5 Best Day Trading Stocks To Buy

1. Advanced Micro Devices, Inc (NASDAQ:AMD)

Number of Hedge Fund Shareholders: 87

Average 3-Month Daily Volume: 83.4 million

5-Year Monthly Beta: 2.05

Topping the list of best day trading stocks to buy is Advanced Micro Devices, Inc (NASDAQ:AMD), which has consistently been one of the most actively traded stocks on the market. It’s also a far more volatile stock than the offerings of other chipmakers.

AMD shares are down 60% from their peak as a substantially weakening PC market weighs on the company’s sales. In early October, AMD slashed its Q3 revenue estimate by more than $1 billion at the mid-point of its previous guidance range (which itself was already below analyst estimates), and lowered its gross margin expectations by 400 basis points.

Hedge fund ownership of Advanced Micro Devices, Inc (NASDAQ:AMD) has risen for four straight quarters, climbing by 38% during that time and making it the most popular chipmaker among hedge funds. Ken Fisher’s Fisher Asset Management owns a $1.92 billion stake in AMD as of June 30, holding 25.1 million shares.

The Baron Opportunity Fund is bullish on Advanced Micro Devices, Inc. (NASDAQ:AMD)’s opportunity to wrest further market share away from Intel Corporation (NASDAQ:INTC) and to grow its data center operations, as revealed in the fund’s Q2 2022 investor letter:

“Advanced Micro Devices, Inc. (NASDAQ:AMD) is a global fabless semiconductor company focusing on high-performance computing technology, software, and products. AMD designs leading high-performance central and graphics processing units (known as CPUs and GPUs) and integrates them with hardware and software to build differentiated solutions for customers.

AMD has been gaining meaningful share in personal computing and server end markets over the past several years driven by the performance of its processors and technology and strong execution against its technology roadmap, and we believe share gains will continue over the coming years from a combination of AMD’s continued advancements and Intel’s stumbles in developing its leading-edge technology.

Additionally, the recently closed acquisitions of Xilinx and Pensando enhance AMD’s positioning within the data center, a key growth engine for the semiconductor industry, and Xilinx specifically opens up several new growth opportunities in new end markets like industrial, automotive, and communications. The company also generates significant cash flow, giving it capital allocation optionality for further M&A and returning capital to shareholders.”

For more of the latest stock picks worth considering for your portfolio, check out the 11 Best Cement and Construction Materials Stocks To Buy Now and the Top 10 Small-Cap Stocks With Highest Upside Potential.

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