In this article, we will take a detailed look at the Top 10 Stocks to Buy According to Think Investments.
Think Investments is an investment firm based in San Francisco, with additional offices in Singapore and India. The firm focuses on long-term investments in both public and private companies, emphasizing creative research to identify high-potential opportunities. Specializing in technology-driven early-stage businesses, Think Investments partners with its strong management teams to build differentiated companies that generate high returns on invested capital. With a deep understanding of emerging markets and global technology, the firm is well-positioned to navigate complex investment landscapes.
Founded in 2013 by Shashin Shah, Think Investments has established itself as a key player in global markets. The firm has over $1 billion invested in Indian companies operating in the financial services, healthcare, technology, and consumer sectors. Think’s investment strategy is guided by Shah’s extensive experience in global equity markets, ensuring a disciplined approach to capital allocation. The firm’s commitment to long-term value creation has made it a trusted partner for relatively young companies looking to scale efficiently.
Shashin Shah, Founder and Managing Partner, brings decades of expertise in global investing. Before launching Think Investments, he was a partner at Valiant Capital, where he managed multiple international markets, including India, the U.S., Europe, Asia, the Middle East, and North Africa. Shah also worked at Blue Ridge Capital and Morgan Stanley, further honing his investing skills. His academic background includes a bachelor’s degree in computer engineering from the University of Mumbai and an MBA from the University of Texas, equipping him with a strong analytical and financial foundation.
In addition to leading Think Investments, Shah plays an active role in shaping the growth of innovative companies. He currently serves on the boards of Chaayos, a tea café chain, and Dream11, India’s leading fantasy sports platform. His leadership and strategic insights continue to drive Think’s success, solidifying its reputation as a premier investment firm in global markets.
As of its latest filing for the fourth quarter of 2024, Think Investments reported managing approximately $454.51 million in 13F securities, of which the firm’s top ten holdings account for 80.57%.
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Our Methodology
The stocks discussed below were picked from Think Investments’ Q4 2024 13F filings. They are compiled in the ascending order of the hedge fund’s stake in them as of December 31, 2024. To assist readers with more context, we have included the hedge fund sentiment regarding each stock using data from 1009 hedge funds tracked by Insider Monkey in the fourth quarter of 2024.
Why are we interested in the stocks that hedge funds pile into? 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
Top 10 Stocks to Buy According to Think Investments
10. Silicon Motion Technology Corporation (NASDAQ:SIMO)
Number of Hedge Fund Holders as of Q4: 39
Think Investments’ Equity Stake: $18.88 Million
Silicon Motion Technology Corporation (NASDAQ:SIMO) is an American-Taiwanese company specializing in NAND flash controller integrated circuits. The company reported mixed financial results for Q4 2024. While it delivered a positive earnings surprise with earnings per share (EPS) of $0.91, surpassing the expected $0.81, revenue fell short at $191.2 million against the forecasted $196.46 million. However, Silicon Motion has maintained a consistent dividend payout for 13 consecutive years, reinforcing its commitment to shareholder returns.
Despite the sequential revenue decline of 10%, Silicon Motion Technology Corporation (NASDAQ:SIMO) demonstrated resilience with a full-year revenue growth of 26%, reflecting its long-term business strength. The company also reported a steady improvement in profitability, with its gross margin increasing for the seventh consecutive quarter, reaching 47%. Additionally, its operating margin stood at 16.5%; the company ended the quarter with a strong liquidity position, holding $334.3 million in cash and equivalents, which provides flexibility for future investments and growth initiatives.
Looking ahead, Silicon Motion Technology Corporation (NASDAQ:SIMO) aims for mid-single-digit revenue growth in 2025, indicating a cautious yet optimistic outlook. With continued improvements in margins and a focus on innovation in solid-state storage solutions, the company remains well-positioned to navigate industry challenges. As demand for NAND flash controllers continues to expand, Silicon Motion’s strategic positioning and financial discipline could drive long-term value for shareholders, effectively positioning it among the top stocks to buy according to Think Investments.
Following the Board of Directors’ decision on October 28, 2024, Silicon Motion Technology Corporation (NASDAQ:SIMO) will continue to pay an annual dividend of US$2.00 per American Depositary Share (ADS), which signifies US$0.50 per ordinary share, in four equal quarterly installments. The next payout of US$0.50 per ADS is due to be paid on February 27, 2025, to shareholders recorded as of February 13, 2025.
Focus Capital Management stated the following regarding Silicon Motion Technology Corporation (NASDAQ:SIMO) in its Q4 2024 investor letter:
“Silicon Motion Technology Corporation (NASDAQ:SIMO) designs and sells controllers which manage the NAND flash memory ubiquitous in modern computing. Wherever there is NAND flash, there must be a controller, often one from Silicon Motion. SIMO is an ADR (American Depository Receipt) trading on the NASDAQ.
2024 — Growth Across the Board: We just recently discussed at some length in our third quarter letter about Silicon Motion’s strengthening industry position, increasing market share, and growing revenue and margins. Over 2024, revenue has grown 25%+, gross margin has expanded 500 basis points, and net income has about doubled. We will not repeat our points from there at length. We will simply suffice with saying that the future looks even brighter, with continued growth in their core market segments as well as significant growth from their entry into new market segments. Silicon Motion’s entry into the high-end PC market with their PCIe 5.0 controllers is off to a very strong start with major design wins. In fact, Silicon Motion has stated that based on their present design win pipeline, they expect to attain about 50% market share in the high-end PC segment over the next few years, from their present standing start. And their MonTitan enterprise controllers for AI and data centers have already garnered multiple Tier 1 customer wins, with more expected to come, in what is again a greenfield opportunity for the company…” (Click here to read the full text)
9. Futu Holdings Limited (NASDAQ:FUTU)
Number of Hedge Fund Holders as of Q4: 38
Think Investments’ Equity Stake: $19.98 Million
Futu Holdings Limited (NASDAQ:FUTU) is a financial technology company operating across seven key global regions: Hong Kong, the United States, Singapore, Australia, Japan, Canada, and Malaysia. The company reported exceptional financial growth in Q4 2024; its revenues of $570.6 million marked an 86.8% year-over-year increase, while non-GAAP adjusted net income surged by 105.4% to $251.3 million. For the full year ending December 31, 2024, Futu Holdings Limited (NASDAQ:FUTU) recorded $1.75 billion in revenue and $742.6 million in adjusted net income, reflecting year-over-year growth of 35.8% and 26.2%, respectively. The company’s higher-than-expected earnings were attributed to a sharp rise in user acquisition and client engagement, reinforcing its strong position in the fintech sector.
Futu Holdings Limited (NASDAQ:FUTU) achieved significant expansion in its user base, reaching over 25 million global users, including 2.41 million paying clients, a 16% and 41% year-over-year increase, respectively. Client assets totaled $95.7 billion, growing by 53% compared to the previous year. The company exceeded its full-year guidance by onboarding more than 701,000 new paying clients, which marks an annual growth of 127%. Market penetration remained strong, too, with Singapore recording its highest growth in 10 quarters, while Japan, Canada, Malaysia, and Australia all reported double-digit growth in both user growth and client assets. Hong Kong, where the platform operates under the Futubull brand, saw continued expansion, reaching over half of the local adult population.
Futu Holdings Limited (NASDAQ:FUTU)’s wealth management division also demonstrated strong momentum, with assets under management surpassing $14 billion—nearly double the previous year’s total. The company’s global diversification strategy has positioned it for continued success, leveraging its robust technological platform to drive user engagement and expand financial services across multiple markets. With sustained growth in trading activity, client assets, and wealth management offerings, Futu remains a dominant force in the digital financial services industry.
8. Alibaba Group Holding Limited (NYSE:BABA)
Number of Hedge Fund Holders as of Q4: 107
Think Investments’ Equity Stake: $20.56 Million
Alibaba Group Holding Limited (NYSE:BABA), a Chinese multinational technology conglomerate, dominates the e-commerce, cloud computing, logistics, and digital services sectors. The company provides a sound infrastructure that supports merchants, brands, and businesses across China and in international markets. Alibaba’s key platforms include Taobao and Tmall for e-commerce, Alibaba Cloud for cloud computing, Cainiao Network for logistics, and Ele.me for food delivery services.
Alibaba Group Holding Limited (NYSE:BABA) recently reported strong financial results for Q4 2024, showcasing a renewed growth trajectory and improved operational efficiency. For the quarter that ended December 31, 2024, Alibaba recorded revenue of RMB 280.15 billion ($38.38 billion), an 8% year-over-year increase. Income from operations surged by 83% YoY to RMB 41.2 billion ($5.65 billion), driven by reduced impairment of intangible assets and improved adjusted EBITA, which grew 4% to RMB 54.85 billion ($7.52 billion). Net income attributable to shareholders jumped 333% year-over-year to RMB 48.95 billion ($6.71 billion), reflecting strong operational performance and mark-to-market gains from equity investments. Earnings per ADS reached RMB 20.39 ($2.79), with non-GAAP diluted earnings per ADS increasing by 13% year-over-year to RMB 21.39 ($2.93). Alibaba’s cloud computing division showed strong growth as well, with revenue growing 13% year-over-year, fueled by the rapid expansion of AI-related services.
Beyond e-commerce, Alibaba Group Holding Limited (NYSE:BABA) remains committed to artificial intelligence and cloud infrastructure investments, intending to spend at least 380 billion yuan ($52 billion) in the technology over the next three years. However, the company’s Chairman, Joe Tsai, expressed concerns over the scale of AI investments in the U.S., suggesting that current spending levels may be excessive and could signal the start of an AI investment bubble. With strategic investments in AI, cloud computing, and core e-commerce operations, Alibaba Group Holding Limited (NYSE:BABA) is positioning itself for sustained growth in an evolving global market.
Nightview Capital stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its Q4 2024 investor letter:
“Artificial intelligence is no longer just a promise—it’s becoming the defining force of the modern economy. From self-driving vehicles to humanoid robotics, intelligent systems are not only enhancing efficiency but unlocking entirely new markets. These systems process and learn from vast amounts of real-world data, iterating and improving at a scale no human could achieve.
In our view, this isn’t just innovation; it’s exponential evolution. Companies leading the AI revolution are building formidable data moats, making it nearly impossible for latecomers to compete. Every mile driven by an autonomous vehicle, every task completed by an industrial robot—these actions feed a cycle of continuous improvement.
Industries like transportation, healthcare, and logistics are on the brink of massive disruption, and we believe this is a pivotal moment.
Alibaba Group Holding Limited (NYSE:BABA): Core Opportunity” Alibaba’s focus on stabilizing its core businesses, coupled with growth of its cloud and AI divisions, positions the company for a breakout. With 25% of its market cap in cash, We believe Alibaba offers a highly compelling risk / reward opportunity from a valuation perspective.
Competitive Advantage: Core Business Recovery: Alibaba’s e-commerce platforms, including Taobao with 930 million monthly active users, remain instrumental in China’s retail landscape. Revenue grew 5% YoY in the latest quarter, reflecting strategic improvements in user experience and pricing…” (Click here to read the full text)
7. MercadoLibre, Inc. (NASDAQ:MELI)
Number of Hedge Fund Holders as of Q4: 96
Think Investments’ Equity Stake: $31.12 Million
MercadoLibre, Inc. (NASDAQ:MELI) announced its financial results for the fourth quarter and year that ended December 31, 2024, and reported revenue of $6.06 billion in Q4, slightly exceeding analysts’ expectations. More impressively, the company announced earnings per share of $12.61, significantly exceeding analysts’ expectations of $8.20 per share. This strong financial performance reflects the company’s ability to drive user engagement, enhance retention, and expand its financial services.
MercadoLibre, Inc. (NASDAQ:MELI), a leading Latin American e-commerce and financial technology company, operates an expansive online marketplace that facilitates e-commerce and online auctions. Headquartered in Montevideo, Uruguay, and incorporated in Delaware, the company’s ecosystem also includes digital payment services and lending solutions, making it a key player in the digital economy across Latin America.
In a letter to shareholders, MercadoLibre, Inc. (NASDAQ:MELI) emphasized record-high retention and transaction frequency across its platform. Payments and deposits per user in its digital accounts reached new peaks, and the number of merchants utilizing its lending services also hit an all-time high. These metrics highlight the company’s sustained growth and the increasing adoption of its integrated digital ecosystem. With its marketplace and financial services flourishing, MercadoLibre remains well-positioned for continued expansion in the Latin American market.
With 18,300 shares reported in its 13F portfolio, Think Investments held a stake of over $31 million in MercadoLibre, Inc. (NASDAQ:MELI), making it seventh on the list of top stocks to buy according to the hedge fund. Hedge fund sentiment has also recently increased, as 96 hedge funds out of 1,009 in Insider Monkey’s database held stakes in MercadoLibre, Inc. (NASDAQ:MELI) with a combined stake of $6.16 billion by the end of Q4 2024, as opposed to 87 hedge funds at the end of Q3 the same year.
Hardman Johnston Global Equity stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its Q4 2024 investor letter:
“The top individual detractors from relative performance were MercadoLibre, Inc. (NASDAQ:MELI), IQVIA, and Universal Display Corp. MercadoLibre struggled due to a combination of fundamentals and an increasingly challenging macroeconomic environment in its primary regions, predominately Brazil. The issue within fundamentals was related to a shortfall in operating margins, as the company significantly invested across its platforms, with the addition of six new fulfillment centers aimed at regionalizing its distribution network to better serve and retain its commerce customer base and expand its credit card offering. While these investments caused a negative reaction in the stock’s share price, the company has consistently demonstrated effective capital allocation in support of its medium and long term growth. Outside of the company’s control, the outlook for inflation in Brazil deteriorated throughout the year, weighing on equities across the region. We continue to monitor the region’s macroeconomic backdrop as a key investment risk for MercadoLibre, but we view the company as a best-in-class operator that will emerge in a better position on the other side of a macro recovery.”
6. Sea Limited (NYSE:SE)
Number of Hedge Fund Holders as of Q4: 86
Think Investments’ Equity Stake: $35.58 Million
Sea Limited (NYSE:SE), a Singapore-based technology conglomerate, continues to strengthen its position across e-commerce, gaming, and digital financial services. The company first gained recognition for its successful game publishing business, particularly with Free Fire. Over the years, Sea Limited expanded its operations, launching Shopee as a dominant e-commerce platform and SeaMoney to provide digital financial services across Southeast Asia and beyond.
The company achieved remarkable growth in 2024, with all three of its core businesses, gaming, e-commerce, and digital finance, demonstrating double-digit growth. Also, 2024 was Sea Limited (NYSE:SE)’s second consecutive year of annual profitability, with each business segment delivering positive adjusted EBITDA. E-commerce was a key driver, with Shopee’s gross merchandise value (GMV) surging 28% year-over-year to surpass $100 billion. The platform also achieved adjusted EBITDA profitability in both Asia and Brazil, reinforcing its ability to balance growth with sustainable financial performance.
For the fourth quarter of 2024, Sea Limited (NYSE:SE) reported revenue of $5 billion, marking a 36.9% year-over-year increase. Gross profit rose by 44.6% to $2.2 billion, and the company posted a net income of $237.6 million, a significant upside from the $111.6 million net loss recorded in the same quarter of 2023. Adjusted EBITDA soared to $590.9 million, up from $126.7 million a year earlier. As of December 31, 2024, the company’s cash, cash equivalents, short-term investments, and other treasury holdings totaled $10.4 billion, reflecting a net increase of $478.6 million from the previous quarter.
With its diversified business model and continued focus on profitability, Sea Limited (NYSE:SE) remains well-positioned for sustained growth. Looking ahead to 2025, the company expects Shopee’s full-year GMV growth to be around 20%, with further improvements in profitability. As it continues to scale its operations across key markets, the company is set to maintain its momentum as one of Southeast Asia’s leading digital economy players.
SaltLight Capital stated the following regarding Sea Limited (NYSE:SE) in its Q3 2024 investor letter:
“Sea Limited (NYSE:SE), which is focused on Southeast Asia, has the wildly successful Free Fire game franchise, first launched in 2017.
Free Fire has an astounding 648 million quarterly active users and 53 million paying players, spending an average of $42 a year8 . The company’s large user base is due to its game design being playable on lower-spec phones, which are more prevalent in emerging markets. Nevertheless, the business makes good money overall. Over the last twelve months, SEA Ltd made $1bn EBITDA with 50% margins. This is a phenomenal business that doesn’t require much capex to grow.
Our view is that the market has underappreciated the annuity-like nature of these evergreen game franchise businesses. Tencent, in particular, is valued at a multiple that doesn’t appreciate the nature of the game business…” (Click here to read the full text)
5. ICICI Bank Limited (NYSE:IBN)
Number of Hedge Fund Holders as of Q4: 32
Think Investments’ Equity Stake: $38.58 Million
Founded in 1994, ICICI Bank Limited (NYSE:IBN) is an Indian multinational bank and financial services company headquartered in Mumbai. The company’s primary source of revenue is the interest income generated from its extensive range of loan products, such as home loans, personal loans, automobile loans, and financing for SMEs and corporate clients.
On January 27, ICICI Bank Limited (NYSE:IBN) reported its net income for the third quarter of fiscal 2025 ended on Dec. 31, 2024, of INR 117.9 billion ($1.4 billion), demonstrating growth of 14.8% year-over-year. This increase was attributed to a rise in net interest income, non-interest income, and growth in loans and deposits, despite higher operating expenses and provisions.
A group of employees who alleged that they were unfairly dismissed by ICICI Bank Limited (NYSE:IBN) met with Rahul Gandhi, Leader of the Opposition in India, to voice their grievances on March 28. The meeting took place at Gandhi’s office in the Parliament House Complex, where the delegation shared personal accounts of their abrupt terminations, often occurring during periods of medical leave or after raising concerns about management practices.
According to the Congress party, the employees claimed that their dismissals were not isolated incidents but followed a pattern within the private banking sector in the country. They argued that such actions originate from increasing pressure on banks to maximize profits at the cost of employee rights and well-being. These testimonies highlighted the banking sector’s lack of accountability and fairness in the handling of employment matters.
As of Q4 2024, Think Investments holds nearly 1.3 million shares in ICICI Bank Limited (NYSE:IBN). This stake is now valued at approximately $38.58 million, making ICICI Bank the 6th most valuable holding in Shashin Shah’s portfolio. For the quarter that ended in December 2024, 32 out of 1,009 funds tracked by Insider Monkey held positions worth $3.32 billion in the company.
4. Reddit, Inc. (NYSE:RDDT)
Number of Hedge Fund Holders as of Q4: 87
Think Investments’ Equity Stake: $39.72 Million
Reddit, Inc. (NYSE:RDDT) operates as an American social media platform by the same name, which is known for its user-driven content aggregation and community forums. The platform allows registered members to submit posts in the form of links, text, images, and video media, which are then upvoted or downvoted by other users based on their usefulness or popularity. The platform is structured around topic-specific communities called subreddits, fostering a wide range of discussions across various interests. Reddit, Inc. (NYSE:RDDT) went public in March of 2024, with the company and its shareholders raising about $750 million from its initial public offering.
In its fourth-quarter earnings report, Reddit, Inc. (NYSE:RDDT) reported strong financial performance, with revenue rising 71% year-over-year to $427.7 million, exceeding analysts’ expectations. Net income for Q4 also surged to $71 million, a tremendous increase from $18.5 million in the same quarter last year, reflecting significant profitability. Despite these financial gains, Reddit’s user growth missed analyst expectations, with daily active users reaching 101.7 million instead of the anticipated 103.24 million. Nevertheless, this still represented a sound 39% year-over-year growth in user engagement.
Reddit, Inc. (NYSE:RDDT)’s projections for the first quarter of 2025 remain optimistic, with expected revenue ranging between $360 million and $370 million. This guidance significantly surpasses the $243 million reported in the same period last year and indicates continued growth momentum. While the earnings report highlighted Reddit’s strong financial performance, the shortfall in user growth dampened investor enthusiasm, leading to a decline in the company’s stock during after-hours trading.
For a stock that only recently went public, Reddit, Inc. (NYSE:RDDT)’s financials are impressive, giving rise to hedge fund sentiment. By the end of Q4 2024, 87 out of 1,009 funds tracked by Insider Monkey held positions worth nearly $4.65 billion in the company, up from 52 funds in Q3. The rising institutional interest in the company highlights strong confidence in its growth potential, strengthening its position as a top stock to buy.
3. Snap Inc. (NYSE:SNAP)
Number of Hedge Fund Holders as of Q4: 44
Think Investments’ Equity Stake: $41.57 Million
Snap Inc. (NYSE:SNAP), a parent company of Snapchat, Spectacles, and Bitmoji, reported a strong performance in the fourth quarter, beating Wall Street expectations across key financial metrics. The company posted adjusted earnings per share of $0.16, surpassing analyst expectations of $0.14. Revenue came in at $1.56 billion, slightly above the projected $1.55 billion and marking a 14% increase year-over-year from $1.36 billion. Snap also reported a notable turnaround in profitability, with a net income of $9.1 million compared to a $248 million net loss in the same period last year. Daily active users reached 453 million globally, outperforming expectations of 451.1 million and reflecting the platform’s continued growth in engagement.
Looking ahead, Snap Inc. (NYSE:SNAP) projects its first-quarter 2025 revenue to range between $1.32 billion and $1.36 billion, with the midpoint exceeding analyst forecasts. However, the company anticipates adjusted earnings between $40 million and $75 million, slightly below estimates due to planned increases in operating expenses such as increased hiring, legal fees, and a seasonal shift in marketing investments. Despite this, Snap remains optimistic about scaling its operations, citing enhancements to its ad platform and a strengthened focus on small and medium-sized enterprises through improved go-to-market strategies.
Snap Inc. (NYSE:SNAP) also reaffirmed its commitment to sustainable long-term growth and financial health, balancing short-term expense increases with strategic investments aimed at expanding its user base and advertiser network. In addition to its financial outlook, Snap demonstrated its commitment to corporate social responsibility by pledging $5 million to assist communities and employees affected by the recent Los Angeles wildfires, reinforcing its role not only as a technology leader but also as a socially responsible corporation.
As of Q4 2024, Think Investments held more than 3.8 million shares in Snap Inc. (NYSE:SNAP), valued at over $41 million. Hedge fund interest in the company also increased, with 44 out of 1,009 funds tracked by Insider Monkey holding positions worth nearly $1.44 billion by the end of the quarter, up from 34 funds in Q3.
RiverPark Large Growth Fund stated the following regarding Snap Inc. (NYSE:SNAP) in its Q3 2024 investor letter:
“Snap Inc. (NYSE:SNAP): SNAP was a top detractor in the third quarter following a second quarter earnings report that fell short of high expectations. While the company reported strong Daily Active User (DAU) growth (432 million +10% year-over-year) and time spent watching content on the app (+25% year-over-year), revenue of $1.24 billion was below the midpoint of the company’s guidance and slightly below investor expectations. Management pointed to weakness in their Brand Advertising vertical, specifically highlighting demand for retail, technology, and entertainment advertising for slowing through the quarter. SNAP did exceed EBITDA expectations by $15 million due to better operating leverage, but guided third quarter EBITDA below expectations as the company plans to make some targeted investments around AI infrastructure.
We believe that improvements in SNAP’s ad platform and continued growth in DAU should lead to continued acceleration in revenue growth over the next several quarters and years. With 2023 revenue of $4.6 billion (as compared with Meta’s $134 billion), we believe SNAP has a long runway for both revenue growth and expanded profitability.”
2. TaskUs, Inc. (NASDAQ:TASK)
Number of Hedge Fund Holders as of Q4: 17
Think Investments’ Equity Stake: $48.81 Million
TaskUs, Inc. (NASDAQ:TASK) is a global digital services provider known for its work in content moderation, customer experience, artificial intelligence, operations, and risk and response services for clients like Facebook and DoorDash. With its presence in 12 countries and 49,000 employees worldwide as of December 2024, TaskUs is recognized as a digital outsourcing company with a market capitalization of $1.38 billion. The company blends cutting-edge technology, skilled talent, and innovative strategies to support enterprise growth, and its recent financial performance reflects that mission and is second on the list of top stocks to buy according to Think Investments.
In the fourth quarter of 2024, TaskUs, Inc. (NASDAQ:TASK) generated $274.2 million in revenue, exceeding analyst expectations of $268.65 million and marking a 17.1% year-over-year growth. This strong performance, reported on February 26, was driven by the company’s expansion in key markets such as Latin America and Europe and its strategic focus on AI-powered services. Despite the revenue beat, earnings per share (EPS) fell slightly below expectations at $0.31 compared to the $0.35 projected by analysts, missing by 11.4%.
For the full year, TaskUs, Inc. (NASDAQ:TASK) reported revenue of $995 million, a 7.6% increase from the previous year, and an adjusted EBITDA of $209.9 million, representing a solid 21.1% margin. In Q4 alone, adjusted EBITDA stood at $53.8 million with a 19.6% margin. The company ended the year with a strong liquidity position, holding $192.2 million in cash and cash equivalents.
Looking forward to 2025, TaskUs, Inc. (NASDAQ:TASK) projects revenue growth between 10% and 13%, with expected full-year revenue ranging from $1.095 billion to $1.125 billion. The company plans to maintain an adjusted EBITDA margin of around 21%, aiming for further margin expansion. For the first quarter of 2025, TaskUs anticipates revenue in the range of $270 million to $272 million, reflecting steady momentum in its operations.
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders as of Q4: 339
Think Investments’ Equity Stake: $71.36 Million
As of Q4 2024, Think Investments held 325,275 shares of Amazon.com, Inc. (NASDAQ:AMZN), valued at over $71 million. Hedge fund interest in the company also increased, with 339 out of 1,009 funds tracked by Insider Monkey holding positions worth nearly $69.02 billion by the end of the quarter, up from 286 funds in Q3.
Amazon.com, Inc. (NASDAQ:AMZN)’s fourth-quarter 2024 earnings report reflected solid financial performance, with earnings per share (EPS) of $1.86 surpassing analyst expectations by 25.3% and revenue reaching $187.8 billion—a 10% year-over-year increase. However, the company’s Q1 2025 sales forecast of between $151 billion and $155.5 billion fell short of Wall Street’s expectation of $158.5 billion, dampening investor sentiment. Compounding this concern was a $2.1 billion foreign exchange headwind and Amazon’s announcement of an aggressive $100 billion capital expenditure plan for 2025, primarily earmarked for Amazon Web Services (AWS) and artificial intelligence. This figure is a notable increase from the $83 billion spent in 2024, raising concerns amid intensifying competition from rivals like Microsoft and Alphabet.
Despite these headwinds, Amazon.com, Inc. (NASDAQ:AMZN) continues to strengthen its position through strategic investments in AI. The company is integrating artificial intelligence across its core business segments, including e-commerce, advertising, and especially AWS, which stands out as its most profitable division. AWS is witnessing significant demand from customers for AI-driven workloads, positioning it to benefit considerably from ongoing advancements in AI technologies. The expanded capex for 2025 is largely directed toward bolstering AWS infrastructure to meet the rising demand for such services.
Analysts remain optimistic about Amazon’s long-term prospects, particularly its leadership in the cloud and AI sectors. Brian White of Monness reaffirmed a “Buy” rating on Amazon stock with a price target of $265, citing the company’s robust strategic positioning and growth potential.
Overall, AMZN ranks first among the top 10 stocks to buy according to Think Investments. While we acknowledge the potential of these top stocks, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AMZN but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
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