5 Best Mid-Cap Stocks To Buy Now

1. Bill.com Holdings, Inc. (NYSE:BILL)

Number of Hedge Fund Holders: 70

Market Cap as of February 6: $9.987 billion 

Bill.com Holdings, Inc. (NYSE:BILL) offers cloud-based solutions that streamline, digitize, and automate the financial processes of small to medium-sized businesses globally. On February 2, the company reported a FQ2 non-GAAP EPS of $0.42 and a revenue of $260 million, outperforming Wall Street estimates by $0.28 and $16.99 million, respectively. For FY 2023, Bill.com Holdings, Inc. (NYSE:BILL) expects total revenue to range between $999 million to $1.007 billion, while the consensus revenue estimate is $999.77 million. Similarly, the company foresees adjusted EPS of $0.99 to $1.05, while the consensus EPS estimate is $0.56.

On February 3, Keith Weiss, an analyst at Morgan Stanley, reduced the target price for Bill.com Holdings, Inc. (NYSE:BILL) to $185 from $200 while maintaining an Overweight rating on the stock. Despite the recent macroeconomic impacts that were evident in the company’s fiscal second quarter, the analyst believes that Bill.com Holdings, Inc. (NYSE:BILL)’s long-term prospects remain strong, due to its sustained competitive advantage and unique approach to the market. The analyst stated that the “structural story” of Bill.com Holdings, Inc. (NYSE:BILL) is not damaged.

According to Insider Monkey’s data, 70 hedge funds were long Bill.com Holdings, Inc. (NYSE:BILL) at the end of Q3 2022, up from 46 funds in the last quarter. Colin Moran’s Abdiel Capital Advisors is the leading stakeholder of the company, with 2 million shares worth $267.5 million. 

TimesSquare Capital made the following comment about Bill.com Holdings, Inc. (NYSE:BILL) in its Q3 2022 investor letter:

“Bill.com Holdings, Inc. (NYSE:BILL) offers cloud-based software that simplifies, digitizes, and automates back-office functions for small and mid-sized businesses. The company has indicated that customer spending softened a bit in recent months and that has been factored into forward guidance. We decided to sell out of the position, which had declined by -20% while it was held in the quarter.”

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