In this article, we will take a look at the 8 good stocks to buy right now.
Stocks to Perform Well in 2025
On October 14, Tom Lee, Fundstrat Global Advisors managing partner and head of research, appeared in an interview on CNBC to discuss the latest market trends and share his expectations.
In a previous interview, Lee hinted that a period of market volatility is expected, as 2024 heads for a soft landing. However, in this interview, Lee revealed that he had underestimated the market and that it had been extremely resilient and confident, contrary to what he believed earlier. He adds that this indicates the decreasing importance of macroeconomic data to investors.
Lee also adds that for the past two years, investors have been expecting a recession and have held back. Henceforth, with all this cash on the sidelines, investors have been more than willing to invest. October so far has been a great month for the market, despite CPI data being higher than expectations.
Lee emphasizes the need for the Fed to be more supportive as concerns over the job market rise and the upcoming election draws closer. He suggests that despite the election results he expects stocks to perform well in 2025.
The Fed Should Go Slower, Strategist Says
The market rose to an all-time intraday earlier today and the Fed governor stressed the need for caution amid decreasing interest rates. On October 15, Warren Pies, from 3Fourteen, appeared in an interview on CNBC to discuss his market thesis for the rest of the year.
Pies suggests that rates are the biggest risk to the market at the moment, especially if drastic measures are introduced. He further adds that if the Fed decides to bring the rate down to 3% immediately, the long-term market outlook could be extremely volatile.
He explained that the concern is more about the rate of change and not the absolute level the Fed is trying to achieve. Pies adds that the market still has a lot of room to run before another drastic cut is implemented. He emphasized that the Fed must operate at a pace the market can digest. He also suggested that the market has started to reaccelerate, hinting that a soft landing is more likely.
Now that we have studied the market outlook up until the end of 2024, let’s take a look at some of the good stocks to buy right now.
A financial analyst looking at a monitor displaying the stocks of the public company.
Our methodology
We used a consensus-based approach and sifted through financial media reports to first compile a list of good stocks to buy right now. We then shortlisted and ranked these stocks by using Insider Monkey’s hedge fund data for the second quarter of 2024.
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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
8 Good Stocks To Buy Right Now
8. Pfizer Inc. (NYSE:PFE)
Number of Hedge Fund Holders: 84
Pfizer Inc. (NYSE:PFE) is a good stock to buy right now and we say that because at the end of Q2 2024, 84 hedge funds were bullish on PFE. Pfizer Inc. (NYSE:PFE) is a leading pharmaceutical and biotechnology company based in New York, United States.
Cost savings is a crucial goal for the company. The company is undergoing a Manufacturing Optimizing Program focused on enhancing efficiency that will deliver $1.5 billion in savings by the end of 2027. Overall, Pfizer Inc. (NYSE:PFE) is also fixated on improving its operations and access to healthcare. As a testament to this, the company recently launched a new and improved digital platform, PfizerForAll, that simplifies access to healthcare.
Speaking of its strategic investments, in March the company acquired Seagen, a biotechnology firm, for $43 billion. The acquisition is projected to deliver more than $10 billion in revenues by 2030. In August, Pfizer and its biotechnology partner were approved by the FDA to roll out their new shots before the flu season commences.
While the stock has experienced lower momentum recently, it has huge growth potential driven by its huge drug pipeline and solid strategic acquisitions. The company has commercialized nearly 19 products in the past 18 months, a huge feat for the company. Pfizer Inc. (NYSE:PFE) expects new launches to add $20 billion to its revenue in 2030.
Parnassus Investments’ Parnassus Value Equity Fund stated the following regarding Pfizer Inc. (NYSE:PFE) in its first quarter 2024 investor letter:
“During the quarter, we added new positions in Pfizer Inc. (NYSE:PFE), NICE and Charter Communications. We purchased Pfizer to capture the potential upside from any turnaround following the COVID-induced boom-bust cycle of the last few years. Pfizer’s stock price sank by more than 40% in 2023 as COVID-19 vaccine revenues rolled off, providing an attractive entry point for us. The company completed its acquisition of Seagen, which should strengthen Pfizer’s pipeline in antibody-drug conjugates (ADC). Pfizer also offers an attractive dividend yield.”
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