Billionaire Ken Fisher’s High Upside Potential Stocks: Apple Inc. (AAPL) and More

Fisher owned 8.1 million shares of Schlumberger Limited. (NYSE:SLB), a market leader in oil and gas equipment and services. Revenue and earnings were each up about 10% in its most recent quarter compared to the same period in the previous year, and the consensus is that continued strong activity in oil and gas will lead Schlumberger’s numbers up as well. Schlumberger was one of the ten most popular energy stocks among hedge funds in the third quarter of the year. Find more energy stocks hedge funds love. We are interested in the industry, but Halliburton Company (NYSE:HAL) is cheaper on a multiples basis- though that company has been seeing negative earnings growth recently.

Telecommunications equipment company QUALCOMM, Inc. (NASDAQ:QCOM) has a PEG ratio of 1, as the market is pricing at 17 times trailing earnings but revenue and earnings growth have been very good recently and is expected to continue. Fisher owned 9.2 million shares of the stock at the end of September, and fellow billionaire Stephen Mandel’s Lone Pine Capital had 6.9 million shares in its own portfolio. Mandel is a Tiger Cub, having worked for legendary investor Julian Robertson. See more stocks Lone Pine owned. We think that it could be worth taking a closer look at the company.

Fisher sold a small portion of its position in Oracle Corporation (NASDAQ:ORCL) but still had over $500 million worth of the stock. At a market capitalization of $158 billion, Oracle carries trailing and forward P/E multiples of 16 and 11, respectively; this shows that 2013 is supposed to be a good year for the company. Oracle was one of Seth Klarman’s favorite stocks at the end of the quarter, with the Baupost Group reporting a position of 13.5 million shares. Again, it might be a good stock to investigate but the multiple is high enough that we’d need quite a bit of convincing that high growth rates will continue.