In this piece, we will take a look at the 10 best asset management stocks to buy according to short sellers.
On a market level, investing can be described into two categories, active investing and passive investing. Active investing, as the name suggests, is a hands on approach which involves the investment manager or the regular investor regularly evaluating their portfolio to trim holdings or add to them depending on individual equity and broader market performance. On the other hand, passive investment is when the retail investor or a fund manager buys stocks and then holds on to them for dear life for a long timer period to mirror the performance of a broader stock index instead of focusing on the merits of individual stocks.
Comparing the two, passive investing requires less focus. Naturally, it’s unsurprising that this approach has dominated the market over the past couple of years. Data from Morningstar Financial shows that the 2023 end was historic for the stock market as the amount of assets held by all passive funds crossed those held by active funds for the first time. The year’s close saw passive mutual funds hold $13.29 trillion in assets, which was $60 billion higher than the $13.26 trillion in assets of the active funds. This shift appears to be driven by the tendency of passive funds to outperform active funds over the long term. As per the S&P, over the past two decades, 90%+ of active equity funds underperformed their underlying benchmark.
This shift, however, doesn’t appear to affect all categories of active funds. Morningstar’s data adds that there is a stark contrast between active exchange traded funds (ETFs) and active mutual funds. Analyzing the net inflow into these two categories between 2008 and 2023, while the inflows in the mutual funds significantly led up until 2014, the trend somewhat reversed after that. For the years between 2015 and 2023, only 2021 was the year for positive inflows into active mutual funds as approximately $150 million of funds went into them. For all the other years, all the inflows were negative, with 2022 being the worst year which saw roughly $1 billion of outflows. On the other hand, inflows for the actively managed ETFs were positive for all these years and marked a 37% average growth in the decade ending in 2023.
However, while passive funds have beaten active funds in terms of total assets, there are nevertheless a variety of active funds that have performed well during this turbulent period. The three active fund categories that have generated robust returns recently are fixed income, real estate, and small cap funds. Active fixed income funds had a 53% success rate in 2023, and it’s real estate where the active funds truly shine. For the decade ending in 2023, 51% of active real estate funds outpaced their passive counterparts making them the only funds to have done so over this time period. Finally, the fund managers benefited from their expertise and resources, as 41% of small cap active funds beat the passive funds and saw their excess returns cross 16%.
While the growth in passive funds hints towards a democratization of the stock market since these funds are preferred by retail investors, it also leads to some untoward consequences. For instance, a 2019 study from the Federal Reserve shows that in December 2019, passive ETFs and mutual funds held by the top five asset managers had $7.7 trillion in assets under management. This accounted for 47% of all these funds, with Vanguard in particular accounting for 25% of the pie.
Research from Harvard and Columbia adds further color particularly when it comes to the control that the biggest asset managers might be able to exercise on the stock market. Harvard estimates that as of 2021, the three biggest index funds managers namely BlackRock, Vanguard, and State Street held a median stake of 22% in the benchmark S&P index’s companies which translated into 25% of the votes cast at these firms. Columbia adds that for 90% of these 500 companies, one of the Big Three is not only a shareholder but the largest shareholder.
Another consequence of the shift towards passive investment is the impact on large cap stock valuations. According to the Man Group, $2 out of every $3 in US large cap equities comes through passive investments. As we’ve witnessed in the artificial intelligence boom, big tech stocks have driven stock market valuations, and research from the London School of Economics and the University of Michigan provides more details about the growth of passive investment and its impact on large cap valuation. It shows “that flows into passive funds raise disproportionately the stock prices of the economy’s largest firms, and especially those large firms that the market overvalues” and adds that these flows can “cause the aggregate market to rise even when flows are entirely due to investors switching from active to passive.”
These recent trends have also hit small cap stocks quite hard. According to Morningstar’s Dave Sekera, small caps “are actually trading at about a 20% discount, you know, to our fair values, so there’s a lot of value there. So I think once we get past, you know, a lot of the thematic trading that’s really driven the market for the past year and a half, get much back more to more of a stock picker’s market which I think we’re gonna need to see for the market to continue its gains. But I think stock pickers, especially in that small cap space, have a lot of runway ahead of themselves.”
With these details in mind, let’s take a look at the best asset management stocks to buy according to short sellers.
A money manager reviewing quantitative and fundamental analysis before investing in a public company.
Our Methodology
To make our list of the best asset management stocks to buy according to short sellers, we ranked these stocks by their short interest as a percentage of outstanding shares and picked the stocks with the lowest percentage and a market capitalization greater than $600 million to remove the effects of low liquidity.
For these stocks, we also mentioned the number of hedge fund investors. 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. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
10. Fidus Investment Corporation (NASDAQ:FDUS)
Number of Hedge Fund Investors in Q2 2024: 3
Short Interest % of Shares Outstanding: 0.44
Fidus Investment Corporation (NASDAQ:FDUS) is a class of asset management firms that are called business development companies. It utilizes a variety of investment vehicles such as loans, private equity, acquisitions, and others to conduct its business. Fidus Investment Corporation (NASDAQ:FDUS)’s business is divided into earnings from debt issued and equity investments made. This means that even if equity markets struggle in a high rate environment, the firm can make up some of the shortfall through higher interest income from its debt portfolio. However, higher interest rates also mean that Fidus Investment Corporation (NASDAQ:FDUS) has to regularly monitor its debt portfolio to adequately buffer against unexpected defaults. Additionally, during a slow economy, the number of deals it can finance through equity also drops, and out of the remainder, Fidus Investment Corporation (NASDAQ:FDUS) has to carefully analyze the opportunities.
Fidus Investment Corporation (NASDAQ:FDUS)’s management shared its near term outlook during the Q2 2024 earnings call when it commented:
“Turning to our outlook, we still expect deal flow and M&A activity for the remainder of the year to be at reasonable levels.
While we expect to see higher investment activity levels, we do also expect to see a pickup and repayment as numerous portfolio companies are evaluating strategic alternatives. We remain focused on opportunities that meet our strict underwriting standards, leveraging our relationships with deal sponsors and our industry expertise within the lower middle market. We continue to invest in businesses with strong and sustainable cash flow generating business models and positive long-term outlooks. At the same time, we continue to structure our debt investments with a high degree of equity cushion, maintaining a portfolio that produces both high levels of current and recurring income and the potential for enhanced returns from the monetization of equity and securities.”
9. Brookfield Business Corporation (NYSE:BBUC)
Number of Hedge Fund Investors in Q2 2024: 2
Short Interest % of Shares Outstanding: 0.43
Brookfield Business Corporation (NYSE:BBUC) is one of the more interesting asset managers as it does not deal primarily with financial instruments like debt and private equity. Instead, the firm offers investors to indirectly invest in a variety of businesses in renewable energy, credit, real estate, private equity, and other sectors. This means that Brookfield Business Corporation (NYSE:BBUC)’s business is not as vulnerable to interest rate shocks, stock market downturns, or M&A slowdowns as traditional asset managers are. The diversified business also protects the firm against a downturn in a single industry, as Brookfield Business Corporation (NYSE:BBUC) can rely on a slew of businesses to generate operating income. It also means that the firm can generate copious amounts of cash by selling its businesses if it deems fit, as was the case with the whopping $8.2 billion sale of its stake in Westinghouse in 2023 after it acquired the firm for $4.6 billion in 2018. Brookfield Business Corporation (NYSE:BBUC)’s relationship with Brookfield Asset Management and associated companies also provides it with a financial buffer and key partners, as the Westinghouse sale was made to another Brookfield company.
Brookfield Business Corporation (NYSE:BBUC)’s shared some of the deals it has closed over the past years during the Q2 2024 earnings call:
“To that point, over the past 1.5 years we have sold or reached agreements to sell 10 businesses for approximately $3 billion of total proceeds at our share. Most of the returns we’ve achieved have come from buying good businesses on a value basis, improving their operations and recycling capital to support our growth. In some cases we can do this in a relatively short period of time. And in other cases holding a business for longer may be the best means to continue to compound value. Many of our businesses generate stable cash flows. And in some cases we may also be able to prudently increase leverage as a viable option to fund distributions. No matter when we choose to monetize a business, our objective is to maximize value. We’ve built a great track record as a public company realizing a three times MoC at a 30% IRR on the sale of 20 businesses.
Today, we own great companies and we’re continuing to build value as we advance our improvement plans which should create opportunities for us to generate meaningful proceeds from our next phase of monetizations.”
8. MidCap Financial Investment Corporation (NASDAQ:MFIC)
Number of Hedge Fund Investors in Q2 2024: 5
Short Interest % of Shares Outstanding: 0.41
MidCap Financial Investment Corporation (NASDAQ:MFIC) is a business development firm that sources funds from Apollo Capital backed MidCap Financial. This provides it with a stable source of funds and the firm’s primary line of business is corporate lending. This means that the risks for MidCap Financial Investment Corporation (NASDAQ:MFIC) increase in a high interest rate environment such as the one that we’re facing right now. The firm completed its merger with two Apollo funds in July, and after the deal was announced, MidCap Financial Investment Corporation (NASDAQ:MFIC)’s shares dropped by 9.7%. The firm operates in the middle loan market, which is dominated by relatively smaller players when compared to others such as syndicated loans – allowing MidCap Financial Investment Corporation (NASDAQ:MFIC) to compete in a market with a relatively lower presence of larger financial sector players.
MidCap Financial Investment Corporation (NASDAQ:MFIC)’s management shared how its managing the current environment during the Q2 2024 earnings call:
“We believe MFIC has one of the most senior corporate lending portfolios among BDCs as evidenced by our weighted average attachment point of essentially zero. We believe we have constructed a corporate lending portfolio that will perform well even during a potential economic downturn. Overall, we feel good about the health and quality of our corporate lending portfolio as our underlying borrowers have largely been able to handle higher borrowing costs. We have not seen any significant signs of credit weakness across the portfolio. We are, of course, closely monitoring our portfolio and mindful of the potential impacts of a higher for longer rate environment. I would now like to provide our perspective on the current environment. Despite high interest rates, elevated inflation and geopolitical uncertainty, U.S. economy has proven to be resilient and continues to display strong growth.
At the beginning of 2024, investors expected the Federal Reserve to cut rates multiple times during the year. However, as the quarter progressed, sovereign inflation has pushed out the expectation for the start of rate cuts and the market generally believes that we are in a higher for longer scenario. Apollo’s Chief Economist believes that there’s a reasonable chance that the Fed may not cut at all in 2024, while the market is currently pricing in only 1 cut this year. Specific to the lending market, during the first quarter, there has been an increase in activity in the syndicated loan market. MFIC is focused on the middle market, which is less susceptible to competition from the syndicated loan market. Although, spreads in our market have decreased, the decline has been less than what we have observed in liquid loan markets.”
7. Bain Capital Specialty Finance, Inc. (NYSE:BCSF)
Number of Hedge Fund Investors in Q2 2024: 9
Short Interest % of Shares Outstanding: 0.39
Bain Capital Specialty Finance, Inc. (NYSE:BCSF) is another middle market loan provider. Its business model is primarily built on loan originations and merger and acquisition activities – two markets that do well in a low interest rate environment. As a result, Bain Capital Specialty Finance, Inc. (NYSE:BCSF)’s stock is exposed to market perceptions of the Fed’s interest rate cuts, and the shares can see tailwinds if rate cut expectations are brought forward. The firm’s business model, which sees Bain Capital Specialty Finance, Inc. (NYSE:BCSF) invest in firms with operating incomes ranging between $10 million to $150 million means that it can charge higher fees and rates due to the riskier business nature of these firms. It also means that the asset management company has to carefully select its targets, especially due to its exposure to high interest rates. This business model allows Bain Capital Specialty Finance, Inc. (NYSE:BCSF) to benefit from high growth businesses too in case its targets end up successfully scaling operations.
Bain Capital Specialty Finance, Inc. (NYSE:BCSF)’s management shared details for its portfolio companies during the Q2 2024 earnings call:
“We also remain focused on investing in debt structures that provide us with strong lender controls. 95% of our Q2 originations to new companies were structured with documentation containing financial covenants tied to management’s forecasts, and we have majority control in nearly 80% of these debt tranches, allowing us to drive eventual outcomes at our discretion. These statistics are consistent with our broader portfolio, showing our continued focus on these core tenets.
Moving on to credit quality, our portfolio companies continue to perform well in the current market environment. Investments on nonaccrual status declined quarter-over-quarter and are below industry averages. Our non-accruals represented 1.2% and 1.0% at amortized cost and fair value, respectively, as of June 30. Credit risk rating trends were also stable during the quarter, with only a small percentage of our portfolio underperforming and on our watch list. We’ve been very pleased with the performance of our borrowers operating in a higher interest rate environment in recent years, and we believe this is a testament to Bain Capital’s disciplined and highly selective underwriting process. Lastly, we also enhanced our capital position during the quarter by attracting new lenders to our platform.”
6. Crescent Capital BDC, Inc. (NASDAQ:CCAP)
Number of Hedge Fund Investors in Q2 2024: 10
Short Interest % of Shares Outstanding: 0.33
Crescent Capital BDC, Inc. (NASDAQ:CCAP) is a middle market private equity and loan provider headquartered in Los Angeles, California. Its business model sees the firm focus primarily on loans that are secured by the borrower’s assets and industries that are less vulnerable to the economic business cycle. This protects Crescent Capital BDC, Inc. (NASDAQ:CCAP) against the risky nature of having more than 90% of its portfolio geared towards loans. At the same time, the firm’s business also slows down in a high rate environment, which corresponds with a lower corporate appetite for debt financing. Crescent Capital BDC, Inc. (NASDAQ:CCAP) is a relatively safe player in the loan market, as it targets firms with roughly 30% loan to book value percentages, which also increases its portfolio buffer when it comes to the lien loans that predominantly account for its portfolio.
This portfolio is also boosted by the equity invested in the borrower companies, as Crescent Capital BDC, Inc. (NASDAQ:CCAP)’s management pointed out during the Q2 2024 earnings call:
“That being said, we have continued to closely monitor the impact of borrowing costs on our portfolio companies given the elevated interest rate backdrop. The weighted average interest coverage of the companies in our investment portfolio at quarter end remained stable at 1.7x as compared to the prior quarter.
As a reminder, this calculation is based on the latest annualized base rate each quarter. We also continue to closely monitor how our portfolio companies are managing fixed operating costs. Our analysis demonstrates that our portfolio companies in the aggregate are well positioned to address fixed charges with operating cash flows and available balance sheet liquidity. As expected, we saw a modest decrease in the aggregate of all utilization during the second quarter with approximately 57% of aggregate vulnerable capacity available across the portfolio at a quarter end, which is sufficient in our view. It is worth noting that we have seen an increase in repricing requests given tight spreads. Our approach to repricing is that a portfolio company ought to have demonstrated improvement in creditworthiness since underwrite through growth and deleveraging in order to reward or repricing.
The strength of our portfolio continues to benefit from the substantial amount of equity invested in our companies. Most of it is applied by large and well as private equity firms with whom we have long-standing relationships and have partnered with in multiple transactions. And we note that the weighted average loan to value in the portfolio at the time underwrite is approximately 40%.”
5. Janus Henderson Group plc (NYSE:JHG)
Number of Hedge Fund Investors in Q2 2024: 23
Short Interest % of Shares Outstanding: 0.27
Janus Henderson Group plc (NYSE:JHG) is a British asset management company headquartered in London. It has a presence in public equity, fixed income, private equity, and other markets. Like other asset management companies, Janus Henderson Group plc (NYSE:JHG) has had to deal with a turbulent global economy since the coronavirus pandemic. However, it is one of the oldest asset management companies in the world, which means that it benefits from decades of experience and diversified teams that can use different trading strategies to benefit from evolving economic and market trends. Janus Henderson Group plc (NYSE:JHG) also targets institutional and retail investors with its products, and it invests in fixed income, equities, and other segments which leads to portfolio and customer diversification. Moving forward, the potential lowering of global interest rates should help the firm. Other key figures to watch for Janus Henderson Group plc (NYSE:JHG) include its assets under management and fund inflows/outflows which indicate investor sentiment towards the company.
Janus Henderson Group plc (NYSE:JHG)’s management commented on its recent performance during the Q2 2024 earnings call: Here is what they said:
“Investment performance is consistently solid. We believe 63% of assets beating with benchmarks on a 1, 3, 5 and 10-year basis. Assets under management increased 3% to $361.4 billion, which is the highest quarterly AUM figure in over two years and 12% higher compared to a year ago. Net flows were positive $1.7 billion, improvement in net flows came from our intermediary channel and the institutional channel, which benefited from over 10 distinct mandate funding ranging from $100 million to $400 million, illustrating our efforts to grow a broad range of client sizes for our institutional business. We are encouraged by the net inflows in the quarter, recall that we previously said that intermittent quarters of neutral to positive net flows would be an indication that our strategic plan is starting to bear fruit.
Net inflows marked our second quarter out of the last six with positive flows, demonstrating tangible improvement toward our aspiration of delivering consistent organic growth over the long term. Our financial results remain solid, positive markets, net inflows, outperformance delivered by our investment teams plus expense management and increased productivity resulted in adjusted diluted EPS of $0.85, a 37% increase compared to the same period a year ago. Our financial performance and a strong balance sheet continue to provide us the flexibility to invest in the business, both organically and inorganically and return cash to shareholders. In summary, while there’s always work to do, the second quarter demonstrates we are squarely on the path to delivering consistent results for the long term.”
4. SLR Investment Corp. (NASDAQ:SLRC)
Number of Hedge Fund Investors in Q2 2024: 27
Short Interest % of Shares Outstanding: 0.25
SLR Investment Corp. (NASDAQ:SLRC) is a specialized asset management company that deals with debt securities and other financial instruments. This leaves it sensitive to the broader interest rate environment and the associated impact on the financial health of the firms that it deals with. SLR Investment Corp. (NASDAQ:SLRC)’s shares are up by just a hairline of 1.99% over the past twelve months, which indicates the impact of the high rates and tight credit conditions on its business. Key markets that the firm operates in include broadly syndicated loans (BSLs) and collaterialized loan obligations (CLOs). BSLs guarantee repayments through cash flows, while CLOs promise their payback through other debt. Both of these struggle in a tough economy and low interest rates. As a result, SLR Investment Corp. (NASDAQ:SLRC) faces trouble with loan originations and collection in a tough economy marked by high interest rates.
SLR Investment Corp. (NASDAQ:SLRC)’s management shared key details for its performance during the Q2 2024 earnings call. Here is what they said:
“Our ability to pivot to the best risk-reward opportunities within various private credit strategies is a hallmark of SLR’s strategy allocation approach. We believe private credit investors are increasingly looking for diverse and proprietary investment strategies within BDCs. SLRC’s comprehensive portfolio had originations of $356 million and repayments of $292 million in the second quarter, resulting in net portfolio growth of $62 million. 87% of originations were from SLR’s asset-based lending, life sciences lending, and equipment finance verticals. Said another way, only 13% of our second quarter originations were in sponsor finance, a continued reversal from last year when most of our originations were concentrated in sponsor finance. Managing teams and sponsors are exploring ways to raise new capital to support owning assets over a longer time frame in order to execute their business plan.
Additionally, more sponsors have been increasing their focus on asset-rich industries in which portfolio companies can more effectively leverage current assets and ABL structures to finance their working and growth capital requirements. This has created an opportunity for asset-based lending and resulted in $130 million of ABL originations in the second quarter. Post-quarter end, we’ve identified several attractive ABL-MS opportunities and expect the counter-cyclical attribute of this financing instrument to benefit from potential economic headwinds. We are pleased with the construction quality and performance of our portfolio. At quarter end, approximately 98% of a comprehensive investment portfolio was comprised of first lien senior secured loans.”
3. Blackstone Secured Lending Fund (NYSE:BXSL)
Number of Hedge Fund Investors in Q2 2024: N/A
Short Interest % of Shares Outstanding: 0.23
Blackstone Secured Lending Fund (NYSE:BXSL) is one of the biggest business development companies (BDCs) in the world with $11.3 billion of investments under its belt. The firm has a global presence, which allows it to hedge against a slow market in one geographical territory. It also provides Blackstone Secured Lending Fund (NYSE:BXSL) exposure to a wide variety of businesses to target with its loan and other financing products, including middle and small sized firms that are typically willing to take on more risk and costly loans when compared to their larger peers. Due to its business model, which relies primarily on loans, Blackstone Secured Lending Fund (NYSE:BXSL) depends heavily on healthy loan repayments from its targets. These payments tend to pick up during a global economy that is unhampered. by inflation and a broader slowdown. The firm also benefits from a pickup in the private equity market which creates more room for it to enter into deals.
Blackstone Secured Lending Fund (NYSE:BXSL)’s management shared key details for its repayment trends during the Q2 2024 earnings call:
“Further, despite the spread tightening cycle across fixed income markets so far this year and an increase in broadly syndicated activity, we continue to experience muted repayment activity as Brad outlined. In the second quarter, we saw $89 million of repayments or a 3% annualized repayment rate, bringing our year-to-date repayment rate to 4%, which compares to 10% for all of 2023. In fact, we did not have any exposure refinanced out by the syndicated market in the second quarter. It is also worth noting that in a declining rate environment, one may naturally expect an increase in portfolio turnover, but our portfolio had few realizations in the quarter.”
2. Vinci Partners Investments Ltd. (NASDAQ:VINP)
Number of Hedge Fund Investors in Q2 2024: 10
Short Interest % of Shares Outstanding: 0.14
Vinci Partners Investments Ltd. (NASDAQ:VINP) is a Brazilian asset management company that operates in the real estate, credit, equities, and other financial markets. It is one of the smallest asset management companies on our list and has a market capitalization of $601 million. Vinci Partners Investments Ltd. (NASDAQ:VINP)’s exposure to the Brazilian market means that its performance is also dependent on the country’s financial conditions. While this has led to the firm being unable to raise capital as strongly as it would have preferred, it also opens up an untapped market to Vinci Partners Investments Ltd. (NASDAQ:VINP) which is further augmented by the fact that it can also expand its presence in Latin America. These regions’ financial markets are significantly underdeveloped when compared to say the US and UK, and an early move advantage here could help Vinci Partners Investments Ltd. (NASDAQ:VINP). The Brazilian interest rate environment isn’t as comforting as America’s, as the central bank recently paused its rate cut cycle.
1. CION Investment Corporation (NYSE:CION)
Number of Hedge Fund Investors in Q2 2024: 11
Short Interest % of Shares Outstanding: 0.1
CION Investment Corporation (NYSE:CION) is another asset management firm that focuses primarily on the loan market. This makes the current environment particularly important and tricky for the firm as the demand for loans is low due to the higher interest rates all over the world. Additionally, a slow economy has meant that few firms feel comfortable in their cash flows to repay loans and take out new ones. Subsequently, the deal environment for CION Investment Corporation (NYSE:CION) is complicated, to say the least, where the firm has to protect its interests while ensuring that it can take a piece of the limited demand for loans. At the same time, CION Investment Corporation (NYSE:CION) has to continuously evaluate its portfolio to ensure loan health so that it is not caught off guard by sudden defaults and has allocated buffers to mitigate any potential defaults. A key stand out point for CION Investment Corporation (NYSE:CION) is a diversified repayment profile that includes options such as payment in kind (PIK) options that allow borrowers to pay back through dividends.
CION Investment Corporation (NYSE:CION)’s management shared some of the ways in which it is managing the current turbulence during the Q2 2024 earnings call:
“During the quarter, following the review process that includes both internal and external examinations of various borrower key metrics and fair value marks. We downgraded 3 loans, offset by upgrading 4 loans on our risk rating scale. We also added one new loan to nonaccrual status during the quarter, bringing the total nonaccruals to 1.36% of the portfolio at fair value. In the aggregate, loans rated 4 or 5 comprised less than 1.5% of our total portfolio. We are pleased with the credit performance of our portfolio but remain conservatively positioned with a net leverage ratio of 1.13x. We remain active repurchasers of our common stock in Q2, buying back approximately 235,000 shares at an average price of $11.37. Subsequent to the quarter end, we intend to renew our share repurchase authorization, which we believe preserves a strong alignment with CION shareholders.
I mentioned earlier that we are operating in a challenging marketing environment, where there is an enormous amount of capital chasing a relatively small pool of new deal opportunities compared to prior years. The logical consequence of this dynamic is that new deals often have tighter credit spreads and looser protection for lenders. Amidst this backdrop, we remain highly selective in evaluating new deal opportunities, both in our traditional middle-market direct lending portfolio and in the lightly syndicated loan market. We believe this positioning is prudent given the macroeconomic environment, but at the same time, we remain nimble to adapt as needed as conditions evolve in the second half of the year.”
CION is an asset management stock with low short interest percentage. But our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than CION but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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