11 Best Extremely Profitable Stocks to Buy According to Analysts

4. NVIDIA Corporation (NASDAQ:NVDA)

TTM Net Profit Margin: 55.85%

Number of Hedge Fund Holders: 223

Analyst Upside Potential: 48.68%

NVIDIA Corporation (NASDAQ:NVDA) is a leading American multinational technology company that specializes in designing and producing graphics processing units, system-on-a-chip solutions, and artificial intelligence hardware and software. On March 21, Mizuho Securities analyst Vijay Rakesh maintained a Buy rating on the stock with a price target of $168.

The analyst noted that NVIDIA Corporation’s (NASDAQ:NVDA) advancements in AI accelerators, such as the Hopper platform and Blackwell B100/200 GPUs, are driving significant opportunities. Rakesh projects data center revenues to grow substantially, potentially reaching $280 billion by 2027, with NVIDIA maintaining its leadership in AI hardware. Moreover, Rakesh also likes the product innovation of the company. For instance, the introduction of cutting-edge products like the Rubin 3nm GPU and Vera CPU, featuring advanced capabilities like HBM4 support and enhanced networking, is expected to act as growth catalysts. As a result of these innovations, Rakesh has raised NVIDIA Corporation’s (NASDAQ:NVDA) fiscal 2025 revenue estimates to $120.4 billion and fiscal 2026 estimates to $159.6 billion, reflecting confidence in its growth trajectory. Moreover, the company has been able to maintain net profit margins of 55.85%, thereby making it one of the best extremely profitable stocks to buy according to analysts.

Parnassus Growth Equity Fund stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) continued to lead the market for graphics processing units and semiconductor chips needed to power AI applications. Because our position in the stock is an underweight relative to the nearly 12% of the benchmark it now represents, it was a relative detractor for the year.”