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5 Best Software Stocks to Buy Now According to Coatue Management’s 13F Portfolio

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In this piece, we will take a look at the 5 best software stocks to buy now according to Coatue Management’s 13F portfolio. If you want to read our overview of Coatue Management’s 13F Portfolio, then you can take a look at the 15 Best Software Stocks to Buy Now According to Coatue Management’s 13F Portfolio.

5. Oracle Corp (NYSE:ORCL)

Number of Hedge Fund Holders: 88
Coatue Management’s Equity Stake: $236.85 Million

Oracle Corporation (NYSE:ORCL) provides IT solutions and cloud software, such as Oracle Fusion ERP and EPM. Oracle Corporation (NYSE:ORCL) is billed as one of the largest database software companies that has transformed lots of its software into cloud-based services. 

While the stock is up by about 29% for the year, it’s proved to be a top pick for investors eying passive income. In the year’s first half, it bought $600 million worth of shares and returned $2.2 billion in dividends. It is also one of the best software stocks to buy now according to Coatue Management. The hedge fund held stakes worth $236.85 million in Oracle Corporation (NYSE:ORCL) as of Q3 2023.

Insider Monkey found out that 88 hedge funds had stakes in the firm after examining 910 hedge funds’ shareholdings for Q3 2023. Oracle Corporation (NYSE:ORCL)’s most significant investor in our database is Ken Fisher’s Fisher Asset Management as it owns $1.99 billion worth of shares.

Here is what Aristotle Atlantic Core Equity Strategy said about Oracle Corporation (NYSE:ORCL) in its third quarter 2023 investor letter:

“Oracle Corporation (NYSE:ORCL) provides products and services that address enterprise information technology (IT) environments. The company’s products and services include enterprise applications and infrastructure offerings that are delivered worldwide through a variety of flexible and interoperable IT deployment models. The company operates in three segments: cloud and license business, hardware, and services.

We believe Oracle’s cloud infrastructure product, OCI 2.0, continues to demonstrate strong revenue growth over several quarters. Additionally, we see the rapid growth of artificial intelligence (AI) computing needs as being a differentiated growth driver for Oracle. We believe that Oracle will continue to drive positive outcomes for the Cerner business through a better margin structure, as well as topline sales synergies.”

Follow Oracle Corp (NYSE:ORCL)

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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