued demand, the company was able to offset pressures on profitability from tariffs and an unfavourable product mix.
Zubkov believes that the better-than-expected profitability led to the strong share price rally after the results, which partially bridged its relative underperformance for this year. However, the analyst remained cautious on the stock due to valuation, as he believes that this rally may have already factored in the expected improvements and growth prospects.
Intuitive Surgical Inc. (NASDAQ:ISRG) is a global technology leader in robotic-assisted minimally invasive surgery. The company is recognized for its da Vinci and Ion systems, which enable precision procedures.
18. Shopify Inc. (NASDAQ:SHOP)
Market Cap: $206.9 Billion
Number of Hedge Fund Holders: 69
Shopify Inc. (NASDAQ:SHOP) is among the most fantastic stocks every investor should pay attention to. On November 4, Canaccord analyst David Hynes reaffirmed his bullish view on the company, assigning a Buy rating and increasing his price target from $165 to $185. The analyst’s update follows the company’s Q3 results, which showed broad-based strength and came in ahead of expectations.
While the Monthly Recurring Revenue (MRR) growth has slowed, the analyst viewed it as in line with expectations, considering the weakness in last quarter’s MRR due to changes in the trial structure. On the other hand, the highlight of the results was the 32% year-over-year growth in Gross Merchandise Volume (GMV) to $92 billion, which came in substantially ahead of expectations, according to Hynes.
Meanwhile, with strong GMV growth, the company also saw a 32% increase in revenue to $2.84 billion. EPS came in at $0.34, which was modestly ahead of expectations. While North America remains the main driver, the company reports seeing strong momentum in international markets, with international GMV rising 41% in Q3 and gaining further market share in Europe.
For Q4, management expects revenue growth to be in the mid-to-high 20% range year-over-year, and the free cash flow margin to be slightly above that of Q3.
Shopify Inc. (NASDAQ:SHOP) provides a cloud-based commerce platform that enables merchants to build, operate, and scale online and offline stores. It offers tools for payments, marketing, fulfilment, and omnichannel retail.
17. SK hynix Inc. (OTC:HXSCL)
Market Cap: $291.5 Billion
Number of Hedge Fund Holders: NA
SK hynix Inc. (OTC:HXSCL) is among the most fantastic stocks every investor should pay attention to. SK Hynix is the top performer in our list with YTD gains of around 260%. On October 31, Goldman Sachs upgraded the company’s rating to Buy from Neutral and raised the price target from KRW 300,000 to KRW 700,000. The analyst expects the company to be a beneficiary of “one of the strongest memory upcycles” through 2026.
Goldman expects the company to “meaningfully outgrow consensus expectations” with a 50% year-over-year growth in its High Bandwidth Memory (HBM) shipments. They also estimate that the server memory supply-demand dynamic will remain highly favorable for the company as large investments in AI infrastructure continue. According to their analysis, the majority of growth in next year’s DRAM supply will be consumed by server-related demand.
The investment bank also believes that emerging demand from the next-generation computing architecture, SOCAMM, will potentially account for 5% of global DRAM demand in 2026 and rise to 9% by 2027.
Goldman Sachs argues that “substantial upside remains” for earnings due to the accelerating AI memory cycle, despite street estimates for SK Hynix having already moved higher since September.
Separately, in a November 4 interview, Simon Woo, Director of Korea Research at Bank of America (BofA), observed that, unlike in previous cycles, when profits were largely cyclical, companies such as SK hynix Inc. (OTC:HXSCL) are now securing more stable earnings through long-term contracts. BofA recently raised its price target on SK Hynix to KRW700,000. Woo expects the recent rally in SK Hynix, as well as in Samsung Electronics, to sustain in the near term.
SK hynix Inc. (OTC:HXSCL) is a major global producer of memory semiconductors, including DRAM, NAND flash, and advanced high-bandwidth memory (HBM), used in AI and data center applications.
16. SAP SE (NYSE:SAP)
Market Cap: $293.1 Billion
Number of Hedge Fund Holders: 32
SAP SE (NYSE:SAP) is among the most fantastic stocks every investor should pay attention to. A vote of confidence came in for SAP on October 31, after Adam Wood, an analyst from Morgan Stanley, reaffirmed his bullish stance for the stock with a Buy rating and raised his price target from €295 to €300. The analyst lists SAP among his top picks, emphasizing that the company’s competitive positioning remains solid and continues to see strong growth potential.
SAP’s stock has gained around 3.5% year-to-date and has underperformed the broader STOXX Europe 600 and S&P 500 indices, which have gained over 14.2% and 16.5%, respectively. Wood said that this underperformance is partly driven by investors’ concerns over macroeconomic conditions and worries over AI adoption and broader growth. He, however, argues that these concerns are overstated and that SAP’s fundamentals remain intact, which he believes are supported by the company’s ongoing transition to its S/4HANA cloud platform.
Wood further projects that SAP SE (NYSE:SAP) could potentially double its earnings per share by 2030, underscoring a robust long-term earnings outlook.
On the fundamental side, the company reported its Q3 2025 results on October 22, stating that its revenue in the quarter grew 11% year-over-year to €9.1 billion in constant currency (cc) terms. However, the spotlight was on the cloud side of the business, as total cloud revenue rose 27%, with Cloud ERP Suite revenue surging 31%. Moreover, the current cloud backlog also rose 27% (in cc) to €18.84 billion.
On the strong results, CEO Christian Klein stated –
“SAP delivered a great Q3 with strong cloud revenue growth of 27%. We are gaining market share as our customers are adopting solutions across the entire Business Suite, including Business Data Cloud and AI at accelerated pace. For Q4 we are executing against a strong pipeline – which gives us confidence in our accelerating total revenue growth ambition for 2026.”
SAP SE (NYSE:SAP) develops enterprise software that helps organisations manage finance, supply chains, HR, procurement, and customer operations. Its cloud portfolio, including SAP S/4HANA, supports digital transformation and real-time data management.
15. Alibaba Group Holding Ltd. (NYSE:BABA)
Market Cap: $359.3 Billion
Number of Hedge Fund Holders: 101
Alibaba Group Holding Ltd. (NYSE:BABA) is among the most fantastic stocks every investor should pay attention to. On November 2, news portal South China Morning Post (SCMP) reported that Alibaba had announced a $281 million investment for a program to transition local convenience stores across China to Taobao-branded stores.
According to Hu Qiugen, the general manager of Alibaba’s instant commerce division, this program will utilize Alibaba’s digital infrastructure and technological expertise to upgrade these stores, enabling them to provide a “one-stop, 24-hour and 30-minute delivery” shopping service to consumers. These upgraded stores will then support the company’s businesses across instant commerce and on-demand delivery.
The competition in China’s instant commerce market has intensified recently. The SCMP report emphasizes that China’s instant commerce market is expected to reach 2 trillion yuan (~$280 billion). This data was based on estimates by the Chinese Academy of International Trade and Economic Cooperation, an institute under China’s Ministry of Commerce.
Another report from Bloomberg on November 7 highlighted that the competition between Alibaba Group Holding Ltd. (NYSE:BABA) and its competitor, Meituan, is being closely watched. The report states that some market participants, such as Julia Pan, an analyst with UOB Kay Hian Holdings Ltd. in Shanghai, have been benefiting from a pair trade strategy by being long on Alibaba and shorting Meituan. Pan states that “Alibaba’s advantage lies in its deep cash reserves, which allow it to sustain subsidies and flexibly adjust strategies.” Alibaba stock has rallied 90% while Meituan’s shares have declined 32% so far in 2025.
On the other hand, Xin-Yao Ng, a fund manager at Aberdeen Investments, holds a cautious stance on Alibaba, according to the same report. He believes that the company will need to continue investing aggressively to protect its market share. He argues:
“Alibaba has been losing e-commerce market share for a long time. The e-commerce profit drag will outweigh cloud growth for some time.”
Alibaba Group Holding Ltd. (NYSE:BABA) is a Chinese multinational technology company specializing in e-commerce, retail, Internet, and technology. Its platforms support merchants, brands, and consumers across China and international markets.
14. Advanced Micro Devices Inc. (NASDAQ:AMD)
Market Cap: $386.7 Billion
Number of Hedge Fund Holders: 113
Advanced Micro Devices Inc. (NASDAQ:AMD) is among the most fantastic stocks every investor should pay attention to. The company held its Investor Day on November 11, where it provided an update on its long-term growth outlook.
The management anticipates revenue growth at a compounded annual growth rate (CAGR) of over 35% for the next three to five years, driven by momentum in the data center sector and market share gains. Within that, the data center business is expected to experience an accelerated growth, with a CAGR of over 60%, higher than approximately 52% seen between 2020 and 2025. The core business is expected to continue growing at a moderate rate of 10%. Over the same period, AI data center revenue is expected to increase by an average of 80%.
Regarding profitability, the gross margin is expected to average around 55% to 58% during this 3- to 5-year period. The operating margin is expected to exceed 35%, and adjusted EPS is expected to exceed $20.
In her address, Lisa Su, Chair & CEO of AMD, projected the total AI chip market, including accelerators, processors, and networking products, to reach $1 trillion by 2030.
At the time of writing this article, Mizuho Securities analyst Vijay Rakesh had raised his price target to $285 from $275 and reaffirmed his Buy rating following the event.
Ahead of the Investor Day, Advanced Micro Devices Inc. (NASDAQ:AMD) had experienced heightened analyst activity, with several firms issuing fresh updates and commentary.
Among them, Bank of America analyst Vivek Arya had maintained a Buy rating on AMD with an unchanged price target of $300 as of November 10.
The analyst was quite upbeat about the event, as he believed it could bring more clarity on the AI chip development timelines and the company’s plan for earnings growth. Arya had raised his estimates for the AI accelerator market and expected it to reach $750–$850 billion by 2029-2030. Moreover, he believed that AMD’s EPS could reach as much as $15 to $18 by 2030. He was also expecting the company’s management to guide for sales growth of 25%-30% per year and gross margins of around 53%-55% at the investor day.
However, we see that the company has given an outlook that exceeds its estimates on almost all parameters. At the time of writing this article, Arya hasn’t published any notes on the event. However, his estimates and price target may change if he writes another update factoring in these insights from the management.
Advanced Micro Devices Inc. (NASDAQ:AMD) is a leading semiconductor company specializing in high-performance computing and graphics solutions. Its broad product portfolio includes microprocessors, graphics processors, and system-on-chip (SoC) solutions designed for data centers, gaming, and embedded systems.
13. ASML Holding N.V. (NASDAQ:ASML)
Market Cap: $398.3 Billion
Number of Hedge Fund Holders: 78
ASML Holding N.V. (NASDAQ:ASML) is among the most fantastic stocks every investor should pay attention to. On October 29, Bernstein SocGen Group analyst David Dai reiterated his Market Perform rating on ASML with a price target of $935.00. The update was intended to address concerns raised after a startup called “Substrate” claimed to have built a semiconductor manufacturing machine that is as good as the EUV machines from ASML.
In a challenge to ASML and the foundry company TSMC, the Substrate team demonstrated its method using X-ray technology, and its founder, James Proud, aims to potentially replace machines from ASML in the manufacture of advanced chips.
However, David Dai argues that the mentioned technology had been proposed earlier but couldn’t make further inroads, and was later abandoned after the EUV technology took root.
As per a Bloomberg report from November 3, Dai believed that Substrate is aiming too high currently, and further stated:
“In theory, X-ray lithography should offer better resolution than EUV, but too many problems proved insurmountable. If the startup truly believes in its technology, the only viable approach is to form an ecosystem around it and get the industry to work together.”
ASML Holding N.V. (NASDAQ:ASML) is a leading supplier of photolithography equipment used in advanced semiconductor manufacturing. Its extreme ultraviolet (EUV) and deep ultraviolet (DUV) systems enable chipmakers to produce smaller and more powerful integrated circuits.
12. Palantir Technologies Inc. (NASDAQ:PLTR)
Market Cap: $455.1 Billion
Number of Hedge Fund Holders: 78
Palantir Technologies Inc. (NASDAQ:PLTR) is among the most fantastic stocks every investor should pay attention to. The company has seen tremendous success in recent years, driven by its AI-led offerings. Its stock has gained 153% year-to-date and has more than tripled in value over the past year.
However, such a rally has now raised concerns about the balance between fundamentals and valuation. Palantir Technologies Inc. (NASDAQ:PLTR) reported impressive results and provided better-than-expected guidance for Q4 on November 3, supported by robust deal momentum. However, a day later, Raymond James maintained its cautious stance with a Market Perform rating, without assigning a price target. The analysts highlighted its rich valuation of 85x on price-to-sales as the primary reason for remaining on the sidelines.
A Bloomberg report from November 3 noted that the company’s valuation, based on the price-to-sales ratio, makes it the most expensive name on the S&P 500 Index. On a P/E basis, the company will be the fourth most expensive. Before the results, Morgan Stanley analyst Sanjit Singh had said: “Valuation is our big stumbling block. The most expensive I’ve seen in my career.”
13F filings from Scion Asset Management on November 4 revealed that Michael Burry, famous for his 2007 prediction of the US mortgage crisis, has now taken a bearish position in Nvidia and Palantir through put options, as he projects an impending AI bubble and expects the stocks to decline.
However, Palantir’s CEO, Alex Karp, defended his company in an interview with CNBC, arguing that fundamentals and growth speak louder than the claims of short sellers. He based his arguments on the impressive results, estimated growth in the coming years, and rising share prices as evidence of the company’s strength.
That said, the broader consensus appears to be cautious at present, as only one-fourth of analysts covering it have a Buy rating, with the 12-month median price target implying only a modest potential upside.
Palantir Technologies Inc. (NASDAQ:PLTR) is a software company that builds and deploys data integration and analytics platforms for both government and commercial clients.
11. Netflix Inc. (NASDAQ:NFLX)
Market Cap: $481.6 Billion
Number of Hedge Fund Holders: 133
Netflix Inc. (NASDAQ:NFLX) is among the most fantastic stocks every investor should pay attention to. On November 3, Raymond James analyst Andrew Marok reaffirmed his Buy rating and a price target of $1,350 on the stock. In addition, TheFly reported that analysts from KGI Securities upgraded the stock to “Outperform” from “Neutral” with a price target of $1,350.
Netflix Inc. (NASDAQ:NFLX) has faced mixed analyst sentiment following the release of its softer Q3 results and weaker-than-expected Q4 guidance on October 22. Netflix Inc. (NASDAQ:NFLX) booked an unexpected $619 million expense in Q3 related to Brazilian tax disputes, which impacted the quarter’s operating margin by 500 basis points. However, the company stated that it does not expect any material impact on its future financials. The stock tanked by 10% on the day.
Among the cautious calls, analysts at Erste Group had downgraded the stock’s rating to a Hold from Buy on October 31. While the analysts acknowledged Netflix’s topline and earnings growth, they believe the upside potential is limited as the company trades at a relatively high P/E.
Around the same time, Reuters reported that Netflix Inc. (NASDAQ:NFLX) has been considering a deal to acquire the studio and streaming businesses of Warner Bros. Discovery. However, the company has not provided any official confirmation or comment. Bloomberg’s recent reports indicated that Comcast and Paramount Skydance are in talks to acquire parts of the company, which would likely lead to tough negotiations.
Netflix Inc. (NASDAQ:NFLX) is a global streaming entertainment platform that offers on-demand media content across more than 190 countries through a subscription-based model.
10. Oracle Corporation (NYSE:ORCL)
Market Cap: $673.2 Billion
Number of Hedge Fund Holders: 124
Oracle Corporation (NYSE:ORCL) is among the most fantastic stocks every investor should pay attention to. On November 11, Mizuho analyst Siti Panigrahi reaffirmed his Outperform rating on the stock with a $400 price target. His update came after some weakness was seen in Oracle’s shares following CoreWeave Inc.’s (NASDAQ:CRWV) disappointing Q3 earnings report, after which the latter’s shares tanked around 16%. The analyst called the weakness in Oracle shares “largely unwarranted”.
According to Panigrahi, CoreWeave’s weaker results were due to a temporary supply-chain delay involving a third-party data center developer, not from any operational issue linked to Oracle. He thus believes that the challenges in CoreWeave’s results were company-specific and unrelated to Oracle’s business performance.
On the positive side, the analyst noted that Oracle’s data center expansion in Abilene, Texas, remains on schedule and that the company is “well-positioned to exceed expectations.” He also cited several catalysts from CoreWeave’s update that support Oracle Corporation (NYSE:ORCL).
First among them was that CoreWeave’s backlog increased 85% year-over-year to $56 billion, indicating the potential expansion of Oracle’s remaining performance obligations (RPO). Additionally, the analyst highlighted sustained pricing strength in GPU contracts, noting that CoreWeave’s first major H100 contract was renewed at roughly the same level, suggesting “durability in pricing.”
Before Panigrahi, Bank of America Securities analyst Justin Post had also maintained his Buy rating on the stock with an unchanged price target of $368.
The stock has rallied 42% year-to-date and now commands a market capitalization of $673 billion. Despite the robust performance, the consensus remains a strong Buy with a potential upside of 54%, underpinning its strong investment case.
Oracle Corp. (NYSE:ORCL) offers an extensive suite of database and cloud computing software and hardware. The Company offers databases and relational servers, application development and decision support tools, as well as enterprise business applications.
9. Tencent Holdings Ltd. (OTC:TCEHY)
Market Cap: $756.7 Billion
Number of Hedge Fund Holders: NA
Tencent Holdings Ltd. (OTC:TCEHY) is among the most fantastic stocks every investor should pay attention to. In a November 7 report, Bloomberg said that sustained momentum in AI development should help the company to report strong earnings for the third quarter. Moreover, results from Tencent and its peers will also indicate progress and standing in the AI landscape amid the rising rivalry with the U.S. Tencent is expected to report its quarterly results on November 13.
Another development that is gaining traction amid the ongoing COP30 climate summit in Brazil is Tencent’s preparation for an alliance of carbon credit buyers. On Wednesday, November 12, Bloomberg reported that the company is in discussions with mostly Asian firms from the manufacturing, technology, and consumer sectors to create a consortium that can buy carbon credits.
Ella Wang, a senior program director at Tencent, said that the company needs to purchase spot and forward carbon credits to offset its emissions and to expedite its target to become carbon neutral. The alliance described above would create more demand. Ella further elaborated:
“We believe it would send a signal to the market and encourage more potential suppliers, especially in the Global South countries.” She also said, “Such an alliance would benefit the companies in many respects, including helping with compliance and technology adoption”.
Tencent Holdings Ltd. (OTC:TCEHY) is a leading Chinese multinational technology conglomerate specializing in internet-related services, entertainment, and artificial intelligence.
8. Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)
Market Cap: $1.22 Trillion
Number of Hedge Fund Holders: 187
Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) is among the most fantastic stocks every investor should pay attention to. The company’s shares have gained nearly 48% year-to-date, and it remains a consensus Buy, with analysts expecting the stock to rise by almost 22% further.
Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) has been in a sweet spot amid the accelerated demand for semiconductors driven by artificial intelligence. As evidence of its importance in the AI value chain, a Bloomberg report from November 8 stated that Nvidia CEO Jensen Huang considered TSMC to be critical to Nvidia’s success and had requested that the company scale up its supplies to meet Nvidia’s ever-rising chip needs. Huang was meeting TSMC’s CEO C.C. Wei on the sidelines of the latter’s company event. At the event, Wei had said that his company would continue to see record sales every year.
Earlier, on October 27, Needham analyst Quinn Bolton highlighted the potential for TSMC’s 3nm FinFET (N3) capacity to expand, which could lead to substantial revenue growth. He also expected higher volumes from Nvidia’s Rubin GPU in 2026, and thus increased his growth and capital expenditure forecasts for 2026. Bolton had reaffirmed his Buy price target with a $360 price target.
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. Tesla Inc. (NASDAQ:TSLA)
Market Cap: $1.46 Trillion
Number of Hedge Fund Holders: 115
Tesla Inc. (NASDAQ:TSLA) is among the most fantastic stocks every investor should pay attention to. With its innovations in electric vehicles and autonomous driving technology, the company remains a leader in this industry. However, demand headwinds and rising competition seem to be weighing on its outlook, as evidenced by the subdued price targets and cautious ratings from many analysts in recent weeks.
Among the analysts who foresee a sharp downside in Tesla shares is Wells Fargo’s Colin Langan, who reaffirmed his Underweight rating and $120 price target on November 10, as reported by TheFly. Langan’s analysis suggests that deliveries are seeing a “widespread weakness” across the U.S., EU, South Korea, and China, the four markets he tracks. The trends are relatively better in the U.S. than in other markets. He emphasized that October deliveries are down roughly 23% year-over-year and 54% month-over-month, with year-to-date volumes lower by about 9%.
That said, the recent approval of a $ 1 trillion “stock award” pay package for CEO Elon Musk may prove to be a shot in the arm for Tesla. Musk has been given new targets to meet in order to earn that package. He will receive the first part of the stock when Tesla Inc. (NASDAQ:TSLA) reaches a market capitalization of $2 trillion. After achieving the other interim goals, he will receive the complete package if the company reaches a market capitalization of $8.5 trillion. The company also needs to achieve operational milestones, such as vehicles delivered and EBITDA targets, for this to materialize.
In an interview with Bloomberg on November 7, Dan Ives, Head of Research at Wedbush Securities, expressed optimism about Tesla Inc. (NASDAQ:TSLA) achieving such targets. Ives stated:
“This is the most important chapter in the history of Tesla.” He added, “I believe, it’s all on the table. I mean, these are not the targets that are just ridiculous. Obviously, extremely optimistic. But I think Tesla is going to be able to get there as they execute.”
Tesla Inc. (NASDAQ:TSLA) is an EV manufacturer and clean energy company known for its innovative solutions to sustainable transportation and energy solutions.
6. Meta Platforms Inc. (NASDAQ:META)
Market Cap: $1.58 Trillion
Number of Hedge Fund Holders: 260
Meta Platforms Inc. (NASDAQ:META) is among the most fantastic stocks every investor should pay attention to. On November 10, Meta was upgraded to Buy from Hold by Freedom Capital analyst Saken Ismailov, who maintained his price target of $800, according to TheFly.
The analyst believes that the long-term upside from the company’s expanding artificial intelligence strategy is not yet fully reflected in the share price. Thus, he still sees substantial upside potential. He acknowledged the better-than-expected Q3 results, which benefited from robust demand for advertising, improved offerings, and increased user engagement.
The stock remains a strong Buy with a consensus 1-year median price target of $850, reflecting a substantial 35% potential upside.
While the overall outlook remains positive, Meta Platforms Inc.’s (NASDAQ:META) massive capital investments have been under scrutiny. According to a November 7 report by Bloomberg, this reminds some investors of the huge investments in the Metaverse and the subsequent setbacks. Reflecting a similar sentiment, Oppenheimer analyst Jason Helfstein had downgraded the stock on October 29, after the quarterly report. He had surmised these investments as:
“Significant investment in Superintelligence despite unknown revenue opportunity mirrors 2021/2022 metaverse spending.”
However, the Bloomberg report said that for David Katz, chief investment officer at Matrix Asset Advisors, the recent sell-off was a buying opportunity. He stated:
“The metaverse was a bet that didn’t pan out. There is a much clearer roadmap to leveraging AI for market advantages and better profitability. Outside of it being a boatload of money without much accountability for Zuckerberg, that’s where the similarities stop.”
Meta Platforms Inc. (NASDAQ:META) operates major social media services, including Facebook, Instagram, WhatsApp, Messenger, and Threads, along with virtual reality products like Oculus headsets.
5. Broadcom Inc. (NASDAQ:AVGO)
Market Cap: $1.66 Trillion
Number of Hedge Fund Holders: 156
Broadcom Inc. (NASDAQ:AVGO) is among the most fantastic stocks every investor should pay attention to. On November 10, Vivek Arya, an analyst from Bank of America Securities, reaffirmed his Buy rating without assigning a price target.
In an interview with CNBC on October 29, Arya argued that the semiconductor industry is in the midst of a virtuous flywheel, which benefits from initial spending on intelligence infrastructure, which is then monetized, and that the resulting funds are used for further infrastructure spending. He believes that this technology is not just hyper-computing, but it can be leveraged to boost productivity for the real economy. According to him, Broadcom is one of the “exceptionally positioned companies in this environment”, along with Nvidia and AMD.
Arya further stated:
“Most infrastructure cycles, you know, they tend to last for a decade plus. We have seen this with 3G and 4G. We have the 5G cycle that started. So, these cycles can last for a decade or more. And if you look at when ChatGPT started, that was in late 2022. So, we are just basically in the first three years of what could be a decade-long cycle.”
Broadcom Inc. (NASDAQ:AVGO) is a global technology company that designs, develops, and supplies a wide range of semiconductor and infrastructure software solutions.
4. Amazon.com Inc. (NASDAQ:AMZN)
Market Cap: $2.66 Trillion
Number of Hedge Fund Holders: 335
Amazon.com Inc. (NASDAQ:AMZN) is among the most fantastic stocks every investor should pay attention to. Amazon is a consensus Buy and is currently one of the most analyst-favoured mega-cap stocks. While its year-to-date returns have been subdued, analysts still see a nearly 20% potential upside.
Two events primarily drove the renewed enthusiasm for Amazon over the last two weeks: the first was the Q3 results, which came in strong, particularly the growth in Amazon’s cloud business. Secondly, Amazon struck a deal worth $38 billion with OpenAI, the parent company of ChatGPT, for providing cloud computing capacity for a period of seven years, as reported by Bloomberg on November 3.
As per the deal, Amazon Web Services (AWS) will provide OpenAI access to its hoard of Nvidia graphics processing units (GPUs). The Blomberg report notes that this deal brings Amazon.com Inc. (NASDAQ:AMZN) exposure to OpenAI, as it had not previously provided any services to that company, unlike other large cloud-computing companies.
On the deal, Matt Garman, AWS Chief Executive Officer, stated:
“As OpenAI continues to push the boundaries of what’s possible, AWS’s best-in-class infrastructure will serve as a backbone for their AI ambitions.”
On the other hand, OpenAI CEO Sam Altman said in a statement:
“Our partnership with AWS strengthens the broad compute ecosystem that will power this next era and bring advanced AI to everyone.”
Amazon.com Inc. (NASDAQ:AMZN) operates across e-commerce, digital content, advertising, and cloud computing. Its online and offline stores offer both in-house and third-party products, while its Amazon Web Services (AWS) division runs one of the world’s largest data center networks.
3. Alphabet Inc. (NASDAQ:GOOGL)
Market Cap: $3.52 Trillion
Number of Hedge Fund Holders (GOOGL): 219
Number of Hedge Fund Holders (GOOG): 178
Alphabet Inc. (NASDAQ:GOOGL) is among the most fantastic stocks every investor should pay attention to. On November 6, Bank of America Securities analyst Justin Post reaffirmed his Buy rating on Alphabet Inc. (NASDAQ:GOOGL) with a $335 price target. The analyst’s bullish stance was supported by the company’s growth trajectory in AI and cloud.
Alphabet recently introduced Ironwood, its seventh-generation Tensor Processing Unit, which is specifically designed for inference at scale. Post believes that Ironwood can significantly improve computing speed and energy efficiency, resulting in increased demand for its cloud services and enhanced ad targeting and optimization for its core advertising business. According to the analyst, this can help the company generate new semiconductor revenue streams and support its valuation.
The analyst also pointed to the company’s potential collaboration with Apple, which may see Google’s Gemini AI model being used in a redesigned version of Siri. This news was reported by Bloomberg on November 6, which also emphasized that this setup may cost Apple around $1 billion per year.
Separately, Bloomberg reported on November 3 that Alphabet has raised around $25 billion through the sale of bonds in the U.S. and Europe to fund its investment catering to the rising demand for AI and cloud services, as was evidenced in its Q3 results. The company’s capital expenditures are estimated to reach $91-$93 billion this year, as it continues to invest in rapid AI development and integrate AI into its products.
Alphabet Inc. (NASDAQ:GOOGL) is the parent company of Google and a pioneer in internet-related services and products, including online advertising technologies, search engines, cloud computing, software, and hardware.
2. Microsoft Corporation (NASDAQ:MSFT)
Market Cap: $3.78 Trillion
Number of Hedge Fund Holders: 294
Microsoft Corporation (NASDAQ:MSFT) is among the most fantastic stocks every investor should pay attention to. The company appears to be in capacity expansion mode, having recently announced several investments across multiple opportunities.
On November 3, Bloomberg reported that Microsoft Corporation (NASDAQ:MSFT) plans to invest over $8 billion through 2029 in data centers, high-performance computing, and personnel in the United Arab Emirates (UAE). According to the plan, the amount of Nvidia’s advanced chips will be significantly increased, and access to restricted critical equipment will be eased. It had deployed 21,500 chips earlier and expects to bring in an additional 60,400 chips in the coming months.
This plan was announced by Brad Smith, Microsoft’s president, who spoke to Bloomberg Television while attending the Adipec oil conference in Abu Dhabi. He further added:
“This is not money we’re raising here. It’s money we’re investing and spending here. We are seeing demand here explode.”
Microsoft already invested around $1.5 billion in 2024 in buying an Abu Dhabi-based cybersecurity tools developer, G42. Moreover, the company had invested an additional $5.8 billion in the UAE since the start of 2023. That brings the total commitment to over $15 billion between 2023 and 2029.
Apart from the UAE, the company announced a $10 billion investment in a data center in Portugal on November 11. Earlier, the company had inked a $9.7 billion deal with Australian company IREN Ltd. for AI computing capacity.
Microsoft Corporation (NASDAQ:MSFT) develops and sells a wide range of software, cloud services, devices, and business solutions, serving both individual users and enterprise customers worldwide.
1. Nvidia Corporation (NASDAQ:NVDA)
Market Cap: $4.69 Trillion
Number of Hedge Fund Holders: 235
Nvidia Corporation (NASDAQ:NVDA) is the top stock on our list of the most fantastic stocks every investor should pay attention to. The company is expected to report earnings on November 19, and, as was the case for some recent quarters, Nvidia’s earnings will serve as a bellwether for the trajectory of AI and high-performance computing demand.
In a note on Monday, November 10, UBS analyst Timothy Arcuri stated that he expects Nvidia Corporation (NASDAQ:NVDA) to guide for revenue of $63 billion to $64 billion for the fourth quarter. But he believes there is a potential for an upside surprise. He reaffirmed his positive stance on Nvidia Corporation (NASDAQ:NVDA) with a Buy rating and a price target of $235.
Despite its massive size, Nvidia’s stock has appreciated 37% YTD, adding over $1 trillion in market capitalization. However, the company’s meteoric rise has drawn scepticism from several investors, including hedge fund manager Michael Burry, who had recently disclosed a minor short position on the stock.
This sentiment was echoed by Max Wasserman, Co-Founder & Senior Portfolio Manager at Miramar Capital, during a discussion on short positions on Nvidia and Palantir in a November 4 Yahoo Finance interview. He remarked:
“These are great companies, but the rate of growth is being valued in perpetuity. So, any hiccup in that is going to send these stocks into a correction. And we are not talking of a 5% correction; when the NASDAQ pulls back, it can drop 20%, 30% in a heartbeat.”
Nvidia Corporation (NASDAQ: NVDA) designs and manufactures graphics processing units (GPUs), system-on-a-chip (SoC) units, and AI hardware and software.
While we acknowledge the potential of NVDA 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 NVDA and that has 100x upside potential, check out our report about this cheapest AI stock.
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