5 Best Fast Money Stocks To Buy According To Hedge Funds

3. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 91

Steve Grasso likes Tesla, Inc. (NASDAQ:TSLA) and named the stock among his final trades this April. He said that investors “don’t have to run out and buy it now” but the stock has had a “tremendous rebound off the recent lows” and that “there’s still more bullishness behind Tesla, Inc. (NASDAQ:TSLA)”. The stock has gained 67% on a year-to-date basis, as of April 12.

On April 11, Baird reiterated an Outperform rating and its $252 price target on Tesla, Inc. (NASDAQ:TSLA). The stock ranks third among the best Fast Money stocks to buy now.

Tesla, Inc. (NASDAQ:TSLA) was spotted on 91 hedge funds’ portfolios at the close of Q4 2022. These funds held collective positions worth $5.93 billion in the company. As of December 31, Citadel Investment Group is the most prominent investor in the company and has a position worth $926 million.

VGI Partners made the following comment about Tesla, Inc. (NASDAQ:TSLA) in its 2022 annual investor letter:

“Pleasingly, the portfolio also benefited this year from a number of single-stock shorts, including a position in Tesla, Inc. (NASDAQ:TSLA), the well-known electric vehicle manufacturer that was experiencing a slowing in business momentum throughout the year as a result of pressures on consumer discretionary purchases, supply chain disruptions and increasing competition. We have expected for some time that the electric vehicle category would become more competitive, and more recently have begun to witness aggressive price cuts by manufacturers in an attempt to clear inventory, which is a negative trend for an industry that is only likely to see more competition over the coming years. The portfolio also benefited from a short position in a US-listed discount grocery store business, where investors were being pitched a large-scale store rollout story by senior management, albeit using forecasts that were extrapolating the temporarily favourable conditions into the long term and at a time when insider selling was rapidly accelerating. Both these short positions have now been profitably closed.

In meetings with investors over the last six months, we have said that the signposts that we are closer to an equity market bottom would include the reveal of a large fraud as well as a sell-off in Tesla, the retail investor poster-boy. We have seen the collapse of FTX, a large crypto company, and evidence that it is an outright fraud, along with a severe unwind in the Tesla share price (where we fortunately had a short position during CY22; since closed).”