5 Best Roth IRA Stocks to Buy and Hold for Long Term

1. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 102

NVIDIA Corporation (NASDAQ:NVDA) is a California-based multinational technology company that specializes in artificial intelligence hardware and software.

NVIDIA Corporation (NASDAQ:NVDA) ended Q1 2022 with $20.3 billion available in cash and cash equivalents and $1.34 billion in free cash flow. The company paid $2.10 billion to shareholders in share repurchases and cash dividends during the quarter. NVIDIA Corporation (NASDAQ:NVDA) currently offers a quarterly dividend of $0.04 per share, with a yield of 0.10%, as of July 15.

Of the 900+ elite funds tracked by Insider Monkey, 102 hedge funds owned stakes in NVIDIA Corporation (NASDAQ:NVDA) in Q1, down from 110 in the previous quarter. The total value of these stakes is over $6.3 billion.

RiverPark Funds mentioned NVIDIA Corporation (NASDAQ:NVDA) in its Q1 2022 investor letter. Here is what the firm has to say:

“Nvidia is the leading designer of graphics processing chips (commonly known as GPU’s- graphics processing units), required for powerful computer processing. Over the past 20 years, the company has evolved through innovation and adaptation from a predominantly gaming- focused chip vendor to one of the largest semiconductor/software vendors in the world, dominating the core secular growth markets of gaming, data centers and professional visualization. Over the past decade, the company has grown revenue at a compound annual rate of over 20% while expanding operating margins and, through its asset light business model, producing ever increasing amounts of free cash flow. For 2021 the company generated 61% revenue growth to $27 billion, expanded its EBITDA margins to over 44% and generated over $8 billion of free cash flow. Over the past five years, the company has generated a cumulative $23 billion of FCF after cumulative capital expenditures of less than $4 billion.

We expect future growth to remain robust as NVDA chips and software are critical to many of the core technologies being adopted globally, including cloud computing, virtual reality and advanced artificial intelligence. As with NFLX, we took advantage of the over 40% recent drop in the company’s shares over the last several months to initiate a small position.”

You can also take a look at 12 Best Bear Market Stocks to Buy Now and  Top Stock Picks of Michael Burry.

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