Joe DiMenna’s Stock Portfolio: Top 10 Stocks to Buy

 5. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders as of Q4: 317

Zweig-DiMenna Associates’ Equity Stake: $40.77 Million 

In February 2025, Microsoft Corporation (NASDAQ:MSFT) announced a breakthrough in quantum computing with the creation of a new state of matter, leading to the development of a topological qubit. This advancement is likely to accelerate progress in fields such as artificial intelligence, medicine, and cryptography. While some scientists remain skeptical about the achievement, the company believes its technology could surpass rivals like Google, which recently demonstrated a quantum computer capable of solving problems in minutes that would take classical supercomputers trillions of years. This development has intensified global competition, with China and the European Union investing billions in quantum research. Although still in an experimental phase, experts see quantum computing as a transformative technology with the potential to revolutionize various industries and national security.

As of Q4 2024, Zweig-DiMenna Associates held 96,728 shares of Microsoft Corporation (NASDAQ:MSFT), valued at approximately $40.8 million, making it the firm’s fifth-largest holding. Institutional interest in Microsoft continued to rise, with 317 out of 1,008 hedge funds tracked by Insider Monkey holding positions worth nearly $21 billion as of Q4 2024, an increase from 279 funds in the previous quarter. This growing investment from major financial institutions underscores confidence in Microsoft’s long-term growth potential and its strong position in the technology sector. MSFT remains a top choice for investors looking for stability and consistent returns.

Microsoft Corporation (NASDAQ:MSFT)’s financial performance in Q4 2024 further solidified its reputation, with revenue reaching $69.63 billion, exceeding market expectations of $68.81 billion and reflecting a 12.27% year-over-year increase. Earnings per share also outperformed forecasts, coming in at $3.23, 3.5% higher than consensus estimates. This impressive growth has been fueled by advancements in cloud computing, artificial intelligence, and groundbreaking developments in quantum computing. The company’s recent breakthrough in creating a topological qubit positions it at the forefront of next-generation computing, which could revolutionize industries and further strengthen its competitive edge. As Microsoft Corporation (NASDAQ:MSFT) continues to lead in innovation, its stock presents a strong investment opportunity with significant long-term growth.