This article presents an overview of the 5 Best Undervalued Stocks To Buy Now According To The Media. For a detailed overview of such stocks, read our article 15 Best Undervalued Stocks To Buy Now According To The Media.
5. The Walt Dinsey Company (NYSE:DIS)
No. Of Hedge Fund Investors: 89
Many believe The Walt Dinsey Company (NYSE:DIS) would be able to get back to its glory days under the leadership of Bob Iger. One of the famous analysts bullish on The Walt Dinsey Company (NYSE:DIS)is Jim Cramer. Activist investor Nelson Peltz is also getting ready for a proxy fight at The Walt Dinsey Company (NYSE:DIS) which could cause a major shakeup and eventual positivity for The Walt Dinsey Company (NYSE:DIS).
Madison Sustainable Equity Fund made the following comment about The Walt Disney Company (NYSE:DIS) in its Q3 2023 investor letter:
“During the quarter, we sold our positions in Bristol-Myers Squibb and The Walt Disney Company (NYSE:DIS). The Walt Disney Company is facing a difficult and uncertain transition in its core media business assets including the ESPN business and other linear media assets. These media assets are cash generative but face secular decline as consumers are cutting their expensive cable subscriptions and moving to alternative streaming options. This has resulted in a decline in operating profits for the media division. The media business has long-term fixed costs related to its sports broadcasting agreement with multiple sports leagues which will further pressure profits during this transition.”
4. Alibaba Group Holding Limited (NYSE:BABA)
No. Of Hedge Fund Investors: 110
Alibaba Group Holding Limited (NYSE:BABA) has undoubtedly fallen from its glory days. But many believe the stock has the ability to rebound. Ecommerce and public Cloud markets are expected to clock huge growth in the long term and Alibaba Group Holding Limited (NYSE:BABA) is positioned well to profit from this trend. Alibaba Group Holding Limited (NYSE:BABA) is also cutting its huge dependence on China by expanding into other markets.
Recently, CNBC reported that Alibaba Group Holding Limited (NYSE:BABA) has decided to overhaul its Cloud business, appointing industry veterans to key leadership positions. The report said Alibaba Group Holding Limited (NYSE:BABA) will focus on public cloud, hybrid cloud and cloud infrastructure.
3. Apple Inc (NASDAQ:APPL)
No. Of Hedge Fund Investors: 134
Apple Inc (NASDAQ:APPL) ranks 3rd in our list of the best undervalued stocks to buy now according to the media. Dan Ives of Wedbush is the biggest Apple bull in the Street. In September, after the launch of iPhone 15, Ives gave a $240 price target on Apple Inc (NASDAQ:APPL). Ives thinks fears around the stock regarding China are overblown. He also thinks 250 million of the total iPhone users in the world haven’t upgraded their iPhones over the past four years and this could cause a new super-cycle for Apple Inc (NASDAQ:APPL) in terms of iPhone sales.
As of the end of the third quarter of 2023, 134 hedge funds out of the 910 funds tracked by Insider Monkey reported having stakes in Apple Inc (NASDAQ:APPL).
Carillon Clarivest Capital Appreciation Fund made the following comment about Apple Inc. (NASDAQ:AAPL) in its Q3 2023 investor letter:
“Apple Inc. (NASDAQ:AAPL) designs, manufactures and markets mobile communication devices, personal computers and media devices. Shares fell following a report that Chinese government agencies have barred staff from using Apple products at work because of security concerns.”
2. Alphabet Inc (NASDAQ:GOOG)
No. Of Hedge Fund Investors: 221
There have been concerns about the future growth of Alphabet Inc (NASDAQ:GOOG) amid the AI wave that is promising to change how people search, the biggest business of Alphabet Inc (NASDAQ:GOOG) and its bread and butter. But the recent release of Alphabet Inc’s (NASDAQ:GOOG) LLM Gemini has highlighted how the market was estimating Alphabet Inc’s (NASDAQ:GOOG) AI prowess. If anything, OpenAI’s launch of ChatGPT nudged Google to get its act together and unleash itself by opening the floodgates of innovation. Many analysts believe the market is not valuing the Alphabet Inc’s (NASDAQ:GOOG) Cloud and Other Bets business segments properly. Alphabet is also positioned to keep its video ads dominance, thanks to YouTube.
Carillon Clarivest Capital Appreciation Fund made the following comment about Alphabet Inc. (NASDAQ:GOOG) in its Q3 2023 investor letter:
“Alphabet Inc. (NASDAQ:GOOG), the parent company of Google, provides online advertising services worldwide. The company launched its chatbot in Europe and Brazil and said that the artificial intelligence tool can now be interacted with in more than 40 languages and includes new features such as the ability to use images in chat.”
1. Amazon.com Inc (NASDAQ:AMZN)
No. Of Hedge Fund Investors: 286
Concerns recently circled Amazon.com Inc (NASDAQ:AMZN) stock amid fears that rising inflation and threats to consumer sentiment might hurt the Amazon.com Inc’s (NASDAQ:AMZN) business. Slowing growth in Cloud business also emboldened Amazon.com Inc (NASDAQ:AMZN) bears. But Amazon bulls believe Amazon.com Inc (NASDAQ:AMZN) fundamentals are strong and once the inflation and recession clouds begin to recede, Amazon.com Inc (NASDAQ:AMZN) will rebound with full force. The stock is already up by about 71% year to date through December 8.
Dan Niles, Satori Fund founder, recently said in a program that Amazon.com Inc (NASDAQ:AMZN) was his favorite Magnificent Seven stock. The analyst praised Amazon.com Inc’s (NASDAQ:AMZN) operating profit and valuation.
Here is what Claret Asset Management has to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q3 2023 investor letter:
“We have mentioned in the last letter that the “magnificent seven”, including Amazon.com, Inc.,dominated the performance of the S&P 500. We might have left you with the feeling that we are bearish because we don’t find the Magnificent 7 attractive. Let us make it clear: we are just not so pessiimistic as to believe there are only 7 growth opportunities in the entire global equity market. In fact, we are optimists and think opportunity is abundant. Just not in everyone’s current 7 favorite stocks.”
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