In this article we will take a look at the 5 best stocks for beginners with little money. For a detailed analysis of these stocks, go directly to the 10 Best Stocks for Beginners with Little Money.
5. MGM Resorts International (NYSE: MGM)
Number of hedge fund holders: 44
MGM Resorts International (NYSE: MGM) is a Las Vegas-based hospitality and entertainment firm. The company runs resorts in Las Vegas, Massachusetts, Detroit, Mississippi, Maryland, and New Jersey. It also runs casinos and hotels in several different countries. The firm presently has 29 hotel and destination gaming offerings under its command. It was founded in 1986 and was formerly known as MGM MIRAGE. It is placed fifth on our list of 10 best stocks for beginners with little money.
On April 22, leading investment bank Union Gaming gave MGM Resorts a high price target of $52, a 20% upside from the $45 assigned before, on the back of the sports betting potential for the casino operator. John DeCree, an analyst at the firm, said that the company had emerged as a market leader in sports betting and electronic gaming and would benefit from the reopening of resorts as the pandemic subsided.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm Corvex Capital is a leading shareholder in the firm with 22.5 million shares worth more than $710 million.
In their Q1 2021 investor letter, Longleaf Partners Fund highlighted a few stocks and MGM Resorts International (NYSE:MGM) is one of them. Here is what the fund said:
“MGM (21%, 1.44%), the casino and online gaming company, also contributed to the Fund’s strong returns. MGM’s Las Vegas properties performed particularly well during the fourth quarter, with October marking the best month since pre-COVID February, positive quarterly EBITDA and strong 2021 bookings. MGM’s online gaming and sportsbetting app, BetMGM, is one of the leaders in US online gaming, with a better market share in the more profitable iGaming than in the higher profile but lower margin sports gaming. MGM has demonstrated high conversion rates of its hotel guests and we believe that, with Barry Diller’s help, they will build a competitive long-term advantage with lower customer acquisition costs. MGM’s Macau subsidiary, MGM China, also appreciated as the Macau market partially reopened. We believe there is significant additional upside for the Macau business over the medium-to-long term.”
4. United Microelectronics Corporation (NYSE: UMC)
Number of hedge fund holders: 12
United Microelectronics Corporation (NYSE: UMC) is a China-based microelectronics manufacturer. The firm runs as a semiconductor wafer foundry in several countries, including Taiwan, Singapore, China, Hong Kong, Japan, and the United States. The company provides semiconductor manufacturers with circuit design, mask tooling, and wafer fabrication, and assembly services. It also has stakes in the solar energy and LED industries. The firm was founded in 1980 and is placed fourth on our list of 10 best stocks for beginners with little money.
It has a market cap of more than $25 billion and posted an annual revenue of close to $6.3 billion in December 2020, up from $4.9 billion posted in the previous year. United microelectronics stands to benefit from a semiconductor shortage in the world amid an increase in the production of electronic devices as the economy reopens following the pandemic.
At the end of the fourth quarter of 2020, 12 hedge funds in the database of Insider Monkey held stakes worth $190 million in the firm, up from 11 in the preceding quarter worth $137 million.
3. Himax Technologies, Inc. (NASDAQ: HIMX)
Number of hedge fund holders: 12
Himax Technologies, Inc. (NASDAQ: HIMX) is a China-based semiconductor manufacturer. It also has stakes in the display imaging processing technologies. The company operates in the Philippines, Korea, Japan, Europe, and the United States. The products that the firm manufactures are used in electronic devices like televisions, laptops, and mobile phones. The firm also makes micro-displays for augmented reality devices. Himax was founded in 2001 and is placed third on our list of 10 best stocks for beginners with little money.
On April 19, the company announced that it had become the largest shareholder in the Chinese visual technology firm CM Visual Technology for an undisclosed fee. CM Visual makes microstructure optical films. The announcement came two weeks after Himax said that it had partnered with automotive display supplier BOE Varitronix for flexible AMOLED automotive displays and won accolades for an initial product design from a major electric vehicle company.
Out of the hedge funds being tracked by Insider Monkey, Beijing-based investment firm Yiheng Capital is a leading shareholder in the firm with 6.7 million shares worth more than $49.8 million.
2. Aviat Networks, Inc. (NASDAQ: AVNW)
Number of hedge fund holders: 15
Aviat Networks, Inc. (NASDAQ: AVNW) is a Texas-based company that develops and markets wireless networking products and services in North America, Africa, the Middle East, Europe, Russia, Latin America, and the Asia Pacific. Some of the products that the company sells include broadband wireless access base stations, customer premises equipment for mobile networks; and digital microwave radio systems. The company was founded in 2006 and is placed second on our list of 10 best stocks for beginners with little money.
Aviat Networks, Inc. (NASDAQ: AVNW) has a market cap of more than $350 million and posted an annual revenue of more than $238 million in July 2020, down slightly from $243 million reported the year before. On April 19, the share price of the firm jumped more than 5% after it announced that it had signed a multi-million dollar agreement with African mobile operator Africell to provide 5G transmission networks in several African countries.
At the end of the fourth quarter of 2020, 15 hedge funds in the database of Insider Monkey held stakes worth $49 million in the firm, up from 5 in the preceding quarter worth $27 million.
1. Northern Dynasty Minerals Ltd. (NYSE: NAK)
Number of hedge fund holders: 5
Northern Dynasty Minerals Ltd. (NYSE: NAK) is a Vancouver-based mining company. The most important mineral project being run by the firm is the Pebble project in Alaska. It is a copper-gold-molybdenum mine comprising 2,402 mineral claims that covers an area of almost 417 square miles. This area is often considered to house one of the world’s largest unexplored copper and gold deposits. The significance of these copper deposits, which also provide other rare earth metals used in different electronic devices, is not lost on the Canadian firm.
The company is hopeful that work on the project, currently in limbo, begins again. Northern Dynasty was founded in 1983 and is placed first on our list of 10 best stocks for beginners with little money. The company is presently in the process of filing an administrative appeal with the US Army Corp of Engineers to restart work on the Pebble mine.
Out of the hedge funds being tracked by Insider Monkey, Florida-based investment firm Kopernik Global Investors is a leading shareholder in the firm with 26 million shares worth more than $8.3 million.
You can also take a peek at 10 Best Biotech Stocks To Buy For 2021, and Top 10 Best Freelancing Platforms and Websites for 2021.
