Published on 28 Jan 2024 on Insider Monkey via Yahoo Finance

11 Hyper-Growth Stocks Billionaires Are Loading Up On

In this article, we will take a detailed look at the 11 Hyper-Growth Stocks Billionaires Are Loading Up On. For a quick overview of such stocks, read our article 5 Hyper-Growth Stocks Billionaires Are Loading Up On.

Growth stocks have rewarded investors over the past several years, thanks to the hyper growth and mind-numbing expansion of technology companies like Amazon.com Inc (NASDAQ:AMZN), NVIDIA Corp (NASDAQ:NVDA) and Apple Inc (NASDAQ:AAPL). Data from the CFA Institute showed that since the end of the financial crisis, growth stocks outperformed value stocks by 144% through June 2018. The study highlighted that this massive outperformance was not a "fluke" since most of the growth stocks studied were trading at decent valuation multiples during 2009 and they also saw earnings growth during the period which was analyzed in the study.

In theory, growth stocks tend to underperform during a high interest rate environment when investors turn to realistic valuations and move away from risky assets. But what happened last year was the opposite of this. That means Mr. Market really cares about AI and the impact it is creating. That's why investors are still happy to buy technology stocks trading at higher multiples. Many analysts believe we are going through the beginning of the AI revolution and the AI products and services mega-cap technology companies like Amazon.com Inc (NASDAQ:AMZN), NVIDIA Corp (NASDAQ:NVDA) and Apple Inc (NASDAQ:AAPL) are making will have far-reaching consequences on human progress.