The 3 most popular stocks purchased by members of Congress in the first quarter

The first quarter of 2024 will be over soon, which is a great time to recap where they are investing large sums of money and insider knowledge. Today we look at the top three stocks purchased by US lawmakers in the first quarter of 2024, and the list is significant. The top three stocks by activity and volume are some of the most traded stocks on the market and are preparing for buying opportunities in the second quarter.

Palo Alto Networks is the most purchased stock by Congress

Palo Alto Networks NASDAQ: PANW is the most purchased by Congress, with two members making three trades in the first quarter. It is not the level of activity that has it in first place, but the trading volume, which is rapidly approaching $1 billion on an annual basis. The purchases are by William R. Keating, Representative (MA-D) and Nancy Pelosi, Representative (CA-D). Mr. Keating purchased less than $15,000 worth of PANW, while Ms. Pelosi purchased the remainder. Since the second most purchased name by volume has been trading at less than 20% of volume, Mrs. Pelosi is a whale among minnows.

Among the interesting details are the timing of purchases. Mrs. Pelosi purchased the first and largest batch before the FQ2 was released and the second afterward, demonstrating commitment to the operation as she dollar-cost averaged into a larger position. The cause of the post-release collapse is an opportunity for investors. Palo Alto is all about acquiring customers and positioning itself for long-term growth at the expense of margin. The bottom line is that this fortress business has the resources to realize its plans, which should lead to accelerated growth in 2025 and beyond.

Analyst activity following the report is mixed but also significant. The net result is that sentiment remains stuck at Moderate Buy for this tech stock and the price target, which is 10% above the current stock, has increased.

Costco has more conference shoppers than any other stock

Costco Wholesale NASDAQ: COST it is sixth in terms of volume, but is purchased by more members of Congress than any other stock. Three members made four transactions worth approximately $56,500. Buyers include Rep. Kathy D. Manning (D-NC), Rep. Kevin Hearn (R-OK), and Rep. Pete Sessions (R-TX).

Most of the buying was done by Mrs. Manning, who purchased two lots on the same day in late January. Costco shares have risen since then, but they are preparing for another entry. The market peaked before the latest earnings report, which was confirmed later. The move may not result in a complete reversal, but a move towards firmer support near $650 is possible.

The cause of the retreat is value and results. The valuation was pushed to the top of its historical range prior to release due to growth, expected strength and capital returns, including the recent special dividend. Results in line with growth expectations and extraordinary dividends, which will not be repeated this year. Now the market is returning to the trend.

Apple was among the most purchased stocks by members of Congress in the first quarter

Apple NASDAQ:AAPL, an expensive market, tops the list of actively traded stocks by Congress and by volume. It ranks second in terms of activity with three trades by three members and third place in terms of volume at $83,500. Members who purchased include Pete Session, Markwayne Mullin and Tommy Tuberville, all Republicans representing Texas, Oklahoma and Alabama. The purchases were made in early and late January and late February, with Mr. Sessions buying less and Mr. Mullin more.

The price action in Apple has caused a loss for these illustrious gentlemen, and the losses could worsen. The news for Apple has not been bullish as of late and is helping the market move lower. Highlights include scrappage plans for an electric vehicle, large fines and antitrust issues. The company is also lagging behind in its push into artificial intelligence, which is a potential catalyst. The company is expected to make significant announcements regarding AI in the coming months, including at the Worldwide Developer Conference.

Before considering Apple, you’ll want to hear it.

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