In this article, we will take a look at the top 10 best stocks to buy for the next 3 months.
The year 2025 began with the surprise announcement of DeepSeek AI, launched in China, which shook the markets. Further volatility was experienced when the US government implemented trade tariffs across China and Europe. In March, President Trump suggested that his proposed reciprocal tariff regime would offer “flexibility”, giving investors some relief. Although it is unclear what the term “flexibility” would entail. Rising tensions from conflicts in the Middle East and Europe added to market uncertainty. Looking ahead, investors will be watching closely for fresh economic indicators to assess the Fed’s stance on future interest rates.
The hedge fund industry is seen as a trusted source of investment opportunities. According to a report published by Reuters, assets have grown by nearly 56% since 2015. The industry had $4.51 trillion in assets under management (AUM) in 2024, 9.75% higher compared to the previous year. Total assets were the highest amount since 2021, rising by $401.4 billion in 2024 due to strong performances across different strategies.
In terms of returns, hedge funds continued to show improvement year-on-year. As per a report by Pivotal Path, hedge funds returned 5.7% in 2023 and 10.7% in 2024, while some managers showed gains above 50%. This performance substantiates the industry’s influence on markets.
Looking ahead, the hedge fund landscape is poised for significant changes in 2025, driven by evolving market conditions, technological advancements, and shifting investor preferences. Mordor Intelligence predicts that the US Hedge Fund Market will have a market size of $2.95 trillion in 2025 and is expected to reach $4.05 trillion by 2030, a CAGR of 6.52%.
Hedge funds have introduced new strategies for mitigating market risks for improved returns to their investors. These include diversifying towards smaller multi-strategy funds. After a decade of fluctuating demand, smaller multi-strategy funds have begun to show interest. In 2024, with traditional asset classes facing challenges from rising P/E ratios and tight credit spreads, the uncorrelated returns of reinsurance-linked strategies have become increasingly attractive. This is expected to drive substantial capital inflows into the sector in 2025, particularly from institutional investors seeking diversification and higher returns. Investors who can assess the market dynamics, adapt to changes, and identify future leaders in the space are well-positioned for success. Hedge funds have the resources to use advanced AI-driven technologies to predict market movements to ensure higher returns on volatile asset classes.
Investors seeking to mitigate the impact of such volatility will opt for more stable, low-risk investments such as fixed-income securities. These provide a continuous stream of income in periods of high interest rates. In contrast, those willing to take advantage of high interest rates would opt for sectors benefiting from such a scenario, including banking, real estate, or tech firms, which are geared to take on high market volatility.
A close-up of a wealth manager’s hands hovering over a laptop presenting a customer with investment options.
Our Methodology
The best stocks to buy over the next three months are chosen based on hedge fund sentiment toward these investments. For this list, we used Insider Monkey’s Q4 2024 proprietary hedge fund holdings database and identified the 10 most popular hedge fund stocks. The stocks are ranked in ascending order of their hedge fund positions.
At Insider Monkey, we are obsessed with hedge funds. 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. Salesforce, Inc. (NYSE:CRM)
No. of Hedge Fund Holders: 162
Upside Potential: 33.76%
Salesforce, Inc. (NYSE:CRM) is a global leader in customer relationship management (CRM) technology, offering a comprehensive suite of tools that bridge the gap between businesses and their customers. The company’s diverse product portfolio includes Agentforce, an agentic platform layer, and Data Cloud for unified customer data management. Leveraging AI, Salesforce offers Industries AI and intelligent analytics within Tableau, enabling trend analysis, predictive modeling, and actionable insights. For businesses of varying sizes, the company provides tailored solutions, including Salesforce Starter for small and medium-sized enterprises. Communication and collaboration are facilitated through Slack and MuleSoft. It is among the best stocks to buy.
Salesforce, Inc. (NYSE:CRM) announced a revenue of $9.99 billion for its Q4 2024, missing analyst estimates by $42.51 million; however, EPS was $0.17 above expectations at $2.78. For the complete year 2025, revenue was $37.9 billion, 9.9% higher YoY.
Salesforce, Inc. (NYSE:CRM) recently announced a $1 billion investment in Singapore over the coming 5-year period to boost the country’s digital transformation and AI adoption. The company aims to enhance its presence in the country, boosting investment through local partnerships with teaching institutes Singapore Management University, Institute of Technical Education, and Ngee Ann Polytechnic, in an effort to upskill the local workforce. This includes revamping its office in the region as well. Company Chairman, Chief Executive Officer and Co-Founder Marc Benioff commented:
“Singapore is at the forefront of this shift, and as the world’s largest provider of digital labor through our Agentforce platform, Salesforce is thrilled to expand our work with the business community and our longtime partners in the region to drive innovation, productivity and growth.”
Analysts believe the market has seen a correction post-earnings session. Enterprise software stocks, including Salesforce, Inc. (NYSE:CRM) are no exception due to investors’ reaction to a potential slowdown in economic activity.
9. Apple Inc. (NASDAQ:AAPL)
No. of Hedge Fund Holders: 166
Upside Potential: 15.72%
Apple Inc. (NASDAQ:AAPL) is a global technology giant specializing in the design, manufacturing, and marketing of a wide range of consumer electronics and related services. The company’s large product lines include the iPhone, Mac, iPad tablets, AirPods, Apple Watch, and Apple TV. With an upside potential of nearly 16%, AAPL is one of the best stocks to buy.
Beyond hardware, Apple Inc. (NASDAQ:AAPL) offers a comprehensive ecosystem of services, including AppleCare support and cloud services. The App Store serves as a central hub for digital content and applications, while the company also provides advertising services, as well as subscription-based offerings such as Apple TV, Apple Music, and financial pay services, namely Apple Card and Apple Pay. Its customer base includes consumers, small and medium-sized businesses, government sectors, and corporations with a distribution network comprising of retail and online stores, partnerships with cellular carriers, wholesalers, retailers, and resellers.
Apple Inc. (NASDAQ:AAPL)’s Q1 2025 earnings revealed a topline of $124.03 billion, an increase of 3.95% YoY, beating estimates by $273.49 million. EPS was $2.40, narrowly beating expectations by $0.05.
It should be noted that the iPhone sales, which make up the large majority of the company’s revenue stream, were stable at $69.1 billion. Apple Inc. (NASDAQ:AAPL) has been working on a foldable version of its iconic iPhone, with expectations that the product will be ready for market as soon as 2026, at a price of $2000. Analysts on X (formerly Twitter) reported that the company is expecting to finalize designs by the end of this fiscal year, while production and shipping will range between 3 to 5 million units in 2026 and as high as 20 million by 2027.
Apple Inc. (NASDAQ:AAPL) has also carried out management restructuring, as per a report by Bloomberg. Mike Rockwell, who was previously heading the Vision Pro, will now oversee the work on Siri.
