Below are the 5 best stocks to invest in right now according to tech billionaire Chase Coleman. For a comprehensive list see 10 Best Stocks To Invest In Right Now According To Tech Billionaire.
5. Apollo Global Management, Inc. (APO)
The asset management firm Apollo Global Management, Inc. (NYSE: APO) is the fifth-largest stock holding of Tiger Global Management. The tech billionaire Chase Coleman believes Apollo Global Management is a good stock to invest in. The hedge fund has been holding 33.9 million shares of Apollo valued at $1.5 billion.
Shares of Apollo Global Management soared 200% in the last eighteen months. In addition, the asset management firm also offers hefty dividends to investors.
Miller Value Partners recently pointed to Apollo Global Management in a letter to investors. The firm said, “Apollo Global Management (APO) dropped 9.5% over the period. The company reported Q2 distributable earnings of $0.46, just below consensus of $0.48, and the quarterly dividend of $0.49/share (4.7% annualized yield). Pretax fee-related earnings of $259M ($0.59/share) topped estimates of $242M ($0.55/share) driven by higher advisory and transaction fees while management fees of $401.8M were in-line. Assets under management (AUM) of $413.6Bn rose 31% sequentially with fee-earnings AUM growth of 36% to $329.8Bn driven by insurance transactions and $16Bn of gross inflows. Permanent capital of $246Bn represents 60% of total assets under management.”
4. Amazon.com, Inc. (AMZN)
The world’s largest e-commerce platform Amazon.com (NASDAQ: AMZN) is the fourth largest stock holding of tech billionaire Coleman’s portfolio. It is one of the best stocks to invest in according to the tech billionaire. Tiger Global Management has recently raised its stake in the e-commerce platform by 1% to 604,800 shares valued at $1.90 billion, accounting for 5.61% of the overall portfolio.
In a letter to investors, Baron Opportunity Fund believes Amazon will expand its market share in the days ahead. The firm said, “Amazon.com, Inc. is the world’s largest retailer and cloud services provider. Shares were up on strong second quarter revenue metrics – with paid unit growth accelerating to 57%, a startling figure for a company of this scale – as Amazon benefited from recent investments in logistics and distribution to meet increased COVID-19-related demand. Amazon has the unique ability to deliver all the necessities of life safely to your doorstep, including groceries. Amazon also reported a stunning beat in operating profit, with $5.8 billion of operating income, almost six times Wall Street’s expected figure. While e-commerce penetration is rising rapidly and Amazon continues to grow its addressable market by entering new verticals, we continue to view Amazon Web Services as the more material driver of the company given its leadership in the vast and growing cloud infrastructure market and potential to compete in application software in the years to come.”
3. Facebook, Inc. (NASDAQ: FB)
The social media platform Facebook, Inc. (NASDAQ: FB) is one of the most favorite stocks of tech billionaire Coleman. The tech hedge fund has been holding the Facebook stock since the fourth quarter of 2016. It currently represents the third-largest stock investment, accounting for 6.75% of the portfolio. Shares of Facebook jumped 40% this year, extending the five years gains to 160%.
At the end of the latest quarter, Facebook was in 230 hedge funds’ portfolios, up from the previous all-time high for this statistics was 213. Wedgewood Partners commented on the performance of Facebook in the letter to investors. The firm said:
“Facebook reported 32% growth in constant currency ad revenue, along with expectations for 50-55% growth in expenses as the Company continued with their telegraphed plan to accelerate investments in privacy and security across their social platforms. The Federal Trade Commission (FTC) also approved a $5 billion fine for violating a 2012 FTC order by misrepresenting users’ ability to control data privacy. While this removed an overhang dating back to early 2018, continued pressure from politicians and regulators kept Facebook’s earnings multiple in check.”
2. Microsoft Corporation (NASDAQ: MSFT)
The technology giant Microsoft (NASDAQ: MSFT) is one of the best stocks to invest in according to the tech billionaire. The firm first initiated a stake in the technology giant in the fourth quarter of 2016 when shares were trading around $80. In addition, the tech hedge fund has raised its stake in Microsoft in the latest quarter to 11.41 million shares valued at $2.4 billion.
Microsoft is one of the most favorite stocks of hedge funds. MSFT ranks #2 among the 30 most popular stocks among hedge funds, according to Insider Monkey data.
Amana Mutual Funds is bullish on Microsoft for the following reason:
“Microsoft has done an excellent job building its Azure cloud services business, while we believe a strong period of semiconductor demand will arrive in the new decade supporting Microchip and Taiwan Semiconductor. Whether the rally starts in 2020 or 2021 remains to be seen but recent signs have been positive.”
1. JD.com (NASDAQ: JD)
The Chinese e-commerce platform JD.com (NASDAQ: JD) is the largest stock holding of tech billionaire Chase Coleman’s portfolio. The hedge fund currently holds 51 million shares of JD valued above $4 billion, accounting for 11.80% of the overall portfolio. JD share price soared almost 140% in the last twelve months.
Hayden Capital recently pointed to the performance of JD.com in a letter to shareholders. The firm stated: “We originally bought the position in March 2017, predicated on the thesis that as Chinese GDP per capita rises, consumers would increasingly place emphasis on shipping times and name brand / authentic products. In addition, as the consumer base widened and shoppers got in the habit of instant gratification (due to same day / next day shipping), they would engage with the platform more often. The thesis was that this engagement and resulting loyalty to the platform, would allow JD to branch out into higher-margin general merchandise categories (which also have higher order frequencies) vs. their traditional electronics & appliances (lower margin, low order frequency), which would result in higher profits and margins.
Please also see: 15 Best Long-Term Stocks To Buy Now and 10 Best Large-Cap Stocks To Buy According to Ray Dalio
