5 Best Multibagger Stocks To Buy Now

1. Vertex Energy, Inc. (NASDAQ:VTNR)

12-Month Returns as of January 3: 538.14%

Number of Hedge Fund Holders: 10

Vertex Energy, Inc. (NASDAQ:VTNR) is one of the best multibagger stocks to purchase now, accumulating a 538.14% return for the year in 2021. Vertex Energy, Inc. (NASDAQ:VTNR) is a petroleum refining company based in Houston, Texas. Vertex Energy, Inc. (NASDAQ:VTNR) is one of the leading processors of used motor oil in the United States, with a processing capacity of more than 115 million gallons per annum. 

Vertex Energy, Inc. (NASDAQ:VTNR), on November 9, announced its Q3 results. The company posted a loss per share of $0.06, missing estimates by $0.05. The revenue jumped 76.35% year-over-year to $65.93 million, outperforming estimates by $11.68 million. 

Credit Suisse analyst Manav Gupta initiated coverage of Vertex Energy, Inc. (NASDAQ:VTNR) with an Outperform rating and a $13 price target. The analyst reported that Vertex Energy, Inc. (NASDAQ:VTNR) is in the process of selling its legacy businesses of motor oil collection and recycling assets to become a renewable diesel producer. This opportunity “not only implies significant earnings growth potential, but it should also drive meaningful multiple expansion”, according to Gupta.

One of the leading Vertex Energy, Inc. (NASDAQ:VTNR) stakeholders out of the 10 hedge funds that were bullish on the stock as of the third quarter is Millennium Management, increasing its stake in Vertex Energy, Inc. (NASDAQ:VTNR) by 604%, holding an $11.5 million position. 

Wasatch Global Investors mentioned Vertex Energy, Inc. (NASDAQ:VTNR) in its Q2 2021 investor letter. Here is what the firm said: 

“The top contributor to Fund performance for the second quarter was Vertex Energy, Inc. (VTNR), a middle-market consolidator, refiner and rerefiner of distressed petroleum products such as used oil, transmix and off-specification commercial chemical products. The stock soared after the company agreed to purchase an Alabama refinery from Royal Dutch Shell for $75 million. According to comments by CEO Benjamin Cowart in the deal announcement, this was the “largest, most significant transaction ever completed by Vertex, one that positions us to become a leading regional supplier of both renewable and conventional products.” After another $85 million in investments to convert the hydrocracking unit to produce renewable diesel, Mr. Cowart believes the Alabama refinery could generate $3 billion in revenue and $400 million in gross profit as soon as 2023. While we admire Mr. Cowart’s optimism, we think the stock price has gotten ahead of company fundamentals—partially due to over exuberance regarding “green energy”—and we sold our position in Vertex.”

You can also take a look at 10 Electric Car Stocks to Buy for 2022 and 10 High Dividend Stocks for 2022.

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