In this article, we will take a look at the Early Retirement Portfolio: Top 5 Stocks to Buy. For a deeper discussion and analysis, have a look at the Early Retirement Portfolio: Top 15 Stocks to Buy.
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5. The Procter & Gamble Company (NYSE:PG)
Number of Hedge Fund Holders: 90
On April 9, RBC Capital lowered its price recommendation on The Procter & Gamble Company (NYSE:PG) to $167 from $172. It reiterated an Outperform rating on the shares. The update came as part of a broader Q1 preview covering Home and Personal Care, Beverages, and Packaged Food. The firm expects the March quarter to be fine, though growth at the top line remains slow.
The focus, in its view, is shifting toward forward commentary. The Middle East conflict has introduced both revenue and inflation risks, which companies will need to address in their outlook. RBC noted that the ceasefire announcement is a positive development. Even so, it still expects some lasting effects, including commodity prices staying elevated compared to levels seen before the conflict.
The Procter & Gamble Company (NYSE:PG) operates as a global provider of branded consumer packaged goods. Its business is organized across segments that include Beauty, Grooming, Health Care, Fabric & Home Care, and Baby, Feminine & Family Care. The company sells its products in around 180 countries and territories.
4. Costco Wholesale Corporation (NASDAQ:COST)
Number of Hedge Fund Holders: 106
On April 9, Telsey Advisory Group raised its price recommendation on Costco Wholesale Corporation (NASDAQ:COST) to $1,135 from $1,125. It reiterated an Outperform rating on the shares. The firm said Costco is still executing well, even with some uncertainty in the broader environment. It expects the company to keep gaining share while staying profitable.
Also on April 9, Wells Fargo lifted its price target on Costco to $1,000 from $950 and maintained an Equal Weight rating. The firm pointed to a solid March performance. Core comparable-store sales rose 6.2%, despite a 150 basis point headwind from Easter timing. Higher gas prices provided a slight offset. Wells Fargo does not expect much of a reaction in the stock, as consumer uncertainty is still present.
On April 8, Costco reported net sales of $28.41 billion for March, up 11.3% from $25.51 billion last year. Comparable sales for the five weeks ended April 5, 2026, increased 9.4%. The US rose 8.7%, Canada was up 10.7%, and other international markets gained 11.9%. E-commerce was a standout, with comparable sales up 23.3% for the month. After adjusting for foreign exchange and gas prices, comparable sales were up 6.2% overall, including a 6.2% increase in the U.S.
Costco Wholesale Corporation (NASDAQ:COST) operates membership warehouses and e-commerce platforms that offer nationally branded and private-label products across a wide range of categories. The company buys most of its merchandise directly from suppliers and routes it to cross-docking consolidation depots or directly to its warehouses.
3. S&P Global Inc. (NYSE:SPGI)
Number of Hedge Fund Holders: 108
On April 13, Wells Fargo lowered its price recommendation on S&P Global Inc. (NYSE:SPGI) to $525 from $530. It reiterated an Overweight rating on the shares. The firm pointed to a higher risk that S&P Global’s Ratings business, along with Moody’s Corporation (MCO) MIS revenue, could fall short of Street expectations in Q1. It noted that issuance activity has slowed recently, largely tied to the conflict in Iran, which has pushed credit spreads higher.
On April 7, Morgan Stanley analyst Toni Kaplan lowered the firm’s price target on S&P Global to $556 from $580 and maintained an Overweight rating. She said resilient March issuance helped close out “a solid issuance quarter to start 2026.” At the same time, she expects both S&P Global and Moody’s to hold their guidance, given the current geopolitical backdrop, while still seeing room for upside.
S&P Global Inc. (NYSE:SPGI) provides data and analytics across global markets. Its operations are organized into five segments: S&P Global Market Intelligence, S&P Global Ratings, S&P Global Commodity Insights, S&P Global Mobility, and S&P Dow Jones Indices.
2. Applied Materials, Inc. (NASDAQ:AMAT)
Number of Hedge Fund Holders: 111
On April 13, B. Riley Financial analyst Craig Ellis raised the firm’s price recommendation on Applied Materials, Inc. (NASDAQ:AMAT) to $485 from $450. It reiterated a Buy rating on the shares. The firm updated its multi-year outlook for AI-related capital spending and semiconductor wafer fab equipment. It said it is becoming more constructive on industry prospects for calendar years 2026 through 2028.
On April 8, Applied Materials introduced two new chipmaking systems designed to support the smallest features used in advanced logic chips. The company said these tools can control material deposition at the atomic level. That level of precision helps chipmakers build faster and more power-efficient transistors, which are increasingly important as AI infrastructure demand grows.
The industry is under pressure to improve performance while lowering power consumption. As AI workloads expand, manufacturers are looking for ways to make each chip more efficient. One approach is the shift toward Gate-All-Around transistors at the 2nm level and beyond. These designs can deliver better performance at the same power, though they are more difficult to produce.
Building these 3D transistor structures can involve more than 500 process steps. Many of those steps require new methods to deposit materials with very high precision, sometimes at scales close to individual atoms. Applied’s new systems are built to address that complexity. They focus on depositing metals and insulating materials that influence chip speed and energy efficiency, supporting the next wave of high-performance computing.
Applied Materials, Inc. (NASDAQ:AMAT) provides materials engineering solutions to the semiconductor, display, and related industries. Its operations are organized into Semiconductor Systems, Applied Global Services, and Display segments.
1. Walmart Inc. (NASDAQ:WMT)
Number of Hedge Fund Holders: 114
On April 13, Guggenheim Partners raised its price recommendation on Walmart Inc. (NASDAQ:WMT) to $137 from $120. It reiterated a Buy rating on the shares. The analyst said Walmart’s scale, product mix, value perception, and operational focus leave it well positioned for the “macro-related schizophrenia that has seen the market ping-pong between risk-off and risk-on preferences over the past year.”
On April 14, Walmart Inc. announced the launch of Upstream Facility Services, a new business that brings its in-house maintenance capabilities to other companies across the country. The offering is built on the same systems and scale that support Walmart and Sam’s Club locations. The company said this allows it to deliver faster response times, more consistent service, and real-time visibility.
Upstream is aimed at businesses that operate across multiple locations, where uptime and speed can directly affect revenue. The service currently focuses on HVAC, refrigeration, general maintenance, electrical, and plumbing work. The model combines urgent repairs with preventive and predictive maintenance. With technicians located near many customer sites, the goal is to respond quickly, reduce downtime, and help avoid repeat issues while extending the life of equipment.
Walmart Inc. (NASDAQ:WMT) operates as a technology-driven omnichannel retailer. It runs retail and wholesale stores, clubs, eCommerce platforms, and mobile apps across markets including the United States, Africa, Canada, Central America, Chile, China, India, and Mexico.
While we acknowledge the potential of WMT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than WMT and that has 100x upside potential, check out our report about the cheapest AI stock.
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