On January 21, Lynn Martin, the President of the NYSE, joined the Davos 2026 coverage to discuss a robust outlook for global capital markets and describe 2026 as a potential super cycle for IPO activity. She noted a massive pipeline of companies at the one-yard line ready to go public. Martin expects this momentum to accelerate in the latter half of the first quarter and into the second quarter of the year. Regarding high-profile mega IPOs like OpenAI, Anthropic, and SpaceX, she suggested these firms may be more selective and measured due to their significant capital needs, although they remain a potential part of the 2026 story. Furthermore, she clarified that the IPO pipeline is diversified across multiple sectors; while every company is now using AI for revenue generation and efficiency, non-AI companies are also tapping the market.
On January 13, James Demmert, CIO of Main Street Research, appeared on CNBC to suggest that 2026 could be groundbreaking for IPOs and M&A. Demmert noted a robust pipeline of companies waiting to go public after being delayed by a recent government shutdown. He believes that 2026 will be a groundbreaking year for IPOs and M&A activity due to pent-up demand. He advised investors to favor banks with high-tier talent in these areas, specifically JPMorgan and Morgan Stanley. While traditional, consumer-focused banks are expected to beat expectations, Demmert argued that they will only do so by a narrow margin. He suggested that investors looking for the juice of earnings power should lean into investment banks, which are better positioned for high performance.
That being said, we’re here with a list of the 7 most profitable new stocks to buy right now.
Our Methodology
We sifted through the Finviz stock screener to compile a list of new stocks that went public in the last 5 years. Then, we narrowed our list to profitable stocks that had a TTM net income of over $1 billion and a TTM profit margin of over 15%. From that, we selected 7 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q3 2025.
Note: All data was sourced on February 6.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
7 Most Profitable New Stocks to Buy Right Now
7. Venture Global Inc. (NYSE:VG)
Number of Hedge Fund Holders: 27
Venture Global Inc. (NYSE:VG) is one of the most profitable new stocks to buy right now. On February 2, Raymond James initiated coverage of Venture Global with an Outperform rating and an $11 price target. This decision was made as the firm highlighted the company’s position as a fast-growing US LNG provider.
The firm noted that Venture Global’s innovative, scalable development model allows for faster project delivery compared to industry standards. While acknowledging near-term macro and arbitration risks, the analyst suggests these concerns are largely priced in, with expanding contracts and long-term global gas demand supporting a resilient growth outlook.
On January 28, RBC Capital analyst Elvira Scotto lowered the price target for Venture Global Inc. (NYSE:VG) to $11 from $13 with an Outperform rating as part of a Q4 2025 preview for US Midstream. The adjustment was driven by commodity prices and production curtailments, though the firm remains positive on the natural gas growth story despite recent underperformance due to AI bubble concerns. RBC expects natural gas growth to be a significant theme throughout the upcoming earnings season.
Venture Global Inc. (NYSE:VG) develops, constructs, and produces natural gas liquefaction and export projects near the US Gulf Coast in Louisiana. It is involved in natural gas transport, shipping, and regasification, as well as sells LNG.
