In this article, we will look at the 12 High Growth Non-Tech Stocks That Are Profitable in 2025.
What to Expect From the Market in Q2 2025?
On March 27, David Sekera, CFA, chief US market strategist at MorningStar released his Q2 2025 market outlook. He highlights that the market was priced to perfection at the start of the year, trading at a rare premium to its fair value. He advised investors at the start of the year to overweight value stocks, which were attractively priced while underweighting growth stocks that were significantly overvalued. This advice proved prescient as the Morningstar US Market Index fell by 1.74% through March 24, with losses concentrated in growth and core stocks. This was particularly true for stocks linked to artificial intelligence, which dropped by 3.79% and 3.52%, respectively. In contrast, value stocks gained 4.59%, showcasing their resilience.
Sekera noted that as of March 24, the US equity market had declined to a price/fair value ratio of 0.95, representing a 5% discount to Morningstar’s fair value estimates. Moreover, growth stocks experienced a sharp correction, reducing their premium from 24% at the start of the year to just 3%. On the other hand, despite their recent gains, value stocks became even more undervalued, trading at a 13% discount to fair value. He emphasizes that this has made value stocks the most attractive investment category for the year. His outlook also addresses market dynamics by capitalization. He recommends overweighting small-cap stocks due to their significant undervaluation at an 18% discount to fair value. However, he cautions that small-cap performance might not materialize until later in the year when economic conditions improve and monetary policy becomes more accommodative. Conversely, large-cap and mid-cap stocks are less appealing as they are trading at similar discounts to the overall market.
Moreover, monetary policy plays a central role in Sekera’s analysis. Morningstar’s economics team forecasts three federal funds rate cuts in 2025 and anticipates a gradual economic rebound starting in early 2026. While long-term interest rates are expected to remain stable initially, they are projected to enter a multiyear downward trend later in 2025. He also addressed misconceptions about market sell-offs being driven by tariffs. Instead, he attributed much of the downturn to a concentrated sell-off in AI-related stocks. According to Morningstar’s analysis, losses from just ten highly AI-correlated stocks outweighed overall market declines, with seven of these being among the top-performing stocks in 2024.
With that let’s take a look at the 12 high-growth non-tech stocks that are profitable in 2025.
A stock market graph. Photo by Alesia Kozik on Pexels
Our Methodology
To curate the list of 12 high-growth non-tech stocks that are profitable in 2025, we used the Finviz stock screener, Seeking Alpha, and Yahoo Finance as our sources. Using the screener we aggregated a list of non-tech stocks that have grown their revenue and net income by more than 15% over the past 5 years. Next, we cross-checked the 5-year sales growth and net income from Seeking Alpha. We also checked for TTM net income from Yahoo Finance and only added companies that had a TTM net income of more than $500 million. Lastly, we ranked the stocks in ascending order of the number of hedge fund holders, sourced from Insider Monkey’s Q4 2024 database. Please note that the data was recorded on March 28, 2025. Also note that for some companies the TTM net income was mentioned in foreign currencies, in such cases it was manually converted to USD. The conversion rates are as of March 28, 2025.
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).
12 High Growth Non-Tech Stocks That Are Profitable in 2025
12. Woodside Energy Group Ltd (NYSE:WDS)
5-Year Sales Growth: 22.02%
5-Year Net Income Growth: 59.79%
TTM Net Income: $2.25 Billion (AUD 3.57 Billion)
Number of Hedge Fund Holders: 10
Woodside Energy Group Ltd (NYSE:WDS) is a global energy company that specializes in the exploration, production, marketing, and trading of oil and natural gas. It operates through three main segments including Australia, International, and Marketing. The company ranks as one of the high-growth non-tech stocks that are profitable in 2025.
In fiscal 2024, Woodside Energy Group Ltd (NYSE:WDS) achieved record-breaking performance, driven by operational excellence and strategic project execution. The company produced 193.9 million barrels of oil equivalent, which is equivalent to 530 Mboe/day. This was supported by the high reliability of 98% from its LNG assets and the strong performance of the Sangomar project. As a result, its net profit after tax surged by 115% year-on-year, reaching $3.57 billion, reflecting robust financial health and operational efficiency. On March 23, Adrian Prendergast from Morgan Stanley maintained a Buy rating on the stock, with a price target of A$30.10.
11. RenaissanceRe Holdings Ltd. (NYSE:RNR)
5-Year Sales Growth: 22.86%
5-Year Net Income Growth: 20.09%
TTM Net Income: $1.81 Billion
Number of Hedge Fund Holders: 25
RenaissanceRe Holdings Ltd. (NYSE:RNR) is an international provider of reinsurance and insurance solutions, primarily operating through intermediaries. The company specializes in property, casualty, and specialty reinsurance and insurance. It operates through two key segments including Property and Casualty and Speciality Segment.
On March 12, Joshua Shanker from Bank of America Securities reaffirmed a Buy rating on the stock with a price target of $437. Shanker highlighted RenaissanceRe Holdings Ltd.’s (NYSE:RNR) robust financial foundation, which has enabled it to manage challenges such as the California wildfires effectively. The financial impact of the wildfires led to revisions in catastrophe estimates and management fees, but these adjustments did not hinder the company’s overall valuation. The analyst also noted that to manage the challenges the company has already repurchased a significant amount of shares, demonstrating confidence in its valuation and growth prospects.
During fiscal 2024, RenaissanceRe Holdings Ltd. (NYSE:RNR) delivered a net income of $1.8 billion driven by strong underwriting performance, particularly in the Property segment, which achieved a combined ratio of 57.2%. Additionally, increased net investment income reached $1.7 billion driven by higher average invested assets and improved yields. It is one of the high-growth non-tech stocks that are profitable in 2025.
10. Ingersoll Rand Inc. (NYSE:IR)
5-Year Sales Growth: 29.10%
5-Year Net Income Growth: 39.44%
TTM Net Income: $838.6 Million
Number of Hedge Fund Holders: 39
Ingersoll Rand Inc. (NYSE:IR) is an industrial company specializing in mission-critical flow creation and industrial solutions. The company operates through two main segments including Industrial Technologies and Services and Precision and Science Technologies. It serves major industries including manufacturing, energy, food and beverage, and healthcare by providing solutions that enhance productivity and efficiency.
During the fiscal fourth quarter of 2024, Ingersoll Rand Inc. (NYSE:IR) demonstrated strong performance, driven by its competitive differentiator, Ingersoll Rand Execution Excellence (IRX). This approach enabled the company to achieve significant financial and operational milestones despite dynamic market conditions. Its Q4 2024 orders increased 8% year-over-year to $1.8 billion, which took the revenue up by 4%. Management noted that its IRX framework enabled efficient operations and gross margin expansion, contributing to incremental margins of 41% in Q4 and 64% for the full year. On March 10, Barclays analyst Julian Mitchell maintained a Buy rating on the stock with a price target of $96. Ingersoll Rand Inc. (NYSE:IR) is one of the high-growth non-tech stocks that are profitable in 2025.
Artisan Mid Cap Fund stated the following regarding Ingersoll Rand Inc. (NYSE:IR) in its Q4 2024 investor letter:
“Along with Exact Sciences, notable trims in the quarter included Ingersoll Rand Inc. (NYSE:IR) and NVR. Ingersoll Rand is a global market leader in several mission-critical flow creation technologies for industrial and medical applications, including pumps and compressors. Recent earnings results displayed slowing organic growth due to cyclical industrial pressures causing customers to delay orders and weakness in China. We continue to be impressed by management’s handling of acquisition integration, marketing lead generation and new product development. We also believe Ingersoll’s compressed air technologies will remain in demand in the long term as customers seek to reduce energy and water usage and generate fewer emissions. However, given the slowing organic growth and the stock’s elevated valuation, we reduced the position.”
9. First Citizens BancShares, Inc. (NASDAQ:FCNCA)
5-Year Sales Growth: 40.63%
5-Year Net Income Growth: 43.44%
TTM Net Income: $2.72 Billion
Number of Hedge Fund Holders: 45
First Citizens BancShares, Inc. (NASDAQ:FCNCA) is a financial holding company that operates primarily through its subsidiary, First-Citizens Bank & Trust Company. It provides a wide range of financial services across several segments including General Bank, Commercial Bank, SVB Commercial, and Rail Segments.
The Artisan Mid Cap Value Fund in its Q4 2024 investor letter highlighted First Citizens BancShares, Inc. (NASDAQ:FCNCA) as a top contributor. The fund emphasized the company’s successful acquisition of Silicon Valley Bank (SVB) in 2023, has led to significant benefits. It added scale and geographic diversity to the bank while offering downside protections through a loss-sharing agreement with the FDIC. This strategic move enhanced its position in the banking sector.
Moreover, in its fiscal fourth quarter of 2024, First Citizens BancShares, Inc. (NASDAQ:FCNCA) delivered an EPS of $49.21, significantly exceeding the expected $37.44. In addition, revenue for the quarter reached $2.41 billion, reflecting a 23% year-over-year increase, outperforming analyst estimates of $2.27 billion. It is one of the high-growth non-tech stocks that are profitable in 2025.
Artisan Mid Cap Value Fund stated the following regarding First Citizens BancShares, Inc. (NASDAQ:FCNCA) in its Q4 2024 investor letter:
“Top Q4 contributors included Expedia, First Citizens BancShares, Inc. (NASDAQ:FCNCA) and Vail Resorts. Headquartered in Raleigh, North Carolina, and one of the largest family-controlled banks in the US, First Citizens has been a big winner following its 2023 acquisition of the failed Silicon Valley Bank (SVB). Besides a discounted purchase price, the transaction added scale and geographic diversity, while also offering downside protections from a loss-sharing agreement with the FDIC. Recent loan growth has been strong, particularly within the SVB commercial segment. The bank also announced a$3.5 billion stock repurchase authorization, or about 12%ofshares outstanding, to be completed over the next several quarters. First Citizens had previously paused share repurchases while it was absorbing SVB.”
8. VICI Properties Inc. (NASDAQ:VICI)
5-Year Sales Growth: 33.88%
5-Year Net Income Growth: 37.45%
TTM Net Income: $2.68 Billion
Number of Hedge Fund Holders: 48
VICI Properties Inc. (NASDAQ:VICI) is a real estate investment trust that specializes in owning and acquiring gaming, hospitality, wellness, entertainment, and leisure destinations. It owns 93 experiential assets across the United States and Canada, including iconic properties like Caesars Palace Las Vegas, MGM Grand, and the Venetian Resort Las Vegas.
On February 25, Jefferies analyst David Katz reiterated a Buy rating on the stock. The analyst noted the company’s expanding partnerships and strategic capital deployment as critical drivers of earnings growth. These investments provide the company with a solid foundation for future opportunities. Moreover, Katz believes that the current stability in interest rates supports VICI Properties Inc.’s (NASDAQ:VICI) disciplined investment strategies, thereby enhancing its financial outlook.
On February 19, 2025, VICI Properties Inc. (NASDAQ:VICI) announced a strategic partnership with Cain International and Eldridge Industries to invest in high-growth, experience-driven real estate. The company funded its $300 million investment using a combination of cash and funds drawn from its revolving credit facility for the development of a landmark 17.5-acre luxury mixed-use project in Beverly Hills, California. VICI Properties Inc. (NASDAQ:VICI) is one of the high-growth non-tech stocks that will be profitable in 2025.
7. HDFC Bank Limited (NYSE:HDB)
5-Year Sales Growth: 31.09%
5-Year Net Income Growth: 21.50%
TTM Net Income: $8.12 Billion (INR 695.8 Billion)
Number of Hedge Fund Holders: 50
HDFC Bank Limited (NYSE:HDB) is one of India’s leading private sector banks, offering a comprehensive suite of banking and financial services. Its operations are divided into key segments such as Retail Banking, Wholesale Banking, Treasury Operations, and other Financial Services.
During the fiscal third quarter of 2024, HDFC Bank Limited (NYSE:HDB) reported ₹652.8 billion in consolidated net revenue and ₹176.6 billion in profit after tax. The profit after tax grew by 13.1% year-over-year, whereas the net income rose 7.7% to ₹306.5 billion. Management noted that the bank is navigating a challenging macroeconomic environment in India, marked by tight liquidity, moderating urban demand, and volatility in the Indian rupee. Despite the challenges, HDFC Bank Limited (NYSE:HDB) achieved robust growth in average deposits, with a 16% increase year-over-year. Moreover, it also added over 1,000 branches, enhancing its reach and accessibility for customers. The bank is well-positioned with sufficient liquidity and capital, enabling it to capitalize on opportunities when macroeconomic conditions improve. It is one of the high-growth non-tech stocks that are profitable.
Brown Advisors Global Leaders Strategy stated the following regarding HDFC Bank Limited (NYSE:HDB) in its Q4 2024 investor letter:
“HDFC Bank Limited (NYSE:HDB) has shown robust fundamental business drivers, but the shares have relatively underperformed since its merger with former parent HDFC Ltd. This merger enhances HDFC Bank’s long-run business opportunities, particularly mortgages, in the Indian market but comes with short-term sub-optimal funding which we expect to unwind over the next couple of years. With an enhanced competitive position, we feel it unlikely this remains an issue over time. HDFC Bank has also shown good downside protection historically when the credit cycle turns, and the bank’s defensive lending practices allow it to outperform peers. Impressively, management has expanded lending at the right time historically too. We believe these characteristics remain intact.”
6. Agnico Eagle Mines Limited (NYSE:AEM)
5-Year Sales Growth: 27.13%
5-Year Net Income Growth: 31.99%
TTM Net Income: $1.9 Billion
Number of Hedge Fund Holders: 53
Agnico Eagle Mines Limited (NYSE:AEM) is a Canadian-based senior gold mining company. It is recognized as one of the largest gold producers in the world, operating mines in Canada, Australia, Finland, and Mexico. On March 19, National Bank raised the firm’s price target on the stock to C$190 from C$160 while keeping an Outperform rating on the shares.
In fiscal 2024, Agnico Eagle Mines Limited (NYSE:AEM) produced a record 3.49 million ounces of gold, exceeding the midpoint of its production guidance. Fourth-quarter production alone was approximately 847,000 ounces. As a result, the revenue reached a record high of $2.2 billion, supported by an average gold price of $2,384 per ounce. Management noted that it increased growth capital and exploration spending for projects like Odyssey, Detour Underground, Upper Beaver, Hope Bay, and San Nicolas. Agnico Eagle Mines Limited (NYSE:AEM) anticipates further margin expansion and cash flow growth due to favorable gold prices. It is one of the high-growth non-tech stocks that are profitable in 2025.
Conventum – Alluvium Global Fund stated the following regarding Agnico Eagle Mines Limited (NYSE:AEM) in its Q3 2024 investor letter:
“Our gold miners performed quite well. Agnico Eagle Mines Limited (NYSE:AEM) was up 22.4%, and Regis Resources was up 16.2%. Moving on to Agnico Eagle, its update was all positive, and included promising expansion plans for existing assets. Unlike Regis, there was no reason for its share price not to respond to the favourable conditions in the direct gold markets. However, over the course of our ownership (originally in Kirkland Lake which then merged with Agnico), our investment has moved more toward exploration from operations. Whilst we like upside, and there is no doubt the Agnico management team have executed well and are likely to continue to do so, this was never the main game when it came to our investment in Kirkland Lake in mid 2020. So, it no longer meets our original investment thesis, nor our refined investment philosophy. This is perhaps best illustrated by our earnings based valuation approach. We updated our gold price and exchange rate assumptions leading to higher maintainable earnings estimates, and we adjusted our discount rate to reflect higher growth prospects and increased confidence in management. And our valuation increased by 47%. However it is still barely half the current share price. Accordingly, we sold our position.
5. Diamondback Energy, Inc. (NASDAQ:FANG)
5-Year Sales Growth: 21.73%
5-Year Net Income Growth: 69.30%
TTM Net Income: $3.32 Billion
Number of Hedge Fund Holders: 53
Diamondback Energy, Inc. (NASDAQ:FANG) is an independent oil and natural gas company that focuses on the acquisition, development, and exploration of unconventional, onshore oil and natural gas reserves in the Permian Basin. It specializes in horizontal drilling within formations like Wolfcamp, Spraberry, and Bone Spring.
On March 18, Barclays analyst Betty Jiang maintained a Buy rating on the stock with a price target of $200. Diamondback Energy, Inc. (NASDAQ:FANG) achieved significant operational milestones during the fiscal fourth quarter of 2024. It drilled 131 gross wells in the Midland Basin and six in the Delaware Basin, producing an average of 475.9 MBO/d. This resulted in a net income of $1.1 billion.
Diamondback Energy, Inc. (NASDAQ:FANG) is executing a significant drawdown of drilled but uncompleted wells. This strategy is expected to yield approximately $200 million in capital savings for the year. By completing these wells, the company can reduce future drilling costs and accelerate production without incurring additional drilling expenses. It is one of the high-growth non-tech stocks that are profitable in 2025.
4. Builders FirstSource, Inc. (NYSE:BLDR)
5-Year Sales Growth: 17.64%
5-Year Net Income Growth: 37.19%
TTM Net Income: $1.08 Billion
Number of Hedge Fund Holders: 59
Builders FirstSource, Inc. (NYSE:BLDR) is a leading supplier of building materials and services for professional builders in the residential construction and remodeling industry. It provides an integrated solution for homebuilding, offering products like lumber, trusses, windows, doors, siding, and insulation.
On February 23, Keith Hughes from Truist Financial maintained a Buy rating on the stock, with a price target of $180. Builders FirstSource, Inc. (NYSE:BLDR) achieved strong financial performance, including mid-teens adjusted EBITDA margins and nearly 33% gross margins in fiscal 2024. It also implemented productivity initiatives that improve efficiency and reduce costs. Notably, during the year the company invested over $75 million in expanding its facilities, including opening new truss manufacturing sites and upgrading existing ones. It also enhanced its millwork locations to meet growing demand. However, regardless the company faced an 8% year-over-year decline in revenue.
Diamond Hill Large Cap Strategy in its Q4 2024 investor letter noted that Builders FirstSource, Inc. (NYSE:BLDR) experienced revenue impacts due to ongoing weakness in its multi-family segment and weaker-than-expected single-family home construction. However, the gross margins of the company remained strong despite these macroeconomic challenges. It is one of the high-growth non-tech stocks that are profitable in 2025.
Diamond Hill Large Cap Strategy stated the following regarding Builders FirstSource, Inc. (NYSE:BLDR) in its Q4 2024 investor letter:
“Other bottom contributors in Q4 included Builders FirstSource, Inc. (NYSE:BLDR), Extra Space Storage and SBA Communications. Lumber and building materials distributor Builders FirstSource’s revenue continues to be impacted by on going weakness in its multi-family segment and weaker than-expected single-family home construction. Dollar value of materials supplied per home has also declined, but this trend has largely stabilized. Positively, gross margin continues to hold up strongly despite these macro challenges.”
3. Lululemon Athletica Inc. (NASDAQ:LULU)
5-Year Sales Growth: 22.12%
5-Year Net Income Growth: 25.12%
TTM Net Income: $1.74 Billion
Number of Hedge Fund Holders: 60
Lululemon Athletica Inc. (NASDAQ:LULU) specializes in designing, manufacturing, and distributing technical athletic apparel, footwear, and accessories. It operates across four main regions including the Americas, China Mainland, Asia Pacific, Europe, and the Middle East.
On March 19, Morgan Stanley analyst Alexandra Straton maintained a Buy rating on the stock, with a price target of $411. Straton highlighted the possibility of an upside in Lululemon Athletica Inc. (NASDAQ:LULU) earnings per share for Q4 2024 driven by its newness-driven strategy. During the fiscal fourth quarter of 2024, the company grew its revenue by 13% to $3.6 billion. The growth was driven by a robust performance by the International segment which grew 38% during the same time.
Moreover, Diamond Hill Large Cap Strategy mentioned Lululemon Athletica Inc. (NASDAQ:LULU) in its Q4 2024 investor letter, stating that it was one of the firm’s top individual contributors during the quarter, reflecting positive performance. The fund emphasized the company’s position as a leading technical apparel brand with strong affinity in the Americas and a growing international presence. It is one of the high-growth non-tech stocks that are profitable in 2025.
Diamond Hill Large Cap Strategy stated the following regarding Lululemon Athletica Inc. (NASDAQ:LULU) in its Q4 2024 investor letter:
“Among our top individual contributors in Q4 were General Motors and new position Lululemon Athletica Inc. (NASDAQ:LULU). Lululemon is a leading technical apparel brand with strong affinity in the Americas and a growing international presence. As competition in the US has increased, investors have questioned whether the brand faces structural challenges — particularly as sales have also slowed recently. However, we believe these challenges in the US are primarily transitory and that lululemon will be able to sustain its margins. Further, we believe lululemon is a high quality, cash-generative company with a clean balance sheet — consequently, we capitalized on what we view as an attractive discount to our estimate of intrinsic value to initiate a position in the quarter. Shares rose in Q4 as the consumer environment in the Americas stabilized, international growth remains outsized and margins have proven resilient.”
2. Interactive Brokers Group, Inc. (NASDAQ:IBKR)
5-Year Sales Growth: 21.09%
5-Year Net Income Growth: 36.21%
TTM Net Income: $755 Million
Number of Hedge Fund Holders: 69
Interactive Brokers Group, Inc. (NASDAQ:IBKR) is a global brokerage firm that facilitates trading and investment activities for individuals, institutions, and financial professionals. It provides a platform for buying and selling a wide range of financial products, including stocks, options, futures, bonds, mutual funds, and more. Moreover, it also specializes in automated trading through advanced platforms like IBKR Desktop, IBKR Mobile, and Trader Workstation.
During fiscal 2024, Interactive Brokers Group, Inc. (NASDAQ:IBKR) added 775,000 new accounts, with 217,000 in the fourth quarter alone. This brought total client equity to $568 billion, a 33% increase from the previous year and the first time exceeding half a trillion dollars. As a result, the company achieved a record quarterly pretax income of over $1 billion and full-year net revenues exceeding $5 billion with a pretax margin of 71%, the highest in the brokerage industry.
The Baron Focused Growth Fund in its Q4 2024 investor letter expressed its bullish sentiment for Interactive Brokers Group, Inc. (NASDAQ:IBKR). The fund noted that the account growth was driven by the company’s strength in international markets, as non-US investors sought access to US equities, which outperformed global peers in 2024. The fund remains confident in the company’s long-term prospects. Interactive Brokers Group, Inc. (NASDAQ:IBKR) is one of the high-growth non-tech stocks that are profitable in 2025.
Baron Focused Growth Fund stated the following regarding Interactive Brokers Group, Inc. (NASDAQ:IBKR) in its Q4 2024 investor letter:
“Interactive Brokers Group, Inc. (NASDAQ:IBKR) is a leading online brokerage house that serves customers in over 200 countries. Positive returns during the quarter reflected strong fundamental performance, including year-over-year growth of 30% in accounts, 33% in client assets, and 45% in margin loans. These increases were driven largely by Interactive Brokers’ strength in international markets, as non-U.S. investors looked to access U.S. markets and equities, which largely outperformed their global peers in 2024. The company also participated in the broader rally of financial stocks following the Republican elections sweep. Expectations of heightened capital markets activity, a more pro-business regulator, and the potential for increasing market volatility all bode well for the company’s volumes, account growth, and earnings. We believe Interactive Brokers has a compelling long-term growth path and remain investors.”
1. Apollo Global Management, Inc. (NYSE:APO)
5-Year Sales Growth: 55.65%
5-Year Net Income Growth: 40.26%
TTM Net Income: $4.33 Billion
Number of Hedge Fund Holders: 90
Apollo Global Management, Inc. (NYSE:APO) is a leading global alternative asset manager and retirement services provider. The company operates through Asset Management, Retirement Services, and Principal Investing. It manages over $500 billion in assets and operates globally with offices in multiple regions.
In the fiscal fourth quarter of 2024, Apollo Global Management, Inc. (NYSE:APO) achieved record fee-related earnings of $554 million and an adjusted net income of $1.4 billion. Moreover, Assets Under Management reached a record $751 billion, with total inflows of $150 billion. Baron FinTech Fund mentioned the company in its Q4 2024 investor letter, highlighting that the company was one of the main contributors to the fund’s performance. It also noted that Apollo Global Management, Inc. (NYSE:APO) has recently been added to the S&P 500, which is expected to broaden the shareholder base and provide more investors access to private markets through their stock.
The company aims to grow its fee-related earnings at an average annual rate of 20% and spread-related earnings at 10% over the next five years. It is the top high-growth non-tech stocks that are profitable in 2025.
Baron FinTech Fund stated the following regarding Apollo Global Management, Inc. (NYSE:APO) in its Q4 2024 investor letter:
“Alternative asset manager Apollo Global Management, Inc. (NYSE:APO) contributed to performance. The company held a well-received Investor Day during which management highlighted the firm’s expansive credit management capabilities and introduced bullish five-year growth targets. Apollo also participated in the broader rally of financial stocks spurred by the Republican elections sweep, which has bolstered expectations for greater capital markets activity and looser regulations. Investors expect a more business-friendly administration will support growth initiatives for alternative managers, including plans to introduce private investments into retirement accounts. Finally, Apollo was added to the S&P 500 Index during the quarter, which prompted passive buying of the shares. We remain invested due to Apollo’s long-term growth prospects, formidable competitive advantages, and strong management team.”
While we acknowledge the potential of APO to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than APO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
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