In this article, we are going to look at the 5 Best Fundamentally Strong Stocks to Buy Now. For a longer list and more details on how we picked these stocks, you can go to 11 Best Fundamentally Strong Stocks to Buy Now.
5. Mastercard Incorporated (NYSE:MA)
3-year Revenue Growth: ~14.1%
3-year Diluted EPS Growth: ~19.9%
Number of Hedge Fund Holders: 150
Mastercard Incorporated (NYSE:MA) is one of the Best Fundamentally Strong Stocks to Buy Now. On May 12, Truist reduced its price objective on the company’s stock to $561 from $590 and kept a “Buy” rating on the shares. This was part of the research note on the broader Payments sector after the Q1 results. Notably, as per the analyst, the firm marginally reduced its top-line estimates. This was mainly due to weaker expectations for cross-border volume growth and overall EMEA payments activity.
In a separate release, Mastercard Incorporated (NYSE:MA) stated that it has been advancing agentic commerce with Mastercard Agent Pay and is expanding its stablecoin solutions via the planned acquisition of BVNK. In Q1 2026, the company’s net revenue went up by 16%, or 12% on a currency-neutral basis, compared to the comparable period in 2025. This was because of the growth in its payment network, and value-added services and solutions.
Mastercard Incorporated (NYSE:MA) offers transaction processing and other payment-related products and services.
4. Visa Inc. (NYSE:V)
3-year Revenue Growth: ~11.5%
3-year Diluted EPS Growth: ~15.3%
Number of Hedge Fund Holders: 184
Visa Inc. (NYSE:V) is one of the Best Fundamentally Strong Stocks to Buy Now. On May 12, Truist analyst Matthew Coad lifted its price objective on the company’s stock to $371 from $361 and kept a “Buy” rating on the shares. This forms part of the research note on the Payments sector after the Q1 results. As per the analyst, the firm upped its top-line estimates. This demonstrates healthier expectations for the Data Processing and Other Revenue segments that are being aided by improved pricing, robust demand for marketing-related value-added services related to the upcoming FIFA World Cup, among other factors.
Visa Inc. (NYSE:V) stated that its net revenue in Q2 2026 came in at $11.2 billion, reflecting a rise of 17%, thanks to the YoY growth in payments volume, cross-border volume, and processed transactions. Notably, its net revenue rose 16% on a constant-dollar basis. Total processed transactions, demonstrating the transactions processed by Visa, for Q2 2026 were 66.1 billion, up by 9% YoY.
Visa Inc. (NYSE:V) operates as a payment technology company.
3. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
3-year Revenue Growth: ~21.6%
3-year Diluted EPS Growth: ~24.1%
Number of Hedge Fund Holders: 224
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the Best Fundamentally Strong Stocks to Buy Now. On May 14, Reuters reported that the company expects the global semiconductor market to surpass $1.5 trillion by 2030, topping the earlier forecast of $1 trillion. Reuters, while quoting Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), highlighted that AI and high-performance computing are anticipated to make up 55% of the $1.5 trillion market. This will be followed by smartphones that will account for 20%, and automotive applications, which will make up 10%.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) further highlighted that it has been expanding capacity at an accelerated pace in 2025 and 2026. It also plans to build 9 phases of wafer fabs and advanced packaging facilities in 2026, reported Reuters. The company also stated that the CAGR of capacity for its advanced packaging CoWoS (Chip on Wafer on Substrate) is expected to be over 80% between 2022 and 2027.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is a Taiwanese multinational semiconductor contract manufacturing and design company that manufactures, packages, and tests integrated circuits for various industries.
2. NVIDIA Corporation (NASDAQ:NVDA)
3-year Revenue Growth: ~100.05%
3-year Diluted EPS Growth: ~206.61%
Number of Hedge Fund Holders: 264
NVIDIA Corporation (NASDAQ:NVDA) is one of the Best Fundamentally Strong Stocks to Buy Now. On May 13, BofA lifted its price objective on the company’s stock to $320 from $300 and kept a “Buy” rating on the shares. Notably, the firm lifted its sales forecast for FY 2028 and 2029, which correspond to CY 2027 and 2028. It also lifted its EPS estimates for the same periods.
BofA noted some of the catalysts, which include its Q1 2027 earnings, the Computex tradeshow in early June, with the expectations of the new CPU launch, the Vera Rubin launch, and the potential of increased return of cash in H2. Furthermore, it also highlighted the continued rise in AI compute demand as well as NVIDIA Corporation (NASDAQ:NVDA)’s positioning with its breadth of portfolio that caters to every niche of the AI workload.
In a separate release, NVIDIA Corporation (NASDAQ:NVDA) and Corning made an announcement about the multiyear commercial and technology partnership. The focus is on expanding U.S.-based manufacturing of optical connectivity products utilised in the next-generation AI infrastructure.
NVIDIA Corporation (NASDAQ:NVDA) is a fabless semiconductor and AI computing company that designs GPUs, AI accelerators, Application Programming Interfaces (APIs), and system-on-a-chip units.
1. Alphabet Inc. (NASDAQ:GOOGL)
3-year Revenue Growth: ~14%
3-year Diluted EPS Growth: ~42.8%
Number of Hedge Fund Holders: 288
Alphabet Inc. (NASDAQ:GOOGL) is one of the Best Fundamentally Strong Stocks to Buy Now. On May 15, Oppenheimer analyst Jason Helfstein lifted the firm’s price objective on the company’s stock to $445 from $425 and kept an “Outperform” rating. Notably, the firm highlighted increased GCP estimates as the 28x 2027 EPS multiple is unchanged. The firm expects more capacity unlock for Alphabet Inc. (NASDAQ:GOOGL) through the balance of 2026.
In a different update, Reuters reported that Alphabet Inc. (NASDAQ:GOOGL) sold 576.5 billion yen ($3.6 billion) in yen-denominated bonds. This is the largest-ever issue by a foreign company. For the company, it is the first yen-denominated debt issue. It has sought to diversify its funding sources. The company highlighted the capex of up to $190 billion this year. It has issued bonds in euros, sterling, Canadian dollars, and Swiss francs, reported Reuters.
Reuters, while quoting Mizuho Securities (one of the underwriters), reported that the demand remained strong across domestic and international investors.
Alphabet Inc. (NASDAQ:GOOGL) is a holding company that operates Google services such as search engines, ad platforms, Internet browsers, devices, mapping software, app stores, video streaming, and more. The company also offers cloud infrastructure and platform services, collaboration tools, and other services for enterprise customers, as well as healthcare-related services and internet services.
While we acknowledge the potential of GOOGL 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 GOOGL and that has 100x upside potential, check out our report about the cheapest AI stock.
READ NEXT: 10 Best FMCG Stocks to Invest In According to Analysts and 11 Best Long-Term Tech Stocks to Buy According to Analysts.
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My name is Inan Dogan. I’m the co-founder and Research Director of Insider Monkey. I have an important message for you today.