13 Stocks That Will Double in 2024

Published on February 28, 2024 at 10:30 am by Affan Mir in Hedge Funds, News

In this article, we discuss the 13 stocks that will double in 2024. To skip the detailed analysis of the recent events in the stock market, go directly to the 5 Stocks That Will Double in 2024.

Last year turned out to be wondrous for the US stock market as the S&P 500 gained over 25% compared to its 18% decline in the previous year. However, almost all of the gains were attributed to the Magnificent 7, which got a huge boost in investor sentiment due to the artificial intelligence (AI) trend. Meta Platforms, Inc. (NASDAQ:META) was one of the stocks that doubled in 2023, while NVIDIA Corporation (NASDAQ:NVDA) was able to gain nearly 240%. Because of last year’s performance, analysts expect good things to happen in 2024 too.

For the Magnificent 7, analysts have mixed opinions, as some of them believe that the 2023 rally has made these stocks overvalued. The rest of them believe that the AI revolution is real and there is no stop in sight in the near future. Apart from the seven big tech stocks, Wall Street analysts also have faith in some other stocks such as NetEase, Inc. (NASDAQ:NTES), CyberArk Software Ltd. (NASDAQ:CYBR), and HubSpot, Inc. (NYSE:HUBS) and believe that AI is a huge growth catalyst for them.

The former hedge fund manager and host of CNBC’s Mad Money, Jim Cramer, holds the Magnificent 7 in high regard. However, he believes Tesla, Inc. (NASDAQ:TSLA) to be the weak link among the group and suggests Eli Lilly and Company (NYSE:LLY) to be its replacement. Cramer also has mixed views about Apple Inc (NASDAQ:AAPL) in the short-term but still sees it in a favorable light for the long term due to iPhone sales and Apple Vision Pro.

For 2024, the technology sector still seems to be holding a celebrity status among analysts and financial media. Nevertheless, some other sectors that can get a huge boost due to the AI revolution include the healthcare and industrial sectors. The industrial sector can benefit from AI as it can help the industry in cost cutting, more effective performance tracking, and enhanced productivity due to AI automation.

On the other hand, while the healthcare sector benefits significantly from AI, it is also a defensive sector that can weather any unforeseen events like we experienced over the last three years. Additionally, AI is quite an old tool in the healthcare industry. Intuitive Surgical, Inc. (NASDAQ:ISRG) has integrated AI and machine learning into the evolution of its surgical robotics for several years. Similarly, another healthcare company, Medtronic plc (NYSE:MDT) has been using AI for a while now and also has plans to boost further integration of the technology in its operations. Its chairman and CEO, Geoff Martha, said the following at the company’s latest earnings call:

“…we’ve had a rapid cadence of new product approvals and we’re continuing to differentially invest in our pipeline of highest growth opportunities. We’re advancing innovative core technologies like robotics, AI and closed-loop systems. And with five AI products already FDA approved, we’re leading the way in bringing the tech into MedTech. We also continue to make progress on our comprehensive transformation of the company. We’re incorporating a performance driven culture that’s based on execution, speed and playing to win.”

Looking toward the future, it seems like the Fed will be able to steer the US economy into a soft landing rather than a recession, which is a good sign for US stocks. Keeping that in mind, some of the stocks that will double in 2024 include Wayfair Inc. (NYSE:W), Match Group, Inc. (NASDAQ:MTCH), and Palantir Technologies Inc. (NYSE:PLTR).

A graph plotting the trends and performance of stocks on the public equity markets.

Our Methodology

For this article, we identified 27 stocks that have the potential to double in 2024, according to several financial media sources including The Motley Fool, Investor Place, The Globe and Mail, and Kiplinger along with several others. The content of all our sources was published before January 1, 2024. Next, we chose those companies that experienced a rise in hedge fund sentiment in the fourth quarter of 2023. We then chose the 13 companies with the highest number of hedge fund investors. The hedge fund data was taken from Insider Monkey’s database that tracks 933 elite hedge funds. Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). That’s why we pay very close attention to this often-ignored indicator.

Stocks that will double in 2024

13. Aris Water Solutions, Inc. (NYSE:ARIS)

Number of Hedge Fund Holders: 15

Aris Water Solutions, Inc. (NYSE:ARIS) is a Texas-based environmental infrastructure and solutions company.

Over the last three months, 2 Wall Street analysts covered Aris Water Solutions, Inc. (NYSE:ARIS), and both kept a Buy rating on the stock. The average price target of $14.00 represented an upside of 44.93% as of the February 23 market close.

According to Insider Monkey’s database that tracks 933 elite hedge funds, hedge fund sentiment was positive toward Aris Water Solutions, Inc. (NYSE:ARIS) as 15 funds had a total stake value of $20.676 million in the stock in Q4, up from 8 funds with a combined stake value of $8.59 million. With 349,654 shares worth $2.93 million, Vince Maddi And Shawn Brennan’s SIR Capital Management was the top investor in the company.

Aris Water Solutions, Inc. (NYSE:ARIS) is one of the stocks that can double in 2024, along with Wayfair Inc. (NYSE:W), Match Group, Inc. (NASDAQ:MTCH), and Palantir Technologies Inc. (NYSE:PLTR).

12. XPeng Inc. (NYSE:XPEV)

Number of Hedge Fund Holders: 15

XPeng Inc. (NYSE:XPEV) is a Chinese company that is engaged in the design, production, and distribution of electric vehicles.

In January, XPeng Inc. (NYSE:XPEV) increased its monthly deliveries by 58% year-over-year (YoY) by delivering 8,250 units of smart EVs. Earlier in the month, the company launched X9 Ultra Smart Large Seven-seater MPV and delivered 2,478 units of the vehicle.

XPeng Inc. (NYSE:XPEV) could have a good year because of various reasons. The company is planning on reducing manufacturing costs through its SEPA 2.0 platform. Moreover, it partnered with Volkswagen to co-develop vehicles.

11. NIO Inc. (NYSE:NIO)

Number of Hedge Fund Holders: 20

NIO Inc. (NYSE:NIO) is a Chinese company that researches, develops, and manufactures smart electric vehicles.

NIO Inc. (NYSE:NIO) successfully delivered 10,055 vehicles in January, seeing an increase of 18.2% YoY. Of the total, 6,307 units were premium smart electric SUVs and 3,748 units were premium smart electric sedans.

In the fourth quarter, 20 hedge funds held a stake in NIO Inc. (NYSE:NIO)’s stock. Jos Shaver’s Electron Capital Partners upped its stake in the stock by 6% to 4.43 million shares worth $40.18 million.

10 Wall Street analysts covered NIO Inc. (NYSE:NIO) in the past three months, and 6 maintained a Buy rating on the stock. As of the February 23 market close, the average price target of $10.03 had an upside of 85.74%.

10. ANI Pharmaceuticals, Inc. (NASDAQ:ANIP)

Number of Hedge Fund Holders: 19

ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) is a Minnesota-based company that is engaged in developing, manufacturing, and marketing generic and branded prescription pharmaceutical products.

On January 23, ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) launched its Pentoxifylline Extended-Release Tablets, USP 400mg. According to estimates given by IQVIA/IMS Health, the annual U.S. market for the said tablets is nearly $19.7 million.

ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) was covered by 2 Wall Street analysts, and both maintained a Buy rating on the stock. The average price target of $71.00 represented an upside of 20.07% as of the February 23 market close.

On January 16, ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) announced that its Indomethacin received approval and a Competitive Generic Therapy (CGT) designation from the FDA.

9. Concentrix Corporation (NASDAQ:CNXC)

Number of Hedge Fund Holders: 20

Concentrix Corporation (NASDAQ:CNXC) is a California-based company that provides technology-infused customer experience (CX) solutions and is ninth on our list of stocks that will double in 2024.

On January 24, Concentrix Corporation (NASDAQ:CNXC) announced its Q4 non-GAAP EPS of $3.36, which beat the estimates by $0.28. The revenue grew by 36.0% YoY to $2.23 billion, surpassing the estimates by $30 million.

On January 25, Concentrix Corporation (NASDAQ:CNXC) announced a quarterly dividend of $0.3025, paid out on February 15 to the shareholders of record on February 5. As of the February 23 market close, the stock’s dividend yield was 1.46%.

First Pacific Advisors made the following comment about Concentrix Corporation (NASDAQ:CNXC) in its Q3 2023 investor letter:

“Concentrix Corporation (NASDAQ:CNXC) is one of the top two customer experience (CX) vendors globally. The company started off managing call centers but has since evolved into a high-tech business process outsourcer (BPO) that also designs and runs customer-facing websites and apps, integrates the data, and optimizes a client’s customer interactions. CX is a relatively new business, and Concentrix has been acquiring smaller competitors. In March, 2023 they bought WebHelp, a leading European CX player, for $4.8B in cash and stock.22 We believe the WebHelp acquisition will help consolidate an industry where Concentrix and Teleperformance are the largest players. The company was spun out from TD Synnex, another of the Fund’s core holdings, and we have always been impressed with the company’s innovation and growth. The market is currently worried about the potential of artificial intelligence to disrupt Concentrix’ core call center business and shares of all CX companies have underperformed.”

8. Fiverr International Ltd. (NYSE:FVRR)

Number of Hedge Fund Holders: 23

Fiverr International Ltd. (NYSE:FVRR) is an Israeli tech company that runs an online marketplace for freelance services.

On January 19, Goldman Sachs upgraded Fiverr International Ltd. (NYSE:FVRR)’s stock to Buy from Neutral and maintained the price target of $43.

On February 22, Fiverr International Ltd. (NYSE:FVRR) announced its Q4 earnings result with a non-GAAP EPS of $0.56, topping the estimates by $0.07. The revenue of $91.5 million increased by 10.1% YoY.

Baron Funds mentioned Fiverr International Ltd. (NYSE:FVRR) in its third quarter 2023 investor letter. Here is what it said:

“Our last addition during the quarter was to the leading freelance platform, Fiverr International Ltd. The company’s revenue growth rates remain negatively impacted by macro factors as it’s relatively easy for customers to hire fewer freelancers when they must cut budgets in the near term. However, we are encouraged by the company’s rapid progress on the profitability front (with guidance for EBITDA margins to be approximately 16% for 2023 compared to 7% in 2022), early signs of revenue growth acceleration, and its significant long-term opportunity as freelance work continues growing. These factors present a positively skewed risk/reward opportunity for long-term investors, especially with the shares trading at a 9% FCF yield. We have therefore decided to add to our position.”

7. Perion Network Ltd. (NASDAQ:PERI)

Number of Hedge Fund Holders: 23

Perion Network Ltd. (NASDAQ:PERI) is an Israeli company that offers digital advertising products and services. It takes the seventh spot on our list of stocks that will double in 2024.

On February 20, Perion Network Ltd. (NASDAQ:PERI) announced that its board of directors approved a share repurchase program of $50 million of its ordinary shares.

On February 7, Perion Network Ltd. (NASDAQ:PERI) posted its Q4 non-GAAP EPS of $1.04, surpassing the estimates by $0.11. The revenue jumped 11.7% YoY to $234.2 million, topping the estimates by $1.11 million.

Perion Network Ltd. (NASDAQ:PERI)’s approach to acquiring companies has been serving it well, and it is planning on completing another acquisition in 2024.

6. StoneCo Ltd. (NASDAQ:STNE)

Number of Hedge Fund Holders: 37

StoneCo Ltd. (NASDAQ:STNE) is headquartered in the Cayman Islands and offers financial technology and software solutions.

In the fourth quarter, 37 hedge funds had investments in StoneCo Ltd. (NASDAQ:STNE)’s stock, up from 32 in the previous quarter. With 9.93 million shares worth $179.099 million, Steve Cohen’s Point72 Asset Management was the most significant investor in the company.

Wayfair Inc. (NYSE:W), Match Group, Inc. (NASDAQ:MTCH), and Palantir Technologies Inc. (NYSE:PLTR) are some of the stocks that will double in 2024, besides StoneCo Ltd. (NASDAQ:STNE).

Ave Maria made the following comment about StoneCo Ltd. (NASDAQ:STNE) in its Q3 2023 investor letter:

“StoneCo Ltd. (NASDAQ:STNE) provides solutions that enable merchants and integrated partners to conduct electronic commerce seamlessly across in-store, online, and mobile channels in Brazil. StoneCo has faced near-term operational challenges because of the pandemic and high levels of inflation in Brazil. The company appears to be moving past these challenges and it appears that the successful integration of the newly acquired software business with its payments business will drive substantial shareholder value longer term.”

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