Louis Navellier’s 2023 Portfolio: 5 Growth Stocks to Watch

In this article, we discuss 5 growth stocks to watch in Louis Navellier’s 2023 portfolio. If you want to see more stocks in this selection, check out Louis Navellier’s 2023 Portfolio: 15 Growth Stocks to Watch. 

5. First Solar, Inc. (NASDAQ:FSLR)

Stake Value of Navellier & Associates: $4,752,810

Number of Hedge Fund Holders: 39

First Solar, Inc. (NASDAQ:FSLR) offers solar energy solutions utilizing photovoltaic technology. The company specializes in the design, manufacturing, and sale of solar modules made of cadmium telluride, which efficiently convert sunlight into electricity. In the first quarter of 2023, Louis Navellier’s Navellier & Associates added First Solar, Inc. (NASDAQ:FSLR) to its portfolio by purchasing 21,852 shares worth $4.75 million, representing 0.99% of the total holdings. 

On May 22, Piper Sandler increased its price target on First Solar, Inc. (NASDAQ:FSLR) from $225 to $260 and maintained an Overweight rating on the shares. The Q1 earnings season in the renewable and alternative energy sector was described as a rollercoaster by the firm, with a mix of notable positive and negative performance, unexpected capital markets activities, and domestic content guidance. Piper Sandler views domestic content guidance as a positive factor for the industry as a whole and identifies First Solar, Inc. (NASDAQ:FSLR) as a key beneficiary of this guidance. 

According to Insider Monkey’s first quarter database, 39 hedge funds were bullish on First Solar, Inc. (NASDAQ:FSLR), compared to 44 funds in the prior quarter. Robert Pohly’s Samlyn Capital is a significant stakeholder of the company, with a position worth $121.5 million. 

Here is what GDS Investments has to say about First Solar, Inc. (NASDAQ:FSLR) in their Q4 2020 investor letter:

“First Solar recently announced blowout results for its last fiscal quarter with earnings and revenues handily beating estimates. The Biden Administration should only accelerate the inevitable shift away from fossil fuels toward renewable energy as the costs associated with solar energy production reach parity with coal and oil production. As the following chart by the International Energy Agency makes clear, demand for oil should plateau in the 2030’s and, by the 2040’s, would account for less than 20% of global energy consumption.”

4. Novo Nordisk A/S (NYSE:NVO)

Stake Value of Navellier & Associates: $4,831,013

Number of Hedge Fund Holders: 46

Novo Nordisk A/S (NYSE:NVO) is a global healthcare corporation involved in the research, development, production, and promotion of pharmaceutical products. The company operates in two primary divisions – Diabetes and Obesity care, and Rare Disease. In Q1 2023, Louis Navellier’s fund added Novo Nordisk A/S (NYSE:NVO) to its portfolio by purchasing 30,357 shares worth $4.8 million. It is one of the top growth stocks to invest in according to Navellier. 

On April 18, Deutsche Bank analyst Emmanuel Papadakis raised the firm’s price target on Novo Nordisk A/S (NYSE:NVO) to DKK 1,450 from DKK 1,200 and maintained a Buy rating on the shares.

According to Insider Monkey’s first quarter database, 46 hedge funds were bullish on Novo Nordisk A/S (NYSE:NVO), compared to 41 funds in the prior quarter. Tom Gayner’s Markel Gayner Asset Management is the biggest position holder in the company. 

Artisan Global Opportunities Fund made the following comment about Novo Nordisk A/S (NYSE:NVO) in its Q4 2022 investor letter:

“Novo Nordisk A/S (NYSE:NVO) is the global leader in insulin production and diabetes treatment. We believe the company’s drugs for treating diabetes— decreasing blood sugar and weight—have a solid profit cycle runway ahead. However, our core investment thesis is centered around the company’s opportunity in the obesity market with its Wegovy® offering, which is an injectable prescription medication serving as a potentially safer alternative to bariatric surgery. Wegovy® is commercially approved and has the potential to capture a meaningful share of what we expect will be a massive market opportunity considering both the total addressable market combined and the recurring revenue of the medication that must be taken chronically to maintain effectiveness. For the quarter, the company reported 16% growth in sales, but sales within its obesity segment grew by 75%.”

3. Enphase Energy, Inc. (NASDAQ:ENPH)

Stake Value of Navellier & Associates: $4,867,351

Number of Hedge Fund Holders: 55

Enphase Energy, Inc. (NASDAQ:ENPH) provides home energy solutions for the solar photovoltaic industry. They specialize in designing, developing, manufacturing, and selling these solutions in the United States and globally. During the first quarter of 2023, Louis Navellier raised his stake in Enphase Energy, Inc. (NASDAQ:ENPH) by 4%, holding 23,147 shares worth $4.86 million, representing 1.02% of the total securities. 

On April 28, Wells Fargo analyst Praneeth Satish maintained an Overweight rating on Enphase Energy, Inc. (NASDAQ:ENPH) but lowered the firm’s price target on the shares to $230 from $281. Enphase Energy, Inc. (NASDAQ:ENPH) reported a “solid” Q1, but provided “weak” guidance for Q2, the analyst told investors in a research note. The outlook for growth over the next quarters is uncertain, but the price weakness seems overly correctional, the firm said.

According to Insider Monkey’s first quarter database, 55 hedge funds were bullish on Enphase Energy, Inc. (NASDAQ:ENPH), compared to 63 funds in the prior quarter. Philippe Laffont’s Coatue Management is a significant stakeholder of the company, with 714,442 shares worth $150.2 million.

Aristotle Atlantic Large Cap Growth Strategy made the following comment about Enphase Energy, Inc. (NASDAQ:ENPH) in its Q1 2023 investor letter:

“Enphase Energy, Inc. (NASDAQ:ENPH) designs, develops, manufactures and sells home energy solutions in the U.S. and internationally for the solar industry. The company is the world’s leading manufacturer of microinverters that convert solar-generated D.C. energy to A.C. energy usable in homes and buildings. Enphase introduced the world’s first microinverter system in 2008 and has expanded its offerings to include battery storage systems and proprietary technologies that provide energy monitoring and control services for solar energy systems. It sells its products and solutions directly to solar system distributors, large installers and strategic partners.

We see Enphase having a substantial market share that is gained through a premium product offering, superior customer service and the development of a large and diverse network of solar installers and distributors. The company’s products and services address a growing residential solar market. Coupling battery backup systems with existing and newly installed residential solar systems could accelerate the company’s revenue and earnings growth over the next several years, in our view. Additionally, commercial and international expansion offer additional revenue and earnings upside. Enphase also plans to expand manufacturing capacity in the U.S. during 2023 to benefit from tax incentives related to domestic production included in the Inflation Reduction Act (IRA).”

2. Quanta Services, Inc. (NYSE:PWR)

Stake Value of Navellier & Associates: $10,968,745

Number of Hedge Fund Holders: 39

Quanta Services, Inc. (NYSE:PWR) offers infrastructure solutions to various industries worldwide, including electric and gas utility, renewable energy, communications, pipeline, and energy. In Q1 2023, Navaellier owned 65,823 shares of Quanta Services, Inc. (NYSE:PWR) worth nearly $11 million, representing 2.3% of the 13F securities. 

On May 24, Quanta Services, Inc. (NYSE:PWR) declared a quarterly dividend of $0.08 per share, in line with previous. The dividend is payable on July 14, to shareholders of record on July 3. Additionally, the board of directors authorized a new stock repurchase program worth up to $500 million through June 30, 2026.

According to Insider Monkey’s first quarter database, 39 hedge funds were bullish on Quanta Services, Inc. (NYSE:PWR), compared to 43 funds in the prior quarter. William Harnisch’s Peconic Partners is the largest stakeholder of the company, with 5.56 million shares worth $927 million. 

Baron Asset Fund made the following comment about Quanta Services, Inc. (NYSE:PWR) in its Q1 2023 investor letter:

“We initiated a position in Quanta Services, Inc. (NYSE:PWR) during the quarter. Quanta is a leading specialized contracting services company for the utility, energy, and communications industries. We think the company is well positioned to benefit from the substantial investment that will be required to build out both the existing electric grid and renewable energy production capacity to meet the country’s clean energy goals.

Investment in the electric grid is necessary not only to upgrade aging infrastructure and increase its reliability but also to connect it to sources of renewable energy. The nature of the electric grid is changing. It will increasingly be expected to meet the needs of a diverse energy landscape, as more intermittent renewable energy resources are added and more distributed energy resources, like rooftop solar, are connected. In particular, we believe that widespread adoption of electric vehicles will require substantial investment in the distribution grid. This is because the ensuing load requirements are well in excess of what the existing infrastructure can support, leading to necessary upgrades. The Inflation Reduction Act should accelerate these trends and give more than a decade of visibility into grid related investments. We believe these drivers create a robust backdrop for Quanta’s business…” (Click here to read the full text)

1. NVIDIA Corporation (NASDAQ:NVDA)

Stake Value of Navellier & Associates: $17,025,357

Number of Hedge Fund Holders: 132

NVIDIA Corporation (NASDAQ:NVDA) delivers solutions in the areas of graphics, computing, and networking. In Q1 2023, Louis Navellier’s hedge fund held 61,293 shares of NVIDIA Corporation (NASDAQ:NVDA) worth $17 million, representing 3.58% of the total 13F securities. 

On May 24, NVIDIA Corporation (NASDAQ:NVDA) declared a quarterly dividend of $0.04 per share, in line with previous. The dividend is distributable on June 30, to shareholders of record on June 8. 

According to Insider Monkey’s first quarter database, 132 hedge funds were long NVIDIA Corporation (NASDAQ:NVDA), compared to 106 funds in the prior quarter. Rajiv Jain’s GQG Partners is a significant position holder in the company, with 8.2 million shares worth $2.29 billion. 

Alger Spectra Fund made the following comment about NVIDIA Corporation (NASDAQ:NVDA) in its Q1 2023 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) is a leading supplier of graphics processing units (GPUs) for a variety of end markets, such as gaming, PCs, data centers, virtual reality and high-performance computing. The company is leading in most secular growth categories in computing, and especially artificial intelligence and super-computing parallel processing techniques for solving complex computational problems. Simply put. Nvidia’s computational power is a critical enabler of Al and therefore critical to Al adoption, in our view. As such, we believe Nvidia is a long-term high unit volume growth opportunity. During the period, NVIDIA reported fiscal fourth-quarter results that met expectations, as the company navigated. through an inventory correction associated with the broad macroeconomic slowdown. Moreover, management gave fiscal year earnings guidance that was better than analyst estimates. noting strong year-over-year growth in gaming and data centers. Management’s constructive assessment of 2023 prospects. coupled with the rapid rollout and adoption of generative Al offerings, led to positive share price performance.”

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