In this article, we will be taking a look at the 5 best stocks to buy now according to billionaire Marc Lasry’s Avenue Capital. To read our detailed analysis of Lasry’s profile, investment strategy, and 13F holdings, you can go directly to see the 10 Best Stocks to Buy Now According to Billionaire Marc Lasry’s Avenue Capital.
5. Twitter, Inc. (NYSE:TWTR)
Avenue Capital’s Stake Value: $11,753,000
Percentage of Avenue Capital’s 13F Portfolio: 5.8%
Number of Hedge Fund Holders: 68
Twitter, Inc. (NYSE:TWTR) is a major communication services company operating one of the largest and most popular social media platforms today. The company’s platform allows public self-expression and conversation alongside giving users the chance to consume, create, distribute, and discover new online content.
Barton Crockett, an analyst at Rosenblatt, upgraded shares of Twitter, Inc. (NYSE:TWTR) to Buy this July. The analyst also raised his price target on the stock to $52.
Alongside upgrading the stock, Crockett has commented that Twitter, Inc. (NYSE:TWTR) seems to be an attractive near-term opportunity. He added that rising information about the company’s lawsuit with Elon Musk implies that the company has more leverage. Hindenburg, an investment firm, agreed with Crockett’s positive evaluation of the stock, adding that it has gathered a significant long position in Twitter, Inc. (NYSE:TWTR). With such positive investor sentiment surrounding the stock, it has become one of the top holdings in Avenue Capital’s portfolio.
In the first quarter of 2022, 68 hedge funds were long Twitter, Inc. (NYSE:TWTR), with a total stake value of $2.1 billion.
4. Paramount Global (NASDAQ:PARA)
Avenue Capital’s Stake Value: $11,921,000
Percentage of Avenue Capital’s 13F Portfolio: 5.9%
Number of Hedge Fund Holders: 40
Paramount Global (NASDAQ:PARA) is a global media and entertainment company. It distributes a schedule of news and public affairs broadcasts, alongside sports and entertainment programming. The company was formerly known as ViacomCBS Inc. and changed its name to Paramount Global (NASDAQ:PARA) this February.
Jason Bazinet, an analyst at Citigroup, holds a Buy rating on shares of Paramount Global (NASDAQ:PARA) as of this July, alongside a price target of $37. This rating and price target imply upside potential harbored by the stock, making Paramount Global (NASDAQ:PARA) one of the top stock picks for billionaire Marc Lasry’s Avenue Capital.
This July, Guggenheim analyst Michael Morris boosted second-quarter expectations for Paramount Global’s (NASDAQ:PARA) operating income to $903 million. The raise came in light of the company’s Filmed Entertainment segment which brought in $570.7 million in domestic grosses through the success of the American film Top Gun: Maverick. Morris holds a Buy rating on Paramount Global (NASDAQ:PARA) shares as of July 2022.
There were 40 hedge funds holding stakes in Paramount Global (NASDAQ:PARA) in the first quarter, with a total stake value of $3.4 billion. In the previous quarter, 64 hedge funds were long the stock, with a total stake value of about $1 billion.
3. Amplify Energy Corp. (NYSE:AMPY)
Avenue Capital’s Stake Value: $14,088,000
Percentage of Avenue Capital’s 13F Portfolio: 7%
Number of Hedge Fund Holders: 14
Amplify Energy Corp. (NYSE:AMPY) is an energy company among the top three holdings in Avenue Capital’s portfolio. It engages in the acquisition, development, exploitation, and production of oil and natural gas properties in the US.
This June, Amplify Energy Corp. (NYSE:AMPY) announced that it had completed its semi-annual borrowing base redetermination, which affirmed the company’s borrowing base at $225 million. The company’s CEO, Martyn Willsher, commented in light of this announcement that Amplify Energy Corp. (NYSE:AMPY) is now well-positioned to improve its liquidity position and leverage profile.
Out of 912 hedge funds, 14 hedge funds were long Amplify Energy Corp. (NYSE:AMPY) in the first quarter of 2022. Their total stake value was about $30.3 million.
2. Vistra Corp. (NYSE:VST)
Avenue Capital’s Stake Value: $29,330,000
Percentage of Avenue Capital’s 13F Portfolio: 14.6%
Number of Hedge Fund Holders: 40
Vistra Corp. (NYSE:VST) is an integrated retail electricity and power generation company. It operates through its Retail, Texas, East, West, Sunset, and Asset Closure segments. As it makes up almost 15% of Lasry’s portfolio, it is one of the best stocks to buy now according to billionaire Marc Lasry’s Avenue Capital.
According to Insider Monkey’s hedge fund data for the first quarter, 40 hedge funds were long Vistra Corp. (NYSE:VST) with a total stake value of $1.6 billion. In the previous quarter too, there were 40 hedge funds long the stock, with a total stake value then of $1.5 billion.
1. Diamond Offshore Drilling Inc. (NYSE:DO)
Avenue Capital’s Stake Value: $89,391,000
Percentage of Avenue Capital’s 13F Portfolio: 44.5%
Number of Hedge Fund Holders: 12
Diamond Offshore Drilling Inc. (NYSE:DO) is another energy company in Avenue Capital’s 13F holdings. The company provides contract drilling services to the energy industry worldwide.
Diamond Offshore Drilling Inc. (NYSE:DO) had total liquidity of $388 million as of this March, including $54 million in unrestricted cash. It is Avenue Capital’s largest holding, making up almost 45% of the fund’s portfolio, and is thus among the top stock recommendations from billionaire Marc Lasry.
Diamond Offshore Drilling Inc. (NYSE:DO) had 12 hedge funds holding stakes in it in the first quarter. Their total stake value was $138 million.
You can also take a look at Billionaire David Abrams’ Top Stock Picks and 10 Most Expensive Luxury Brands In The World.
