In this article, we will take a detailed look at the Top 12 Tech Stocks to Buy According to Billionaire Ken Fisher.
Under the umbrella of Fisher Asset Management, Billionaire Ken Fisher has maintained a positive stance on technology stocks, particularly those within the “Magnificent Seven.” While emphasizing the strong performance of these large-cap growth companies, Fisher emphasizes that the ongoing bull market extends beyond just these high-profile names. According to him, the 2024 rally has been broader than it is generally perceived, with growth stocks, especially in tech and communication services, consistently outperforming their value and small-cap counterparts.
Ken Fisher’s discussion revealed a notable trend: tech stocks have tended to outperform during market upswings and underperform during downturns. This pattern, evident throughout the statistics of 2024, strengthens the theory that if investors believe in a continuing bull market, technology stocks will likely remain strong performers. Although they may not always lead the market consistently or across every metric, according to historical evidence, their overall performance consistently outshines most other sectors and groupings.
Fisher’s perspective suggested that while technology stocks may not dominate the market indefinitely, their performance still serves as a bellwether for broader market sentiment. He stated that investing in these companies is not about expecting perfection but recognizing that in bullish environments, they tend to deliver higher returns. At the same time, he warned against focusing too narrowly on these names, as the broader growth category spanning across sectors is also poised to benefit from favorable market conditions.
In summary, Fisher Asset Management’s investment approach shows confidence in the long-term prospects of technology stocks. Though Ken Fisher concedes there are no certainties in the market, he points to a clear directional relationship: when the market rises, these stocks tend to rise more; when it falls, they decline more. For Fisher, this reinforces the strategic value of maintaining strong exposure to tech-driven growth stocks in a bullish environment.
Our Methodology
We searched through Fisher Asset Management’s Q4 2024 13F filings to identify the top tech stocks that the firm is invested in. From the resultant data, we ranked the technology equities based on his hedge fund’s stake value in each holding. Additionally, we have mentioned the hedge fund sentiment around each stock using data from 1,009 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 12 Tech Stocks to Buy According to Billionaire Ken Fisher
12. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders as of Q4: 96
Fisher Asset Management’s Equity Stake: $2.91 Billion
Advanced Micro Devices, Inc. (NASDAQ:AMD), headquartered in Santa Clara, California, is a leading American multinational semiconductor company. As a fabless hardware designer, AMD develops high-performance computing solutions, including central processing units (CPUs), graphics processing units (GPUs), field-programmable gate arrays (FPGAs), and system-on-chip (SoC) products. The company serves a broad spectrum of markets, from gaming and consumer electronics to enterprise-level data centers, embedded systems, and artificial intelligence (AI) applications.
For the fourth quarter of 2024, Advanced Micro Devices, Inc. (NASDAQ:AMD) posted a record revenue of $7.7 billion, with a gross margin of 51% and an operating income of $871 million. Net income for the quarter stood at $482 million, with diluted earnings per share of $0.29. These strong quarterly results underscored AMD’s momentum in high-performance computing, particularly in the data center and client computing segments, making it a top tech stock to buy.
Advanced Micro Devices, Inc. (NASDAQ:AMD)’s full-year 2024 financials reflected a transformative period for the company. Annual revenue reached a record $25.8 billion, with a GAAP gross margin of 49%, an operating income of $1.9 billion, a net income of $1.6 billion, and earnings per share of $1.00. Chair and CEO Dr. Lisa Su credited the strong performance to the rapid adoption of AMD’s EPYC processors and the success of AMD Instinct accelerators, which alone generated over $5 billion in revenue.
Segment-wise, the Data Center division led AMD’s growth, with quarterly revenue growing 69% year-over-year to $3.9 billion, fueled by robust demand for AMD Instinct GPUs and EPYC CPUs. The Client segment also saw significant growth, posting a record $2.3 billion in revenue, up 58% year-over-year due to strong Ryzen processor sales. Additionally, the Gaming segment reported a revenue of $563 million, demonstrating a 59% decline from the previous year, primarily attributed to lower semi-custom product demand. The Embedded segment earned $923 million, a 13% year-over-year decrease, reflecting uneven demand across end markets.
Artisan Global Opportunities Fund stated the following regarding Advanced Micro Devices, Inc. (NASDAQ:AMD) in its Q4 2024 investor letter:
“Among our top detractors were Advanced Micro Devices, Inc. (NASDAQ:AMD), Novo Nordisk and Danaher. Shares of AMD declined in Q4, which capped off a frustrating year of stock performance that did not seem to match its fundamental progress. Regarding its AI opportunity, the company accomplished everything we had hoped for over the past 18 months. It successfully entered the market with its MI300 graphic processing unit (GPU) chip and raised its latest 2024 AI-related revenue guidance to $5.0 billion from $4.5 billion. However, its shares have experienced weakness for two primary reasons. First is the emergence of custom AI accelerator chip solutions from Broadcom and Marvell (a Q4 buy) as alternatives to the GPU solutions from NVIDIA and AMD. While this competitive threat is more significant than we had initially anticipated, we continue to be excited about AMD’s opportunity moving forward. We believe the AI-related market will grow to $400 billion–$500 billion in the next three years (compared to $100 billion in 2024). We expect that NVIDIA’s market share will fall from ~90%in2024to60%–80%overthesameperiodasitcedes market share to AMD (from5%in2024to10%–20%) and custom accelerator solutions (from 5% in 2024 to 10%–20%). Under these assumptions, we expect AI GPUs to double AMD’s total 2024 sales. Second is cyclical struggles within other areas of its business. While data center revenues have more than doubled over the past two years, the gaming business is down more than 60%, and embedded (specialized chips found in various industrial and consumer products) is down20%.As its data center business continues to grow and the cyclical areas of its business bounce back, we expect AMD to deliver stronger earnings growth.”
11. Oracle Corporation (NYSE:ORCL)
Number of Hedge Fund Holders as of Q4: 105
Fisher Asset Management’s Equity Stake: $3 Billion
Co-founded in 1977 by Larry Ellison, who continues to serve as the company’s executive chairman, Oracle Corporation (NYSE:ORCL) is an American multinational technology giant headquartered in Austin, Texas. Oracle offers enterprise solutions such as database management systems and a comprehensive suite of business applications such as enterprise resource planning (ERP), human capital management (HCM), customer relationship management (CRM), enterprise performance management (EPM), supply chain management (SCM), and customer experience commerce (CX Commerce). With nearly 18 million shares of the company in his portfolio, ORCL stands 11th in the list of top 12 tech stocks to buy according to Ken Fisher.
In its fiscal third quarter ending February 2025, Oracle Corporation (NYSE:ORCL) reported financial results that fell short of analysts’ expectations. Adjusted earnings per share (EPS) was $1.47, just below the consensus of $1.49, while revenue totaled $14.13 billion, slightly short of the projected $14.39 billion. Nevertheless, the company experienced year-over-year revenue growth of 6%, up from $13.3 billion, and posted a significant 22% increase in net income, rising to $2.94 billion compared to $2.4 billion in the same quarter a year prior. The growth was largely driven by Oracle’s cloud services business, which generated $11.01 billion in revenue, up 10% year-over-year, and represented 78% of total sales.
Oracle Corporation (NYSE:ORCL) has partnered with OpenAI and SoftBank in a joint venture named Stargate as part of a broader national AI initiative, which will build data centers in Texas. The company intends to invest approximately $16 billion in capital expenditures this year, more than doubling its spending from the previous year to support these ambitions. For the upcoming quarter, Oracle forecasts revenue growth of 8% to 10%, falling short of analysts’ expectations of 11% growth and a revenue of $15.91 billion. The company also projects adjusted EPS in the range of $1.61 to $1.65, compared to analyst expectations of $1.79. Additionally, Oracle Corporation (NYSE:ORCL) announced an increase in its quarterly dividend from 40 cents to 50 cents per share, underscoring its commitment to delivering shareholder value amid its ongoing transformation into a dominant force in AI-enabled cloud computing.
Artisan Global Opportunities Fund stated the following regarding Oracle Corporation (NYSE:ORCL) in its Q4 2024 investor letter:
“Notable adds in the quarter included GE Vernova and Oracle Corporation (NYSE:ORCL). We believe Oracle is entering an interesting profit cycle as its faster growing business units become a larger percentage of the revenue mix. Most notably, Oracle Cloud Infrastructure (OCI) has undergone a significant product upgrade cycle that will enable it to be the primary incremental top-line growth driver. The company is winning new accounts due to its attractive pricing, flexibility and expanding geographic availability. Also, within its SaaS segment, we believe the companywill benefit from the secular trend toward cloud computing. Oracle experiences a significant profit boost as it moves its lower margin on-premise database business to the cloud (through any cloud provider), which operates at higher margins. The company recently surprised investors by announcing a 2029 revenue target of $104 billion, which implies an acceleration in annual revenue growth to ~16%fromthecurrent ~9%–10%levels. Shares pulled back in the quarter, and we used it as a buying opportunity.”
