5 Best Stocks to Buy According to Jim Simons’ Renaissance Technologies

4. NVIDIA Corporation (NASDAQ:NVDA)

Simons’ Stake Value: $928.7 million

Percentage of Jim Simons’ 13F Portfolio: 1.15%

Number of Hedge Fund Holders: 86

NVIDIA Corporation (NASDAQ:NVDA) is a multinational technology company based in California that designs graphics processing units for gaming and professional purposes, alongside chip units and semiconductors. Ranked fourth on the list of the 10 best stocks to buy according to Jim Simons’ Renaissance Technologies, NVIDIA Corporation (NASDAQ:NVDA) has a market capitalization of $541.50 billion.

Jim Simons’ Renaissance Technologies currently owns 1.16 million shares of NVIDIA Corporation (NASDAQ:NVDA), worth $928.7 million and accounting for 1.15% of the fund’s investment portfolio. By the end of the second quarter of 2021, 86 hedge funds out of the 873 tracked by Insider Monkey held stakes in NVIDIA Corporation (NASDAQ:NVDA), worth roughly $9.09 billion. This is compared to 80 hedge funds in the previous quarter with a total stake value of approximately $6.2 billion.

In the second quarter of 2021, NVIDIA Corporation (NASDAQ:NVDA) reported earnings per share of $0.55, beating estimates by $0.05. The company also reported revenues amounting to $3.87 billion, an increase of 49.90% on a year-over-year basis, surpassing forecast estimates by $210.22 million.

On September 17, BofA analyst Vivek Arya raised the firm’s price target on NVIDIA Corporation (NASDAQ:NVDA) to $275 from $260 and kept a Buy rating on the shares, noting the important role of semiconductors in the global economy.

In the Q2 2021 investor letter of Harding Loevner, the fund mentioned NVIDIA Corporation (NASDAQ:NVDA). Here is what the fund said:

“Within IT, shares of US-based computer chip developer NVIDIA continued their climb as rising demand across segments-from work-from-home laptops to data centers to cryptocurrency mining rigs-led to shortages that translated into surging prices for its chips. Such was the windfall that NVIDIA even made technical changes to some of its products to make them towards waht it believes are more sustainable uses. Less attractive to cryptocurrency miners, to steer scarce supply viewed by geography, the lion’s share of excess returns came from good stock performance in the US. In addition to the contributions from NVIDIA and our health care holdings, a pair of IT software and service providers also aided relative returns.”