Tom Lee highlights the top picks in his market-beating portfolio

Published Wed, May 24 20232:25 PM EDTUpdated Wed, May 24 20232:39 PM EDT

Fundstrat Global Advisors founder Tom Lee highlighted five must-own stocks from his Granny Shots portfolio, which has beaten the market for roughly five years running. The Granny Shots portfolio is a distillation of more than 30 of Fundstrat's best stock ideas. Since its inception in 2019, the portfolio has outpaced the S & P 500, gaining 133%, while the broader index climbed 58%, according to the website. This year, Granny Shots is 8.3% higher, better than the S & P 500's 7.4% gain. The portfolio is named after a simple underhanded method of shooting in basketball that's considered to have high reward with low risk. On Tuesday, however, Lee introduced Super Grannies for investors who are wondering which stocks to buy first in his Granny Shots portfolio. These are the five stocks he ranks as the best of the best. Here are the picks. Fortinet was named a Super Granny. Fundstrat's Mark Newton said the cybersecurity stock could climb to new heights, even after rallying 39% already this year, though he expects some challenges ahead. "At present, it looks likely that FTNT might show some slowdown or stall briefly in June if/when this reached former peaks," Newton wrote. "However, barring any material evidence of technical weakness, it's difficult to not buy dips on any forthcoming consolidation. Overall, it's expected that a rally back to new all-time highs in the 2H of this year can occur." Monster Beverage was also highlighted from the list, with Newton saying the stock remains "one of the best technical names" within consumer staples after rising 14% this year. "Overall, MNST's relative outperformance vs many other Granny Shot names makes this intermediate-term attractive, and one to consider buying dips on weakness, when this occurs," he wrote. "Any return to the low-to-mid $50's would make MNST more appealing from a technical perspective." Elsewhere, On Semiconductor "continues to show excellent technical structure" out of all the semiconductor names, according to Newton. "Until/unless ON starts to show evidence of intermediate-term trend deterioration, this is thought to be the best candidate within the Semiconductor space and appears like a better technical risk/reward at this time than NVDA," he wrote. Other names are Fiserv and Intuitive Surgical .