10 Best NASDAQ Stocks To Invest In Right Now

4. Apple Inc. (NASDAQ:AAPL)

Number of Hedge Fund Holders: 184

Apple Inc. (NASDAQ:AAPL) is an American technology company headquartered in California, which is known for its consumer electronics, software, and other related services. It is one of the best NASDAQ stocks to invest in right now, with 184 hedge funds holding a stake in the company at the end of Q2 2024, according to Insider Monkey’s database.

The recently concluded third quarter of fiscal year 2024 was one of the best quarters for the company in a long while, during which it reported a June quarter record revenue of $85.8 billion, up 5% compared to the same period last year. Revenue from products totaled $61.6 billion, representing a 2% year-over-year increase. The growth was aided by the launch of iPad Pro and iPad Air. Services revenue reached an all-time high of $24.2 billion during Q3, up 14% from last year. The company reported a gross margin of 46.3%, which fell within the higher range of guidance for the quarter. EPS was measured at $1.40, beating estimates of $1.35 per share.

The company generated $39.3 billion from the sale of iPhones, which accounted for nearly half of Apple Inc. (NASDAQ:AAPL)’s overall revenue for the quarter. However, the figure was down 1% year-over-year. This was likely due to a 6.5% drop in sales from Greater China, where the iPhone faces fierce competition from local manufacturers like Huawei. Mac revenue reached $7 billion, up 2% from last year. The biggest success story for the quarter came from iPad, which registered a 24% revenue growth to a total of $7.2 billion.

While the decline in iPhone sales has created some bearish sentiment around the stock, most investors are bullish on the company in anticipation of the incorporation of artificial intelligence in the new iPhone 16. Mar Vista Focus strategy stated the following regarding Apple Inc. (NASDAQ:AAPL) in its Q2 2024 investor letter:

Investors were reminded of the strength of the Apple Inc. (NASDAQ:AAPL) ecosystem as management demonstrated how generative AI solutions would be integrated into Apple’s 1.2 billion iPhone installed base. Apple plans to integrate generative AI features into its iOS 18, which will be broadly released in the fall with the iPhone 16. We believe Apple should benefit from generative AI as it will spur a meaningful iPhone upgrade cycle and create new avenues of monetization through its app store and advertising offerings. We believe this will support intrinsic value growth ranging between high-single-digits and low-double-digits over our investment horizon.

Street analysts have maintained a consensus Buy rating on the stock and a share price target of $242.41, representing a 5.89% upside from its current trading level.