In this article, we will examine the 10 Best Marketing Stocks based on the number of hedge funds holding them.
According to estimates on Statista, advertising spending across the globe should clock a growth rate of 5.4%, reaching $1.4 trillion in 2029. 80% of the total ad spend will come from digital sources in 2029 with programmatic advertising capturing 85% of the total advertising market. TV and Video Advertising will have a third of the share in 2025 and almost 40% of ad spending will take place in the US. Players like Google and Meta are expected to shape the advertising market by offering new landscapes in this sector.
Advertising ETFs have generated returns of 3.04%, 2.65% and 21.66% for 1-month, 3-month and 1-year tenors. While big tech players pose a threat, there is immense potential to tap a constantly growing advertising pie that would benefit traditional players.
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A busy urban street, its billboards showing advertisements for a variety of national and local brands.
Our Methodology
For this article we picked 10 marketing stocks trending on latest news. With each stock we have 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. National CineMedia Inc. (NASDAQ:NCMI)
Number of Hedge Fund Investors: 16
National CineMedia Inc. (NASDAQ:NCMI) is one of the largest cinema advertising platforms in the US covering more than 18,000 screens across 1,400 theaters. Even though the third quarter revenue decreased by 10% y-o-y, it managed to exceed the guidance level of $56-58 million by bringing in sales worth $62.4 million. Another key feature of its quarterly performance is the 68% reduction in its total operating costs compared to the previous year.
The management believes that NCMI will be able to maintain its pricing in 2025, with events like Taylor Swift’s concert movie and communal experiences driving growth. The attendance level is expected to be higher compared to Q3 and there is a plan to launch new ad packages in premium formats to improve a compressing margin. The newly launched platforms like Boomerang and Boost should also be game changers with post-theater engagement increasing by more than 20%. The 10-fold increase in revenue from the technology sector in Q3 is also a positive sign, paving the way for newer deals in 2025.
9. QuinStreet Inc. (NASDAQ:QNST)
Number of Hedge Fund Investors: 19
QuinStreet Inc. (NASDAQ:QNST) is an online performance marketing company that provides customer acquisition services for its clients in the United States and internationally. The company has been a loss-making venture so far but it could breakeven in the next 12 months. The key verticals for the firm like insurance, home services, credit cards and banking are showing robust growth. It received an upward price target from $23 to $27 from Stephens with an Overweight rating.
Q1-25 results have been strong as QNST saw its revenue increase by 125% y-o-y primarily driven by higher auto insurance budgets and an increase in client, media and product footprint. Analysts believe that the momentum from the insurance sector is expected to continue and at the current rate of growth, breakeven should be achieved in the next 12 months. QNST has also managed to expand its margin and the digital marketing space is the focus area for the company to maintain the run rate in 2025.
