5 Best Under The Radar Stocks To Buy According To Hedge Funds

In this article, we will be taking a look at the 5 best under the radar stocks to buy according to hedge funds. To read our detailed analysis of current stock market trends, you can go directly to see the 11 Best Under The Radar Stocks To Buy According To Hedge Funds.

5. Costco Wholesale Corporation (NASDAQ:COST)

Number of Hedge Fund Holders: 63

Baird analyst Peter Benedict maintains an Outperform rating and $550 price target on Costco Wholesale Corporation (NASDAQ:COST) shares as of July 7.

Costco Wholesale Corporation (NASDAQ:COST) is a consumer staples company based in Issaquah, Washington. It operates membership warehouses internationally.

We saw 63 hedge funds long Costco Wholesale Corporation (NASDAQ:COST) in the first quarter, with a total stake value of $1.8 billion.

4. Deere & Company (NYSE:DE)

Number of Hedge Fund Holders: 65

Deere & Company (NYSE:DE) is an agricultural and farm machinery company based in Moline, Illinois. According to Bank of America, the company’s use of AI to track plants across different weather, soil types, and more makes it a good under-the-radar stock to play the AI boom.

A Buy rating and $475 price target were maintained by Timothy Thein at Citigroup on shares of Deere & Company (NYSE:DE) on July 18.

At the end of the first quarter, 65 hedge funds were long Deere & Company (NYSE:DE). Their total stake value in the company was $2.8 billion.

3. Humana Inc. (NYSE:HUM)

Number of Hedge Fund Holders: 68

Humana Inc. (NYSE:HUM) had 68 hedge funds long its stock in the first quarter, with a total stake value of $3.8 billion.

Humana Inc. (NYSE:HUM) is a healthcare company. It uses IBM’s AI to provide clarity on benefits for its Employer Group members, making it a top overlooked stock pick for Bank of America this year.

Michael Ha at Morgan Stanley holds an Overweight rating on Humana Inc. (NYSE:HUM) shares as of July 14, alongside a $637 price target.

2. UnitedHealth Group Inc. (NYSE:UNH)

Number of Hedge Fund Holders: 116

UnitedHealth Group Inc. (NYSE:UNH) is another healthcare company on our list. It uses an AI-enhance virtual assistance platform for collecting patient data, and more, making it a viable under-the-radar stock pick.

In total, 116 hedge funds were long UnitedHealth Group Inc. (NYSE:UNH) in the first quarter, with a total stake value of $11.7 billion.

On July 18, Lance Wilkes at Bernstein upgraded UnitedHealth Group Inc. (NYSE:UNH) shares from Market Perform to Outperform, alongside raising the price target on the stock from $595 to $603.

ClearBridge Investments mentioned UnitedHealth Group Inc. (NYSE:UNH) in its first-quarter 2023 investor letter:

“The tech-dominated quarter was a headwind for both defensive and cyclical sectors, with shares of health care holdings such as UnitedHealth Group Incorporated (NYSE:UNH), Elevance (ELV) and Johnson & Johnson (JNJ) declining after a strong 2022.”

1. Uber Technologies, Inc. (NYSE:UBER)

Number of Hedge Fund Holders: 144

Ivan Feinseth at Tigress Financial initiated coverage on Uber Technologies, Inc. (NYSE:UBER) shares on July 21 with a Buy rating and a $66 price target.

Uber Technologies, Inc. (NYSE:UBER) was seen in the portfolios of 144 hedge funds during the first quarter. Their total stake value was $5.7 billion.

Uber Technologies, Inc. (NYSE:UBER) is a passenger ground transportation service provider. The company has immense growth potential considering its status as a ride-sharing giant.

See also 10 Most Undervalued Cybersecurity Stocks To Buy and 12 Most Undervalued Retail Stocks to Buy.