Enphase Energy, Inc. (ENPH) has navigated a bumpy road over the past year. However, despite the negative impact of the coronavirus pandemic on business, this energy technology company had a WhaleWisdom Heatmap ranking of 34 and has shown considerable growth. Enphase significantly outperformed the S&P 500, rising by approximately 515.7% as of April 23, 2021, compared to the S&P’s gain of about 28.0% since the start of 2020.

Enphase designs and manufactures software-driven home energy solutions, delivering semiconductor-based microinverter technology globally for the solar industry with a platform for intelligent energy management. The company’s solar energy generation and storage solutions connect through the intelligent platform. Enphase saw a slowdown in solar installation during the pandemic but has more recently regained market share as solar power popularity continues to rise.

Mixed Results from Hedge Funds and Institutions

Hedge funds are selling, in contrast to institutions. Looking at fourth-quarter activity by the top hedge funds, the aggregate 13F shares held decreased to about 14.2 million from 21.0 million, a decrease of approximately 32.3%. Of the hedge funds, 44 created new positions, 35 added to an existing holding, 17 exited, and 46 reduced their stakes. In contrast to hedge funds, institutions increased their aggregate holdings by about 0.5% to approximately 94.0 million from 93.5 million.

(WhaleWisdom)

Impressive Multi-Year Estimates

Analysts anticipate that earnings per share will continue to rise from 2021 through to 2023, with year-over-year growth ranging from 29.8% to 49.3%. These significant year-over-year estimated increases for earnings could bring them to $3.62 per share in 2023, up from an estimated $2.05 for 2021. Revenue predictions are also quite promising, with revenue estimated to grow to approximately $2.2 billion in 2023, up from $1.3 billion in 2021.

Analysts Take Varied Stances

Despite impressive growth and optimistic estimates for the next few years, not all analysts raised price targets. JPMorgan Chase & Co. analyst Mark Strouse sees a buying opportunity for the stock. Strouse gave Enphase an Overweight rating as U.S. President Biden’s infrastructure plan would be favorable for the energy stock in addition to benefits of an investment tax credit extension for solar power and storage. James West of Evercore ISI gave the stock an Outperform rating and $184 price target, noting the company’s dominant position in the U.S. residential microinverter market. Barclays Investment Bank analyst Moses Sulton lowered the firm’s price target on Enphase to $214 from $256, maintaining an Overweight rating.

Optimistic Outlook

After historic highs, energy stocks like Enphase may have undergone market corrections, but the company’s upward momentum continues. Enphase’s U.S. presence stands to benefit from President Biden’s climate-based goals. While some analysts may be cautiously optimistic, there is long-term promise in the solar energy market.

Nvidia’s (NVDA) stock saw growth in the past year, as hedge funds were actively buying. The company outperformed the S&P 500, rising by approximately 174.3% compared to the S&P’s gain of about 29.1%. Despite a solid performance, Nvidia experienced a disappointing decline on the WhaleWisdom Heatmap to a ranking of 46, down from 4.

Nvidia sells graphics processing units (GPUs) that act as accelerators for CPUs. Nvidia specializes in products for gaming, data centers, professional visualization, and automotive platforms. Nvidia saw varying demand changes across its platforms with a boom in the gaming market. At the same time, the data center sales fell flat. Its professional visualization segment has also seen slow growth. Nvidia’s GPU-accelerated computing platform gives data centers added power needed for endeavors such as high-performance computing and artificial intelligence. However, one of Nvidia’s challenges is a supply chain shortage due to the global microchip storage, negatively impacting GPUs and autonomous driving technology.

Hedge Funds and Institutions Are Buying

Nvidia has seen positive fourth-quarter activity from both hedge funds and institutions. Hedge funds increased their aggregate 13F shares held to approximately 73.4 million from about 72.9 million. Of hedge funds, 51 created new positions, 154 added to existing holdings, 27 exited, and 143 reduced their stakes. Institutions increased their aggregate holdings to about 413.1 million from 408.0 million.

(WhaleWisdom)

Encouraging Revenue Estimates

Analysts expect to see year-over-year revenue growth from 2022 through 2024, of 10.9% to 34.5%. Between January 2022 and 2024, revenue is anticipated to grow to approximately $28.2 billion from $22.4 billion. Earnings estimates are expected to increase to $17.43 per share in 2024, up from a 2022 estimate of $13.55.

(WhaleWisdom)

Favorable Forecasts

Analysts are optimistic about the stock and raising price targets. Rosenblatt Securities raised Nvidia’s price target to $800 from $700. They maintained a Buy rating, noting its strength across all segments and optimistic revenue predictions. Deutsche Bank raised its priced target to $575 from $560, citing great opportunities for the business. Cowen, Inc. also raised price targets to $675 from $665. Cowen was encouraged by Nvidia’s proposed acquisition of Arm Ltd., a semiconductor and software design company. Analyst Chris Caso from Raymond James & Assoc., Inc. is optimistic in both the long and short term and upgraded Nvidia to a Strong Buy while raising the price target to $750 from $700.

Bright Outlook

Nvidia’s impressive 2020 and 2021 year-to-date growth is certainly encouraging for investors, and multi-year estimates speak to the stock’s potential. These estimates are favorable for long-term growth, especially given the lasting popularity of the gaming market for which Nvidia provides graphic cards. Analysts’ ratings and outlooks present an attractive opportunity for investors.

Sea Ltd. (SE) experienced tremendous growth over the past year, dramatically outperforming the S&P 500 and rising by approximately 529.3% compared to the S&P’s gain of about 26.8% as of April 9, 2021. Hedge funds were actively buying in the fourth quarter of 2020. The internet company bounded upward on the WhaleWisdom Heatmap to a ranking of 9, up from 29.

Sea is a consumer internet company based in Asia that serves customers worldwide through its three core businesses: Garena, Shopee, and SeaMoney. Sea uses an integrated internet platform consisting of e-commerce, digital entertainment content, payment processing, and digital financial services. Sea has undoubtedly benefited from a shift in consumer habits during the coronavirus pandemic that increased online purchases and gaming frequency.

Hedge Funds and Institutions Are Buying

Sea has captured the gaze of hedge fund managers and institutions. Looking at activity by the top hedge funds in the fourth quarter, the aggregate 13F shares held increased to about 80.6 million from 72.5 million, an increase of approximately 11.1%. Of the hedge funds, 44 created new positions, 61 added to existing holdings, 23 exited, and 64 reduced their stakes. Institutions were also buying, as aggregate holdings increased by about 8.7% to approximately 262.2 million from 241.3 million.

(WhaleWisdom)

Positive Multi-year Estimates

Analysts expect to see revenue rise over the next few years, with year-over-year growth ranging between 30.6% and 79.3% between 2021 and 2023. This growth could amount to revenue of approximately $14.2 billion in 2023, up from $7.9 billion in 2021. Earnings forecasts are also optimistic, rising to $0.51 per share by December 2023, up from a loss of $2.13 for 2021.

(WhaleWisdom)

Ratings Rise with Favorable Forecasts

CLSA Ltd. analyst Marcus Liu remained bullish on Sea’s long-term prospects and upgraded the equity to Buy with an unchanged price target of $275. Analyst Zhiwei Foo of Macquarie Investment Management also upgraded the stock to an Outperform from Neutral rating. Foo enthusiastically raised Sea’s price target to $280 from $124, noting that the digital finance business is an area of under-valuation.

Positive Outlook

Sea’s phenomenal year of growth and future potential are encouraging factors for investors. Sea’s business model meets the growing demand of shoppers for online payment and entertainment options. At the same time, opportunities for continued future growth offer an attractive entry point for new investors.

Spotify Technology S.A. (SPOT) has seen ups and downs over the past year as it navigated through the coronavirus pandemic. Since the beginning of 2020, Spotify has risen by approximately 82.6% as of April 2021, compared to the S&P’s gain of about 24.4%. The company was added to the WhaleWisdom Whale Index on February 18, 2021, due to Hedge Funds adding the stock to their portfolios.

Spotify offers digital recordings of music, podcasts, and news updates with international streaming services compatible with most operating systems and devices, from Microsoft Windows to Apple’s macOS and iOS and Android smartphones and tablets. Customers have access to limited free features with periodic advertisements or opt for a paid subscription to services, additional features, and commercial-free listening. Spotify pays record labels and owners of podcasts royalties based upon streaming activity. While the media services company saw advertising decline during the pandemic, it was fortunate to see a rise in paid subscribers during a time of government lockdowns and stay-at-home advisories.

Hedge Funds Are Buying

Spotify caught the attention of hedge fund managers and institutions. Looking at fourth-quarter activity by top hedge funds, the aggregate 13F shares held increased to about 38.9 million from 37.0 million, an increase of approximately 5.0%. Of the hedge funds, 27 created new positions, 45 added to an existing holding, 23 exited, and 45 reduced their stakes. With aggregate holdings increasing by about 4.2% to approximately 111.3 million from 106.8 million, institutions were also buying.

(WhaleWisdom)

Favorable Long-Term Estimates

Analysts anticipate that revenue will continue to rise from 2021 through 2024, with year-over-year growth ranging from about 15.9% to 19.5%. These encouraging year-over-year forecasts could bring revenue to approximately $18.0 billion by 2024, up from 2021’s estimate of $11.0 billion. While earnings per share may initially fall, they are predicted to rebound between 2021 and 2025, from a loss of -$1.96 in 2021 to a profit of $1.92 in 2024.

(WhaleWisdom)

Optimism with Varied Ratings

Doug Anmuth of J.P. Morgan Securities, Inc. has a favorable outlook for Spotify’s stock and raised its price target to $385 from $350, maintaining an Overweight rating. Spotify’s international expansion, service enhancements, and advertising opportunities factored into the higher target. Wolfe Research, LLC analyst Deepak Malthivanan gave Spotify a Peer Perform rating and a price target of $260. Then Atlantic Equities, LLP’s analyst, Hamilton Faber, conservatively downgraded the company to a Neutral rating from Overweight due to valuation, with a price target of $370.

Spotify recently announced its acquisition of Betty Labs, creator of Locker Room. This social audio application may have considerable appeal for sports fans and accelerate Spotify’s entry into the live audio space. This acquisition could certainly increase subscriber revenue, and beyond this move, Spotify is also applying machine-learning technology to cater programming to user interests.

Positive Outlook

Spotify has garnered hedge funds and analysts’ attention and made its way onto the WhaleWisdom Whale Index. As consumer demand continues to rise, Spotify strategically leverages research and technology to improve programming and expand services. Spotify’s significant growth over the past year and future potential create an opportunity for investors.

CrowdStrike Holdings, Inc. (CRWD) saw impressive growth over the past year, dramatically outperforming the S&P 500. The cybersecurity technology company shot up the WhaleWisdom Index to a ranking of 5, up from 30. Hedge funds and institutions are actively buying, sending CrowdStrike’s stock soaring.

CrowdStrike operates as a software company specializing in cloud-based solutions for business, endpoint security, threat intelligence, and cyberattack response services. Tech companies like CrowdStrike have benefited from the emergency shift to remote work during the coronavirus pandemic, as well as an increased threat of cyber-attacks in 2020. The pandemic contributed to a surge in growth; however, demand for the company’s products and services won’t simply dissipate from distributing vaccines for the virus. Many companies now see continued remote work and online collaboration as part of their future business model under a new normal.

(WhaleWisdom)

Hedge Funds and Institutions Are Enthusiastic

Looking at activity by the top hedge funds in the fourth quarter, the aggregate 13F shares held increased to about 54.1 million from 49.9 million, an increase of approximately 8.5%. Hedge funds created 48 new positions, 88 funds added to an existing holding, 17 exited, and 50 reduced their stakes. Institutions are also buying the stock, with aggregate holdings increasing by about 7.6% to approximately 142.8 million from 132.7 million.

(WhaleWisdom)

Earnings on the Rise

Analysts estimate that year-over-year increases would ultimately bring earnings to $2.45 per share by January 2025, up from just $0.29 for 2022. Revenue is also predicted to rise and reach approximately $4.1 billion in 2026, more than tripling initial estimates of $1.3 billion in 2022.

Analysts Raise Price Targets after Q4 Results

Matthew Hedberg from RBC Capital Markets kept an Outperform rating on CrowdStrike’s stock and raised its price target to $250 from $220. Jefferies Financial Group analyst Brent Thill was also impressed with its growth and noted that cybersecurity tailwinds are not expected to slow down soon. Jefferies maintained a Buy rating on CrowdStrike and a $275 price target. Needham & Co. also raised its price target on the stock to $275 from $200 and kept a Buy rating.

Fourth-quarter results showcase record growth and rates of return. CrowdStrike’s subscription revenue increased approximately 77% to $244.7 million, while its annual recurring revenue (ARR) surpasses a $1 billion milestone.

Positive Outlook

CrowdStrike’s growth and future estimates are certainly encouraging for investors. The company has benefited from changes in business practices and increased cyber threats during the pandemic and is well-positioned to meet continued demand for its technology and services.