In this article, we will highlight Peconic Partners Stock Portfolio: 9 Stock Picks.

US equities are becoming increasingly volatile after a rally to record highs, driven by soaring inflation, geopolitical and monetary policy uncertainty. Are the drivers of the rally still intact? That’s the big question amid concerns about the AI trade and premium valuation in play. According to US equity strategist at Goldman Sachs, Ben Snider, earnings, not valuations, are fueling the US stock market.

Corporate earnings have been exceptionally strong, with S&P 500 companies reporting 18% year-over-year growth. Excluding mega-cap technology stocks, the median S&P 500 reported a 14% increase. However, artificial intelligence spending has been the main driver of current corporate earnings strength. Likewise, the build-out of data center infrastructure is expected to drive roughly half of S&P 500 corporate earnings growth this year and next.

Peconic Partners is one hedge fund that is going against the grain to capitalize on the expected surge in AI spending. Last year, the Bill Harnisch hedge fund packed 90% of its long book into stocks building power lines and fiber networks behind the AI boom, high-speed internet, and clean energy. Consequently, it generated a 79% return compared to a 24% gain for the S&P 500. The hedge fund beat the S&P 500 for the fifth time in six years.

Peconic Partners manages an actively concentrated hedge fund portfolio heavy on industrial, infrastructure, and technology stocks supporting the AI and high-speed internet boom. While Harnsich maintains a cautious view of the market in 2026, let’s take a look at Peconic Partners’ top Stocks likely to outperform the overall market.

Our Methodology

For this list of Peconic Partners’ 9 stock picks, we began by scanning the William Harnisch-led hedge fund’s stock portfolio as of Q1 2026. From there, we selected the hedge fund’s stock picks by equity value. We also reviewed the overall hedge fund sentiment around these stocks using Insider Monkey’s Q1 2026 database. Finally, the stocks were ranked in ascending order based on the value of Peconic Partners’ stake in each company.

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. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).

Peconic Partners Stock Portfolio: Stock Picks

9. Alphabet Inc (NASDAQ:GOOGL)

Peconic Partners’ Investment Stake: $0.5 Million

Number of Hedge Fund Holders: 265

Alphabet Inc (NASDAQ:GOOGL) is one of Peconic Partners’ stock picks. Some 265 hedge funds are backing Alphabet stock. Over the past year, Alphabet shares have more than doubled, and analysts continue to see upside potential in the shares.

Demand for Alphabet Inc (NASDAQ:GOOGL)’s Gemini AI model is outpacing supply so much that the company has had to limit customers’ use of the model as it struggles with capacity constraints. On June 28, the Financial Times reported that Google capped Meta Platforms’ access to Gemini after the Facebook parent requested more Gemini capacity than Google could provide. Other customers have also been hit with Gemini access restrictions.

Meta uses Gemini for tasks like coding, content moderation, and customer service. Gemini is part of Google’s cloud business, which generated more than $20 billion of revenue in Q1 2026. The company said its cloud sales would have been higher if it were able to keep up with demand.

In a sign of surging cloud demand amid AI adoption, Google’s backlog of cloud contracts nearly doubled from the previous quarter to more than $460 billion in Q1. Google is racing to expand its cloud computing capacity to address the growing demand for Gemini resources. As part of this effort, Google has struck a deal to lease computing capacity for Elon Musk’s SpaceX.

Alphabet Inc (NASDAQ:GOOGL) is a global technology conglomerate. Through its Google unit, it provides cloud computing, digital advertising, and various hardware products. Alphabet also provides robotaxi services through Waymo.

8. AMC Entertainment Holdings Inc (NYSE:AMC)

Peconic Partners’ Investment Stake: $2.9 Million

Number of Hedge Fund Holders: 20

AMC Entertainment Holdings Inc (NYSE:AMC) is one of Peconic Partners’ stock picks. The stock is up around 18% year-to-date. Some 20 hedge funds have confidence in AMC stock.

On June 25, AMC Entertainment Holdings Inc (NYSE:AMC) said that it raised roughly $200 million from a registered direct offering of some 95.3 million shares of its common stock. The company plans to use the proceeds from the offering to redeem all of its $125.5 million notes due 2027. These notes have an interest rate of 6.125%.

By redeeming the 2027 notes, AMC expects to reduce its debt burden and lower annual cash interest expense by roughly $7.7 million. The company also aims to improve its debt profile with no notes maturing before 2029.

After redeeming the 2027 notes, AMC plans to use the remaining funds to strengthen its cash reserve and finance growth investments in theatres. For growth investments, the company is considering projects like seating and screen upgrades at the most important theatres to enhance the guest experience.

According to AMC CEO Adam Aron, the theatrical business in 2026 looks promising and reinforces confidence in the company’s growth outlook.

AMC Entertainment Holdings Inc (NYSE:AMC) is the largest movie theatre chain in the world. It operates roughly 850 theatre locations across the globe and focuses on delivering premium experiences. Its theatres feature power-recliner seats and offer a wide variety of content as well as food and beverage choices.

7. Cinemark Holdings, Inc. (NYSE:CNK)

Peconic Partners’ Investment Stake: $11.4 Million

Number of Hedge Fund Holders: 37

Cinemark Holdings, Inc. (NYSE:CNK) is one of Peconic Partners’ stock picks. Cinemark stock is backed by 37 hedge funds, and its shares are up more than 36% year-to-date.

On June 17, Benchmark raised its price target on Cinemark Holdings, Inc. (NYSE:CNK) shares to $37 from $35 while keeping a Buy rating on the stock. The brokerage based its decision on the company’s solid Q1 2026 results and upbeat Q2 trends.

Cinemark delivered Q1 revenue of $643.1 million, which increased 19% YoY and surpassed the Street’s forecast of $619.19 million. The company posted a loss per share of $0.06, which narrowed from a loss per share of $0.32 a year ago and was better than an expected loss per share of $0.13.

Benchmark noted that Q2 trends are improving and tracking ahead of expectations. The brokerage noted that the current quarter is being buoyed by strong film volume, surprise breakout films, and a favorable genre mix. Moreover, the Benchmark cited the company’s improved operating leverage and positive margin outlook.

Texas-based Cinemark Holdings, Inc. (NYSE:CNK) is a leading movie theater chain. It operates nearly 500 theaters across 42 US states and 13 Latin American countries. The company is focused on providing premium experiences for out-of-home entertainment.

6. First Solar Inc (NASDAQ:FSLR)

Peconic Partners’ Investment Stake: $77.9 Million

Number of Hedge Fund Holders: 67

First Solar Inc (NASDAQ:FSLR) is one of Peconic Partners’ stock picks. The hedge fund boosted its stake in First Solar stock by 34% during Q1 2026. The stock has gained more than 42% over the past year, and it boasts the backing of 67 hedge funds.

On June 30, First Solar Inc (NASDAQ:FSLR) shares popped up alongside other solar stocks following a Reuters report on a potential US ban on Chinese inverters. According to the report, the Trump administration is weighing a ban on imports of foreign-made inverters over fears China could use them to disrupt power supplies.

The solar stocks jumped as the report brought added attention to non-China solar supply chains. First Solar provides solar panels made without Chinese technology. While First Solar does not supply inverters, it stands to benefit from increased demand for domestic content in solar projects.

In Q1, First Solar’s net sales rose 24% YoY to $1.04 billion, while the EPS increased 65% to $3.22. It was a strong start to the year with record first-quarter revenue and record sales in India. The margin also expanded, and adjusted EBITDA came above the top end of the internal guidance.

First Solar Inc (NASDAQ:FSLR) is an American manufacturer of solar panels. The company makes advanced thin-film panels, as opposed to the traditional silicon-based panels, and it does not rely on Chinese supply chains. First Solar’s panels are intended for large-scale, grid-connected power plants.

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