5 Best American Stocks To Buy Now

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 258
Total Value of Hedge Fund Holdings: $52.8 Billion

Ranking 2nd in our list of 15 best American stocks to buy now is Microsoft Corporation (NASDAQ:MSFT). The Washington-based manufacturer of computer software and electronics company Microsoft Corporation was founded in 1975. Earlier this year, the company announced plans to acquire healthcare software technology Nuance Communications, Inc. (NASDAQ:NUAN) to use the potential of ambient clinical intelligence and other Microsoft cloud resources to help enable healthcare providers.

Microsoft Corporation’s (NASDAQ:MSFT) revenue in the third quarter of the fiscal year 2021 came in at $41.7 billion, up 19% from the same period in 2020. Shares of MSFT jumped 31% over the past three months. On May 18, Jefferies maintained a Buy rating on Microsoft and lowered the price target to $290.

There were 258 hedge funds that reported owning stakes in Microsoft Corporation’s (NASDAQ:MSFT) at the end of the fourth quarter. The total value of these stakes at the end of Q4 is $52.8 billion.

Polen Capital Management mentioned Microsoft Corporation’s (NASDAQ:MSFT) in its Q1 2021 investor letter:

“We have written extensively about Microsoft in recent commentaries. It was our leading contributor last year and one of our largest weightings within the Portfolio. It continues to experience business momentum through several dominant, essential, and competitively advantaged businesses, like Office 365 and Azure. The markets it competes for are enormous, which gives the company the ability to compound at scale. In the past quarter alone, the company generated over $40 billion in revenue, representing a 17% growth rate. The inherent operating leverage in Microsoft’s business model continues and led to 34% earnings growth this past quarter. Despite the broad rotation we saw in the first quarter and Microsoft’s robust performance in 2020, we think its business fundamentals continue to exhibit strength, and the stock continues to reflect the fundamentals.”