Six Stocks Gain Strong Support from Baron Capital

Six stocks gain strong support from Baron Capital, and each has a compelling story of innovation and entrepreneurialism.

The annual Baron Capital Investment Conference held Friday, Nov. 14, featured top executives of companies that have gained recognition for advancing the companies they lead. The Baron Capital leaders who spoke were not reticent to point out the number of immigrants and Jewish business leaders who found success by starting or growing businesses out of necessity to support their families or create jobs for themselves and others when rejection seemed to be all too common.

Possibly the most prominent entrepreneur of the current generation is Elon Musk, who leads electric vehicle company Tesla Inc. (NASDAQ:  TSLA), privately held satellite operator and launch service provider SpaceX and other cutting-edge businesses. Musk spoke with emotion as he thanked Ron Baron, chairman of Baron Capital, for supporting his various businesses as an investor.

It was yet another occasion when Musk found time to serve as a featured speaker at the annual conference. This year, Musk spoke remotely.

Mark Skousen, head of Forecasts & Strategies investment newsletter and co-head of the Fast Money Alert trading service, attended the event and spoke with Ron Baron afterward. He currently is recommending Tesla (NASDAQ: TSLA) with his Fast Money Alert partner Jim Woods. They have recommended it profitably in the past. Woods also writes the Investing Edge newsletter.

Mark Skousen co-leads Fast Money Alert.

Baron told me after the conference that he expects SpaceX to return 10 times his investment firm’s initial investment, while Tesla is expected to produce five times the original commitment. SpaceX is an investment that is held by several Baron investment funds, as is Tesla.

Elon Musk leads Tesla and SpaceX.

SpaceX is acquiring EchoStar spectrum licenses for $19.6 billion, including an initial $17 billion in September 2025, split between up to $8.5 billion in cash and $8.5 billion in SpaceX stock, plus funding of about $2 billion in interest payments on EchoStar’s debt. A separate deal in November 2025 involved SpaceX paying $2.6 billion for additional EchoStar spectrum licenses by using the acquirer’s stock. EchoStar now holds about $11 billion in SpaceX stock.

Six Stocks Gain Strong Support from Baron Capital: Morningstar

Morningstar, Inc. (NASDAQ: MORN), of Chicago, stood out as a financial company with a bright future, and an impressive past. Joe Mansueto, Morningstar’s founder, former chief executive officer and chairman, spoke about the company’s growth and his transition from reading the company as the day-to-day chief. It was Mansueto’s idea, he told Baron.

A capable successor was found internally, prepared for the top role and the changing of leadership roles has allowed Mansueto to become a sports team owner. He bought the Chicago Fire soccer team in the MLS, describing how his earlier duties prepared him for the new challenge.

Morningstar, Inc. shares are held in a number of Baron funds. Mansueto took time at the conference to explain that artificial intelligence (AI) will provide growth opportunities that his company plans to seize.

With Mansueto at the helm, Morningstar grew from a startup into a global financial services firm that has operations in 30 countries. Morningstar’s mission is to empower investors to achieve their individual financial goals.

Chart courtesy of www.stockcharts.com

Six Stocks Gain Strong Support from Baron Capital: Shopify

Shopify (NASDAQ: SHOP) was represented by its president Harley Finkelstein, who spoke of becoming an entrepreneur to help support his mother and sisters after the death of his father. He spun challenges as opportunities during his remarks.

The company is positioned to participate in growing due to AI rather than losing ground from it, Finkelstein said. The perspective he offered was one of determination and innovation to lead Shopify forward into the future.

The company’s growth so far shows the strategy, and positivity he brings has been a winning formula. Baron Capital leaders invited him to share his vision.

Chart courtesy of www.stockcharts.com

Six Stocks Gain Strong Support from Baron Capital: On Holding AG

Martin Hoffmann, chief executive officer at On Holding AG (NYSE: ONON), described how his company has broken the mold for producing athletic shoes. It produces shoes in just three minutes by spaying on a proprietary substance.

A former intern came up with the idea, Hoffman said. The time savings and efficiency creating that technique have been nothing short of industry changing, said David Baron, co-president of Baron Capital, during his interview of Hoffman.

On Holding also is gaining endorsements from top athletes such as Roger Federer, who also works at the company. The leaders of On Holding are fitness focused and sometimes run in the same road races, Hoffman said.

The Switzerland-based company is seeking to gain further market share in athletic shoes, apparel and related sports products, Hoffman added.

Chart courtesy of www.stockcharts.com

Six Stocks Gain Strong Support from Baron Capital: Gartner, Inc.

Gartner, Inc. (NYSE: IT) Chief Executive Officer Eugene Hall spoke of arriving at the helm and discovered sales staffers were discounting products rather than emphasizing revenue growth. His solution was to change that mindset and return to prioritizing sales growth.

The strategy worked when clients were reassured they each were receiving the same price. The company’s financial results improved, and so have the prospects of the business, he added.

AI also will be part of its growth, Hall said. The company has further plans for expansion, he added.

Chart courtesy of www.stockcharts.com

Geopolitical Risk

Ukraine remains a war zone due to the non-stop aggression of Russia’s President Vladimir Putin and his empire-building. The nearly four-year-old war in Ukraine is threating to worsen further if Putin and his comrades in the country’s leadership continue to keep ignoring damage to their nation’s economy and force its citizens to fight and die in a war that has produced little but misery for all sides.

Russia’s miliary strikes keep killing children, women and elderly civilians in Ukraine with little apparent regard for human life. The tactic of charging forward to gain portions of Ukraine’s territory after Russia’s initial invasion nearly four years ago has been criticized by military strategists around the world. However, calls for a ceasefire, especially from U.S. President Donald Trump, so far have not persuaded Russia’s leaders to stop the war and instead bring it prosperity with new trade agreements.

Paul Dykewicz, www.pauldykewicz.com, is an accomplished, award-winning journalist who has written for Dow Jones, the Wall Street Journal, Investor’s Business Daily, USA Today, the Journal of Commerce, Seeking Alpha, GuruFocus and other publications and websites. Paul is the editor of StockInvestor.com and DividendInvestor.com, a writer for both websites and a columnist. He further is the editorial director of Eagle Financial Publications in Washington, D.C., where he edits monthly investment newsletters, time-sensitive trading alerts, free e-letters and other investment reports. Paul previously served as business editor of Baltimore’s Daily Record newspaper. Paul also is the author of an inspirational book, “Holy Smokes! Golden Guidance from Notre Dame’s Championship Chaplain,” with a foreword by former national championship-winning football coach Lou Holtz. Follow Paul on Twitter @PaulDykewicz.