In this article, we will take a look at the 5 best high-volume stocks to buy today. To see more such companies, go directly to 15 Best High Volume Stocks To Buy Today.
5. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 89
As of the end of the third quarter of 2022, 89 hedge funds had stakes in Advanced Micro Devices, Inc. (NASDAQ:AMD). This makes Advanced Micro Devices, Inc. (NASDAQ:AMD) one of the most favorite stocks of elite hedge funds. It is also one of the best high-volume stocks to buy now, with a three-month average volume of over 62 million. Advanced Micro Devices, Inc. (NASDAQ:AMD) shares gained recently after the company posted quarterly results and commented about its future expectations. Advanced Micro Devices, Inc. (NASDAQ:AMD) said for the fiscal first quarter it expects its revenue to be between $5 billion to $5.6 billion. This revenue would show a 10% decline on a YoY basis. Advanced Micro Devices, Inc. (NASDAQ:AMD)’s management however said that it expects its data center and embedded systems businesses to remain strong.
4. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 140
Apple Inc. (NASDAQ:AAPL) remains one of the most popular stocks to buy according to hedge funds and retail investors. Despite headwinds in 2022, Apple Inc. (NASDAQ:AAPL) shares were bought by the smart money. Insider Monkey’s database of 920 hedge funds shows that 140 hedge funds had stakes in Apple Inc. (NASDAQ:AAPL) as of the end of the third quarter, significantly up from 128 hedge funds in the previous quarter.
Apple Inc. (NASDAQ:AAPL) shares are in the limelight after the company posted weak Q1 results. However, most of this weakness was due to FX headwinds and supply chain issues and analysts believe Apple Inc. (NASDAQ:AAPL) could gain from several tailwinds in 2023.
TimesSquare Capital made the following comment about Apple Inc. (NASDAQ:AAPL) in its Q3 2022 investor letter:
“Apple Inc. (NASDAQ:AAPL) designs and manufactures smartphones, personal computers, tablets, and wearable devices. The company reported better than expected revenues, though that came from a lower-than-expected supply chain impact. Apple called out pockets of weakness in wearables as well as home & accessories. Management referenced macroeconomic uncertainty and sounded somewhat guarded when commenting on fourth quarter expectations. In September, Apple introduced four new iPhones with retail prices kept at last year’s levels. Its shares edged forward by 1% in consideration of these developments. We trimmed the position after evaluating the channel which highlighted some consumer demand choppiness.”
3. Alphabet Inc. (NASDAQ:GOOG)
Number of Hedge Fund Holders: 156
While Alphabet Inc. (NASDAQ:GOOG) shares are wavering amid the pressure the company is feeling after the launch of ChatGPT, weak quarterly results and headwinds in the advertising business space, the stock is still one of the best high-volume stocks to buy now. Analysts believe Alphabet Inc. (NASDAQ:GOOG) is in a strong position to counter the ChatGPT threat as it’s a pioneer in the AI domain. Alphabet Inc. (NASDAQ:GOOG) recently revealed its ChatGPT competitor, Bard. As of the end of the third quarter of 2022, 196 hedge funds had stakes in Alphabet Inc. (NASDAQ:GOOG). This makes Alphabet one of the top stocks to buy according to hedge funds.
Here is what Stewart Asset Management has to say about Alphabet Inc. (NASDAQ:GOOG) in its Q3 2022 investor letter:
“We invest in businesses with strong, resilient earnings growth which are less cyclical. In the pandemic recession of 2020, the aggregate earnings of the portfolios we manage did not decline year-over-year, and in fact grew, albeit modestly. Looking at the Great Recession which began at year-end 2007 and lasted to mid-year 2009 is helpful too. Our four largest current holdings in the portfolio weathered that period well. Alphabet (NASDAQ:GOOG), then called Google, reported earnings that doubled from 2007 to 2010.”
2. Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Holders: 177
Meta Platforms, Inc. (NASDAQ:META) shares were devastated in 2022 amid major headwinds in the advertising market and the rise of competitors like Tik Tok. However, it seems Meta Platforms, Inc. (NASDAQ:META) has finally started to turn things around. It recently posted an upbeat quarter which shows growth is returning for the Facebook platform. Meta Platforms, Inc. (NASDAQ:META) is also one of the most favorite stock picks of elite hedge funds. Of the 920 hedge funds tracked by Insider Monkey, 177 funds had stakes in Meta Platforms, Inc. (NASDAQ:META). The biggest stakeholder of Meta Platforms, Inc. (NASDAQ:META) at the end of the September 2022 quarter was Ken Fisher’s hedge fund which had a $1.6 billion stake in the company.
Giverny Capital made the following comment about Meta Platforms, Inc. (NASDAQ:META) in its Q4 2022 investor letter:
“Even if sector weightings explain most of our underperformance, I made some dubious decisions during the year. Most notably, I added to our holding in Meta Platforms, Inc. (NASDAQ:META), which declined 64% for the year. Meta began the year as a 4.3% weighting and ended as a 2.5% weighting, despite our incremental purchases.
I got plenty wrong about Meta, including the magnitude of the impact that Apple’s changes to privacy tracking would have on Meta’s value to advertisers. Meta’s two giant social media platforms, Facebook and Instagram, arguably may be weaker businesses than they were a year ago, thanks to Apple and the rising popularity of TikTok. Nevertheless, Meta remains an enormously profitable enterprise, with firehose levels of cash flow. It may be squandering some of that cash flow trying to develop the metaverse, but expense control problems are easier to address than a lack of cash flow. Belatedly, CEO Mark Zuckerberg seems to have recognized the need to match expense growth a little more closely to revenue growth. I never want to see anyone lose their job, but Meta hired many thousands of people to support growth that may not materialize. When Meta announced layoffs late in 2022, the stock began to recover.
To repeat what I wrote to you last quarter, aside from Meta, I don’t see any of our bottom five performers losing market share or competitive position.”
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 269
Amazon.com, Inc. (NASDAQ:AMZN)’s average volume over the past three months is more than 80 million. It is one of the best high-volume stocks to buy. As of the end of the third quarter of 2022, 269 hedge funds had stakes in Amazon.com, Inc. (NASDAQ:AMZN). This was significantly up from 252 hedge funds in the previous quarter. This shows that the hedge fund sentiment around Amazon.com, Inc. (NASDAQ:AMZN) is positive.
Amazon.com, Inc. (NASDAQ:AMZN) recently posted mixed quarterly results. However, analysts are bullish on Amazon.com, Inc. (NASDAQ:AMZN)’s long-term growth prospects. Recently, Morgan Stanley analyst Brian Nowak said that the headwinds Amazon.com, Inc. (NASDAQ:AMZN) is facing are transitionary and “macro driven.” The analyst said that he does not see a change in “multi-year opportunity” around Amazon.com, Inc. (NASDAQ:AMZN) shares. He maintained an Outperform rating and retained the “top pick” status for Amazon.com, Inc. (NASDAQ:AMZN).
RGA Investment Advisors made the following comment about Amazon.com, Inc. (NASDAQ:AMZN) in its Q4 2022 investor letter:
“There is unfortunately one stubborn problem that cannot be solved with a resumption of growth: the average company which experienced the surge increased investment pace. Amazon.com, Inc. (NASDAQ:AMZN)’s CEO, Andy Jassy summed it up well:
You just look in 2020, our retail business grew 39% year-over-year, at a $245 billion annual run rate, which is unprecedented, and it forced us to make decisions in that time to spend a lot more money and to go much faster in building infrastructure than we ever imagined we would. We built a physical fulfillment center footprint over 25 years that we doubled in 24 months. We made that decision even though we knew we might be overbuilding….but we decided we were going to shade on the side of consumers and sellers.
From Amazon’s perspective, had they not made those investments and e-commerce share gains persisted, the company would have risked losing market share to others with the temerity to invest. The silver lining for a company like Amazon is although they did not immediately grow into the substantial investments, they likely will do so over the coming years. Time will be the necessary condition to ease these investments that today are pressuring the margins of so many companies, including some in our portfolios.”
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