Billionaire Chase Coleman’s 10 Stocks with Huge Upside Potential

6. Applied Materials, Inc. (NASDAQ:AMAT)

Tiger Global Management LLC’s Stake Value: $145.59 Million

Upside Potential as of April 30: 35.76%

Number of Hedge Fund Holders: 80

Applied Materials, Inc. (NASDAQ:AMAT) is a technology company that provides manufacturing equipment, services, and software to the semiconductor industry. It develops, manufactures, and sells semiconductor equipment used to fabricate semiconductor chips or integrated circuits. Barclays has stuck with a Hold rating on the stock with a $160 price target despite it going down by about 8% year to date.

The 8% slide comes on investors becoming increasingly weary of Applied Materials, Inc.’s (NASDAQ:AMAT) near-term prospects amid higher costs and global trade tensions due to the US-China trade and tariff war. AMAT’s position in a market that generated 30% of its $26.5 billion in revenue last year is further threatened by China’s retaliatory tariffs on American exports. Tariffs on specialized resources, such as rare-earth metals or high-purity silicon, might drive up prices, forcing the company to either absorb the loss or pass it on, which could backfire on customers.

Applied Materials, Inc. (NASDAQ:AMAT) has already purchased 9% of the outstanding share of BE Semiconductor Industries as it seeks to strengthen its prospects in manufacturing assembly for die-based hybrid bonding. Hybrid bonding solutions are becoming increasingly important in developing advanced logic and memory chips at the foundation of AI.