Artificial intelligence behemoth Nvidia (NVDA) led April’s list of new buys by top managers. Nvidia stock also earned a spot on this screen in February and March. But in this month’s list of new buys by the best mutual funds, fellow AI and semiconductor leader Broadcom (AVGO) has snatched the crown, while Nvidia failed to even make an appearance.
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In fact, from Microsoft (MSFT) and Meta Platforms (META) to Alphabet (GOOGL) and Amazon.com (AMZN), none of the Magnificent Seven stocks made the cut.
But the top-performing institutional investors showed their love for Broadcom, scooping up roughly $8.3 billion worth of AVGO stock. With Nvidia gone from the list, only Arm Holdings (ARM), which just posted a disappointing full-years sales outlook, joined Broadcom from the fabless semiconductor group.
Featured as the IBD Stock Of The Day on Monday, AVGO stock briefly broke out Wednesday before slipping back below the new entry.
Including Broadcom, a total of eight companies, including Super Micro Computer (SMCI), Salesforce.com (CRM) and Chipotle Mexican Grill (CMG), each saw over $1 billion in capital inflows from the best mutual funds.
The links below highlight just a portion of this month’s new buys and sells by top funds.
Click here to see all the stocks on the list.
Broadcom, SMCI In Demand Among Best Mutual Funds
The best mutual funds also scooped up shares of financial giants JPMorgan Chase (JPM) and American Express (AXP).
As these savvy investors did in March and April, top funds also bet big on the broad building sector. Trane Technologies (TT), a maker of energy-efficient environment products for commercial and residential applications, led the industry, taking in roughly $1.14 billion.
| Company | Symbol | $ Amt Invested (bil) | Comp Rating | EPS Rating | RS Rating | SMR Rating |
|---|---|---|---|---|---|---|
| Broadcom | (AVGO) | 8.37 | 98 | 86 | 95 | A |
| Super Micro Computer | (SMCI) | 5.82 | 99 | 99 | 99 | A |
| JPMorgan Chase | (JPM) | 2.35 | 94 | 88 | 88 | A |
| American Express | (AXP) | 1.38 | 94 | 93 | 91 | A |
| Chipotle Mexican Grill | (CMG) | 1.33 | 99 | 97 | 93 | A |
| Eaton | (ETN) | 1.33 | 95 | 94 | 94 | A |
| Salesforce | (CRM) | 1.27 | 91 | 97 | 82 | A |
| Trane Technologies | (TT) | 1.14 | 98 | 95 | 94 | A |
Broadcom, JPM Near Buy Points
A number of names on the list of new buys by the best mutual funds are in or near new buy zones.
Finding support at its 50-day moving average, Broadcom has etched a consolidation pattern with a 1,438.17 buy point.
JPM stock has financed a new breakout from a second-stage flat base and remains in buy range above a 200.94 buy point.
Booz Allen Hamilton (BAH), which outshines Nvidia and Palantir (PLTR) as the driving force of AI in the federal government, remains in buy range from a breakout in a flat base.
Tradeweb Markets (TW) has jumped to the top of its buy zone since reporting earnings on April 25.
Builders Near Buy Points
Representing the big demand for the building sector among the best mutual funds, Modine Manufacturing (MOD) joins homebuilders PulteGroup (PHM) and Toll Brothers (TOL).
Featured as the IBD Stock Of The Day on May 6, Modine continues to tease a breakout past a 106.01 buy point with its relative strength line on the rise. It reversed below that entry on Thursday. Modine reports earnings on May 21.
Toll Brothers has nailed down a breakout from a flat bases. Homebuilding peer broke out Wednesday, but slipped back below its 121.08 point on Thursday.
Follow Matthew Galgani on X, formerly Twitter, at @IBD_MGalgani.
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