In this article, we will take a detailed look at the Top 10 Trending Stock Ratings and Calls as Tom Lee Says Latest Selloff is a Buying Opportunity.
Markets saw a bloodbath on Friday amid President Donald Trump’s new announcement on China tariffs. However, Tom Lee from Fundstrat said in a latest program on CNBC that the selloff was a buying opportunity. The analyst said the latest surge in VIX — popular measure of the stock market’s expectation of volatility — was a “good” thing because it indicates a rebound is in sight. Here is how the analyst explained his point:
“It shows you that investors are seeking protection,” Lee said. “And, as you know, the VIX is a measure of expected volatility of the largest 100 stocks, and so a spike in the VIX is really a market saying, ‘Okay, I need to get out of everything, but I can’t sell everything, so let me hedge it by buying volatility,’ and that is usually a sign of an interim low. I mean, I don’t want to say I think markets are bottoming today, but we know that the forward returns are pretty good one month and even one week later. So, I would say if someone says, ‘Are we higher a week from today?’ I’m going to say the odds are actually really good. We might even be 60 points higher.”
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10. Archer Aviation Inc (NYSE:ACHR)
Number of Hedge Fund Investors: 35
Josh Brown from CNBC said in a program earlier this month that he was bullish on Archer Aviation. Here is what the analyst said:
“Archer Aviation Inc (NYSE:ACHR) was just named a Conviction Long for Q4 at Deutsch. Stocks like Joby and Planet Labs, which we discussed on Tuesday, are all having an unbelievable week.”
Brown has been bullish on Archer and Joby for months now. Back in June, he explained why he’s bullish on these companies in detail. Here is what he said at the time:
“They are working on something that I think has massive potential over the next 10 or 15 years. There’s something called the low-altitude economy. Donald Trump just signed something that removes a lot of the red tape for testing these technologies out. Effectively, it’s a combination of an airplane and a helicopter. They want to do what’s called vertical takeoff and landing, VTOL, as opposed to conventional takeoff and landing, which is with a runway. If they can get certifications, which is the next catalyst over the next six months to a year, I think there will be a revenue model. In the case of Archer, they’ve got a prototype called Midnight — you can look on YouTube. They just managed to do a conventional takeoff and landing that works successfully for the Midnight vehicle. That one is not looking to launch a taxi service but is looking to actually sell these. I think the most obvious use case is highway traffic accidents, getting people lifted up and to a hospital immediately.”
9. Conagra Brands Inc (NYSE:CAG)
Number of Hedge Fund Investors: 38
Peter Boockvar, CIO at One Point BFG Wealth Partners, recently talked about Conagra Brands Inc (NYSE:CAG) latest earnings call, where the company’s management discussed consumer-related challenges. However, the analyst said he likes the stock amid the company’s ability to capture low-income consumers and valuation.
“If you take this further, their frozen foods are doing well—take a frozen meal you’d find at a supermarket. If you can get a meal for five or six dollars, it becomes more appealing, and their frozen food business is growing. In the snack business, which is considered a discretionary category, one area performing well is beef jerky under their Slim Jim brand, which rose 4% in that segment. Overall, it’s a mixed bag for the business. However, stocks in the consumer products and food sector have been heavily beaten down due to commodity and volume pressures. Despite that, the stocks are very cheap and offer generous dividend yields, making them attractive purchases in a highly valued market.”
8. Domino’s Pizza Inc (NASDAQ:DPZ)
Number of Hedge Fund Investors: 42
Andrew Charles, TD Cowen analyst, said in a program earlier this month on CNBC that he likes DPZ. Here is what the analyst said:
“We also like Domino’s Pizza, as we believe they are poised for a strong quarter and a better outlook for 2026 than investors currently expect.”
7. Dutch Bros Inc (NYSE:BROS)
Number of Hedge Fund Investors: 44
Andrew Charles, TD Cowen analyst, said in a latest program on CNBC that Dutch Bros is his favorite stock in the fast causual restaurant industry. Here is what the analyst said:
“We like that this company has been executing well and has had the cleanest story of 2025, combined with the food rollout they’re doing and other developments in the restaurant industry.”
Artisan Small Cap Fund stated the following regarding Dutch Bros Inc. (NYSE:BROS) in its Q1 2025 investor letter:
“Along with Dayforce, we ended our investment campaigns in MYR Group and Dutch Bros Inc. (NYSE:BROS) during the quarter. Dutch Bros operates and franchises quick-service retail shops that serve customizable hand-crafted beverages. The operating model centers around a highly efficient, drive-thru shop format focused on product quality, speed and service. Our thesis is driven by the company’s footprint penetration growth strategy, which is supported by attractive unit-level cash-on-cash returns, as it expands into existing markets and enters new markets. Shares rallied over our holding period, and we exited the position due to our valuation discipline.”
6. Veeva Systems Inc (NYSE:VEEV)
Number of Hedge Fund Investors: 61
Josh Brown from CNBC recently talked about why he added VEEV to his best stock ideas list. Veeva Systems provides cloud-based software for the life sciences industry. Brown talked about the company’s AI angle and CRM solution for pharma companies:
“It’s this incredible company. Basically, every time you hear a pharmaceutical or a biotech CEO extolling the virtues of what AI is going to do for their business, they’re probably excited because they’re working with Veeva Systems. Veeva is effectively becoming the industry standard CRM platform for drug discovery. They’ve signed some of the biggest companies in healthcare, Bristol Myers recently. They’ve got a product called Vault CRM. What’s changed with this company over the last couple of years, and the reason why it’s rallying so hard, is they used to have a system that was built on top of Salesforce itself. They’ve spent a ton of money in capex to build their own system, their own Vault CRM. The fundamentals here are strong because this is not just a chart. Net income this year is up 36% to 714 million, up from 525 million in fiscal year 2024. Operating margins look great now that they’ve built the platform back up to 25.2%. This year is going to be the company’s most profitable year in absolute dollar terms back to 2020. They’ve made this huge investment, built out their own product, and are signing large deals with some of the biggest companies in pharma and biotech. Again, it’s a stock that not a lot of people know about while they increase market share. It’s not a cheap stock, nor should it be. It’s operating at a very high level. I think the $300 level has been resistance going back to May. If the stock can get above and stay there, I think we’re in a new leg of the bull market and I would want to be long. The stop loss here, very simply, is 260 to 265. That was prior resistance, and I think that becomes support. So that’s your risk-reward.”
TimesSquare Capital U.S. Focus Growth Strategy stated the following regarding Veeva Systems Inc. (NYSE:VEEV) in its second quarter 2025 investor letter:
“The strategy received a 24% boost from Veeva Systems Inc. (NYSE:VEEV) which offers cloud-based systems for the life sciences industries, from R&D to commercialization. Veeva’s revenues and earnings bested expectations with some of the strongest dollar-value results in the company’s history. Commercial subscription revenue growth accelerated, driven by Veeva’s Crossix platform that provides anonymized data analytics for health care marketing. Veeva also recently announced new AI-embedded features for its Vault suite of customer relationship management applications.”
5. DraftKings Inc (NASDAQ:DKNG)
Number of Hedge Fund Investors: 66
David Katz, gaming, lodging and leisure analyst at Jefferies, said in a latest program on CNBC that the notion that prediction market Kalshi is having a negative impact on DraftKings Inc (NASDAQ:DKNG) lacks weight based on his research. Here is what he said:
“The narrative that Kalshi is taking share that would otherwise go to DraftKings Inc (NASDAQ:DKNG), we believe, is not substantive. We’ve done a fair amount of work on what the prediction markets are doing, how they operate, and how that relates to the numbers they are putting out. While they have made some progress, what they are really excelling in is the debate over the legality of swap contracts—whether what they are doing counts as a swap and is therefore federally regulated. Meanwhile, state gaming regulators have warned DraftKings Inc (NASDAQ:DKNG) and FanDuel that they should not participate in prediction markets, either in their states or elsewhere, because they consider it illegal gaming. This is keeping them on the sidelines. If a regulatory or legal conclusion could be reached—which we don’t expect anytime soon— DraftKings Inc (NASDAQ:DKNG), FanDuel, and similar companies would likely perform very well, probably much better than Kalshi, in our estimation.”
Brown Advisory Large-Cap Growth Strategy stated the following regarding DraftKings Inc. (NASDAQ:DKNG) in its second quarter 2025 investor letter:
“We initiated positions in DraftKings Inc. (NASDAQ:DKNG) and Fair Isaac Corporation (FICO) during the quarter. DraftKings (DKNG) is a leader in the rapidly expanding U.S. online gaming and sports betting market, capitalizing on ongoing state-by-state legalization and a growing total addressable market. As a co-leader in the industry, DraftKings is uniquely positioned to benefit from favorable regulatory trends and increased consumer adoption. The company is demonstrating improving economics, supported by disciplined cost management and operational leverage. With continued expansion, product innovation, and a strong brand, DraftKings is well-equipped to capture additional market share and sustain long-term growth.”
4. Coinbase Global Inc (NASDAQ:COIN)
Number of Hedge Fund Investors: 87
Tim Seymour, the founder and Chief Investment Officer of Seymour Asset Management, said in a recent program on CNBC that he likes Coinbase Global Inc (NASDAQ:COIN). Here is how the analyst made the case for the crypto stock:
“Coinbase Global Inc (NASDAQ:COIN) is certainly in line with the move we have seen in digital assets and all the craziness in that corner of the digital market. To me, Coinbase Global Inc (NASDAQ:COIN) is a combination of the flywheel between the trading business and the platform that allows people to access TradeFi, along with all the dynamics that form the infrastructure of where this market is going. They are not going to become obsolete because people will trade elsewhere. They are making substantial investments into this, and I think they will remain a key player.”
Fidelity Growth Strategies Fund stated the following regarding Coinbase Global, Inc. (NASDAQ:COIN) in its second quarter 2025 investor letter:
“Conversely, an underweight in Coinbase Global, Inc. (NASDAQ:COIN), a position that was not in the portfolio at the start of Q2 but which we added during the quarter, was the largest relative detractor. In May, the U.S. Senate introduced the GENIUS Act, which aims to create a regulatory framework for ensuring the stability of digital assets. The potential for regulatory clarity in the cryptocurrency industry – along with sharply rising prices for bitcoin – helped Coinbase Global’s stock gain 104% the past three months.”
3. Oracle Corp (NYSE:ORCL)
Number of Hedge Fund Investors: 124
GQG Partners Portfolio Manager Brian Kersmanc recently discussed why he became underweight tech stocks amid weakening fundamentals. The analyst talked about Oracle and how the company is “undercutting prices” on enterprise deals.
“Pricing dynamics within cloud are coming under a lot of pressure due to increased competition. This is where many cloud providers are struggling, as companies like Oracle Corp (NYSE:ORCL) are undercutting prices by 40–70% on many enterprise deals. This is dragging down pricing across the cloud sector, including players like AWS, making it a less profitable venture. Switching costs are decreasing, and the overall economics are not as favorable. The market is becoming more commoditized, which is challenging given the significant investments being made in this area.”
ClearBridge Large Cap Growth Strategy stated the following regarding Oracle Corporation (NYSE:ORCL) in its third quarter 2025 investor letter:
“During the quarter, the Strategy initiated new positions in infrastructure software providers Oracle Corporation (NYSE:ORCL) and Datadog and added to custom silicon developer Broadcom. Oracle, a leading provider of database software for large enterprises, has successfully expanded into cloud infrastructure as a platform to run generative AI workloads. Oracle is gaining share among hyperscalers due to its lower-cost data center architecture, which is well-suited for large scale AI training workloads. We believe Oracle’s share of the market will continue to grow over the next few years with profitability of this growth underappreciated by the market.”
2. Netflix Inc (NASDAQ:NFLX)
Number of Hedge Fund Investors: 133
Josh Brown from CNBC recently talked about Netflix and the impact of Elon Musk’s campaign against the company. He believes the company can face some “rough” times but does not see a reason to sell the stock.
“This is like every publicly traded media company’s worst nightmare—when public attention turns sharply to something they’re doing. We’ve seen real-world effects, not just on stock prices, but on how companies operate. So, I wouldn’t completely dismiss Netflix Inc (NASDAQ:NFLX) having a rough couple of weeks, but in my personal opinion, it has nothing to do with the programming or the controversy itself. I don’t think it will have a lasting effect on the stock price, and I don’t expect Netflix Inc (NASDAQ:NFLX) management to make decisions that could worsen the situation, as we’ve seen with other firms in recent years. If I were considering the stock as a new entry, I would view this more as an opportunity rather than a reason to sell. Personally, I own the stock right now and am not selling.”
Macquarie Core Equity Fund stated the following regarding Netflix, Inc. (NASDAQ:NFLX) in its second quarter 2025 investor letter:
“Netflix, Inc. (NASDAQ:NFLX) offers a subscription-based streaming service. We expect the company’s growth momentum will continue while investments in content and licensing grow at a slower rate, allowing for higher margins over the coming two to three years.”
1. Apple Inc (NASDAQ:AAPL)
Number of Hedge Fund Investors: 156
Edison Lee, Jefferies analyst, said in a latest program on CNBC that Apple’s (NASDAQ:AAPL) much-awaited foldable phone would not be enough for the company to “move the needle.” The analyst recently downgraded Apple Inc (NASDAQ:AAPL) to sell and said the market’s expectations about an upgrade cycle are too high.
“The smartphone industry—not just Apple Inc (NASDAQ:AAPL), but also the Android players—is facing a serious structural slowdown because there are no truly innovative features that current phones can’t already perform. Most improvements are incremental. The foldable next year is exciting for Apple Inc (NASDAQ:AAPL), but it is not a brand-new form factor; it has been around for several years. Looking at Samsung’s latest foldable, the Galaxy F7, which is priced at $2,000, it’s a very nice phone, but volumes are unlikely to exceed 3 million units. The iPhone could potentially sell three times that due to its high-end, loyal customer base, but even so, it probably won’t be enough to significantly move the needle.”
Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Apple Inc. (NASDAQ:AAPL) in its second quarter 2025 investor letter:
“Finally, shares of technology bellwether Apple Inc. (NASDAQ:AAPL) underperformed the market and lost value as the company faced a classic innovator’s dilemma, which appeared all the more egregious as competitors embraced the AI opportunity. Apple has had a dominant market position in smartphones and services, but now more than ever, investors are questioning the future outlook for the company. Despite posting a negative absolute strategy return during the quarter, which weighed on absolute strategy returns, relative to Apple’s the company’s large position in the benchmark our underweight position proved to be a tailwind to relative results during the quarter.”
While we acknowledge the potential of AAPL to grow, 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 AAPL and that has 100x upside potential, check out our report about this cheapest AI stock.
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