While hedge funds and mutual funds generally differ in level of risk, there are some stocks that appear to be favored among both in the first quarter of 2025, according to Goldman Sachs. In two recent reports, the firm analyzed $7 trillion worth of fund holdings at the start of the current quarter, assessing 695 hedge funds with $3.1 trillion of gross equity positions and 544 mutual funds that total $3.9 trillion in equity assets. In the period, there are five shared favorites among hedge funds and mutual funds, with those names overlapping in Goldman’s Hedge Fund VIP and Mutual Fund Overweight baskets. This quarter’s group includes one new addition, Applovin , as well as previously shared favorites like Mastercard . Notably, these shared favorites have returned 14% this year, almost six times the year-to-date gains of the S & P 500 at around 2.4%. Below are the five that appeared in the baskets. Funds have evidently benefited from Applovin as an addition, as shares of the ad tech company have risen more than 24% in 2025. Over the past 12 months, the stock has soared about 600%. Applovin – one of the biggest winning tech stocks of 2024 with a massive gain of more than 712% – recently gained around 24% on the back of its fourth-quarter earnings and revenue beat and stronger-than-expected guidance for the current quarter. Most analysts are still bullish on the name in the months ahead. According to LSEG, 19 out of 26 analysts covering the stock have a strong buy or buy rating, and its consensus price target of around $502 implies 21% upside potential, as of Friday’s close. Analysts also see more upside ahead for Mastercard, which has already also outperformed the broader market with a year-to-date gain of about 6%. That global payments stock has risen nearly 18% over the past year. To be sure, 34 out of 41 analysts covering Mastercard have a strong buy or buy rating on the name, while the remaining seven analysts have a hold rating. Its average target of nearly $615 reflects more than 10% upside potential. Moreover, audio streaming giant Spotify has surged more than 34% this year and more than 135% in the last 12 months. Wall Street is similarly bullish on the name as well, as 25 out of 39 of them have a strong buy or buy rating.
