We recently published a list of 10 Best Stocks to Buy and Hold For 2025. In this article, we are going to take a look at where Anheuser-Busch InBev SA/NV (NYSE:BUD) stands against other best stocks to buy and hold for 2025.
Stocks have been performing well lately as they seem to have been influenced by the excitement around artificial intelligence (AI) as well as the new administration. CNBC reported that stocks rose on January 22, with the S&P 500 hitting a new all-time high, as technology stocks rallied on AI optimism and President Trump’s new term in office.
On Wednesday, January 22, stocks finished higher as all 3 of the major indexes ended the session in the green. The S&P 500 increased by 0.61% after reaching an intraday record of 6,100.81 before closing at 6,086.37. The Nasdaq Composite excelled and rose 1.28% to reach 20,009.34, underscoring the outperformance of tech stocks. The Dow Jones Industrial Average advanced by 130.92 points, or 0.3%, to close at 44,156.73.
READ ALSO: 10 Best Low Priced Technology Stocks To Buy Now and 10 Best Sin Stocks to Invest in 2025.
President Trump also recently announced a joint venture named “Stargate,” involving OpenAI, Oracle, and Softbank, to invest at least $500 billion in AI infrastructure within the US. Stocks rose because of solid earnings reports and investors continued to pile into the AI space following this recent announcement by the new administration.
Keith Lerner, Truist’s co-chief investment officer, pointed out that a combination of a resilient economy, easing inflation, stabilizing of interest rates, and a strong start to the earnings season has created a favorable environment for the market. He noted that AI and technology continue to be key drivers of this bull market.
Another key factor playing a role in this market rally is the optimism around Trump’s agenda. Investors are hoping that Trump will ease regulations and reduce corporate taxes, which could lead to an increase in profits.
Methodology
To compile our list of the 10 best stocks to buy and hold for 2025, we used the Finviz stock screener to look for stocks that analysts believe will gain more than 30% in the next 12 months. We sorted our results based on market capitalization and picked the top 25 stocks. Finally, we ranked the 10 best stocks to buy and hold for 2025 based on their average price target upside potential according to analysts as of January 22, 2025. Additionally, we mentioned the hedge fund sentiment surrounding each stock, which was taken from Insider Monkey’s Q3 2024 database of 900 elite hedge funds.
Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A retail point showcasing the alcoholic and soft beverages of the company.
Anheuser-Busch InBev SA/NV (NYSE:BUD)
Average Price Target Upside Potential According to Analysts: 49.16%
Number of Hedge Fund Holders: 26
Anheuser-Busch InBev SA/NV (NYSE:BUD) is a global company that produces, markets and distributes beer. The company has over 200 breweries around the globe and operations in about 50 countries. As the world’s largest brewing company, Anheuser-Busch InBev SA/NV (NYSE:BUD) has a portfolio of over 500 global and local brands. Some of the company’s most well-known brands include Budweiser, Corona Extra, Michelob ULTRA, and Stella Artois.
A key focus area for the company is digital transformation through its B2B e-commerce platform, BEES, which captured $12.1 billion in gross merchandise value (GMV) in Q3 2024, a 14% increase year-over-year. BEES is now live in 28 markets and accounts for 72% of Anheuser-Busch InBev’s (NYSE:BUD) revenue from B2B digital platforms. Additionally, the company’s digital direct-to-consumer (DTC) platforms generated approximately 19 million e-commerce orders and delivered around $140 million in revenue in Q3 2024, up 11% compared to Q3 2023.
The company is strategically focused on strengthening its market position while also improving its digital capabilities. In Q3 2024, Anheuser-Busch InBev SA/NV (NYSE:BUD) gained or maintained market share in 60% of its markets, with continued investment in its brands driving an increase in brand power. While volumes also increased in 50% of the markets, overall volume declined by 2.4% due to a soft consumer environment in China and Argentina. However, Anheuser-Busch InBev’s (NYSE:BUD) diversified geographic footprint allows it to deliver consistent results. In Q3 2023, the company reported a 2.1% increase in revenue year-over-year and a 5.6% increase in gross profit.
Overall, BUD ranks 6th on our list of best stocks to buy and hold for 2025. While we acknowledge the potential of BUD, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than BUD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
