A group of hedge funds’ favorite stocks has significantly outperformed the market during this year’s elevated volatility. Wall Street bank Goldman Sachs evaluated the holdings of 740 hedge funds and compiled a list of the most popular long positions. This basket of stocks returned 14% year to date, beating the S&P 500 by ten percentage points. These popular long positions also outperformed concentrated short bets in every sector.
Here are three “Strong Buy” stocks currently favorited by hedge funds –
Visa Inc. – SYM: V
Recent Price: $222.24
Price Target: $272.68
Firms with Buy Rating: Goldman Sachs, Morgan Stanley, Jefferies
Description: Visa Inc. operates as a payments technology company worldwide. The company operates VisaNet, a transaction processing network that enables authorization, clearing, and settlement of payment transactions.
Netflix, Inc. – SYM: NFLX
Recent Price: $360.33
Price Target: $368.60
Firms with Buy Rating: UBS, J.P. Morgan, Oppenheimer
Description:Netflix, Inc. provides entertainment services. It offers TV series, documentaries, feature films, and mobile games across various genres and languages. The company provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, television set-top boxes, and mobile devices. The company has approximately 231 million paid members in 190 countries. Netflix, Inc. was incorporated in 1997 and is headquartered in Los Gatos, California.
NVIDIA Corporation – SYM: NVDA
Recent Price: $299.69
Price Target: $307.37
Firms with Buy Rating: Goldman Sachs, J.P. Morgan, Oppenheimer
Description: NVIDIA Corporation provides graphics, and compute and networking solutions in the United States, Taiwan, China, and internationally. The company’s Graphics segment offers GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; vGPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems; and Omniverse software for building 3D designs and virtual worlds. Its Compute & Networking segment provides Data Center platforms and systems for AI, HPC, and accelerated computing; Mellanox networking and interconnect solutions; automotive AI Cockpit, autonomous driving development agreements, and autonomous vehicle solutions; cryptocurrency mining processors; Jetson for robotics and other embedded platforms; and NVIDIA AI Enterprise and other software. The company’s products are used in gaming, professional visualization, datacenter, and automotive markets. NVIDIA Corporation sells its products to original equipment manufacturers, original device manufacturers, system builders, add-in board manufacturers, retailers/distributors, independent software vendors, Internet and cloud service providers, automotive manufacturers and tier-1 automotive suppliers, mapping companies, start-ups, and other ecosystem participants. It has a strategic collaboration with Kroger Co. NVIDIA Corporation was incorporated in 1993 and is headquartered in Santa Clara, California.