On October 25, investment advisory Monness Crespi downgraded Alphabet Inc. (NASDAQ:GOOG) stock to Neutral from Buy with no price target, citing disappointing third quarter earnings as the primary reason behind the downgrade.
Among the hedge funds being tracked by Insider Monkey, Texas-based investment firm Fisher Asset Management is a leading shareholder in Alphabet Inc. (NASDAQ:GOOG) with 43 million shares worth more than $5.7 billion.
Just like NVIDIA Corporation (NASDAQ:NVDA), Meta Platforms, Inc. (NASDAQ:META), and Amazon.com, Inc. (NASDAQ:AMZN), Alphabet Inc. (NASDAQ:GOOG) is one of the top stocks in the portfolio of Philippe Laffont.
In its Q3 2023 investor letter, Weitz Investment Management, an asset management firm, highlighted a few stocks and Alphabet Inc. (NASDAQ:GOOG) was one of them. Here is what the fund said:
“As for other quarterly contributors, Alphabet Inc. (NASDAQ:GOOG) and Meta Platforms, Inc., (META) added to their exceptional year-to-date returns. Meta Platforms and Alphabet were the true year-to-date standouts. After steep declines in 2022, both stocks rebounded sharply due to a combination of solid fundamentals, disciplined operational execution, and improved sentiment. Despite outsized gains and attention, we think both Alphabet and Meta remain undervalued.”
Number of Hedge Fund Holders: 114
Netflix, Inc. (NASDAQ:NFLX) provides entertainment services and is headquartered in California. Regulatory filings show that Coatue Management owned 1.9 million shares in Netflix, Inc. (NASDAQ:NFLX) at the end of September 2023 worth $754 million, representing 3.82% of the portfolio.
On October 19, investment advisory Morgan Stanley upgraded Netflix, Inc. (NASDAQ:NFLX) stock to Overweight from Equal Weight and raised the price target to $475 from $430, noting that password crackdowns by the firm were working and business accelerating.
Among the hedge funds being tracked by Insider Monkey, Chicago-based firm Citadel Investment Group is a leading shareholder in Netflix, Inc. (NASDAQ:NFLX) with 4.6 million shares worth more than $1.7 billion.
In its Q3 2023 investor letter, RiverPark Advisors, an asset management firm, highlighted a few stocks and Netflix, Inc. (NASDAQ:NFLX) was one of them. Here is what the fund said:
“Netflix, Inc. (NASDAQ:NFLX): NFLX was a top detractor in the quarter on weaker than expected reported and guided revenue, despite 2Q subscriber growth that was well above expectations (+5.9 million versus estimates of +2.1 million). The company’s subscriber growth re-accelerated following the company’s crack down on password sharing, and the rollout of the advertising supported subscriber offering known as the Ad Tier, but the average revenue per user came in below expectations and is expected to remain muted in the near term. NFLX reiterated expectations for full year 2023 operating margins of 18-20%, and guided free cash flow to at least $5 billion, up from prior guidance of $3.5 billion. Despite the positive momentum in the company’s business, market participants took comments from management at a recent conference to mean revenue growth may be slower in the coming years than expected. This was not our interpretation of these comments.
Number of Hedge Fund Holders: 86
Intuit Inc. (NASDAQ:INTU) provides financial management and compliance products. The hedge fund of billionaire Philippe Laffont owned over 1.5 million shares of Intuit Inc. (NASDAQ:INTU) at the end of the third quarter of 2023 worth more than $767 million, representing 3.89% of the portfolio.
On November 14, Evercore ISI analyst Kirk Materne maintained an Outperform rating on Intuit Inc. (NASDAQ:INTU) stock and raised the price target to $600 from $530, noting that IT budgets were set to move higher in the coming months.
Among the hedge funds being tracked by Insider Monkey, Texas-based investment firm Fisher Asset Management is a leading shareholder in Intuit Inc. (NASDAQ:INTU) with 2.8 million shares worth more than $1.4 billion.
In its Q3 2023 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and Intuit Inc. (NASDAQ:INTU) was one of them. Here is what the fund said:
“Intuit Inc. is the leading provider of accounting software for small businesses and tax preparation software for individuals and tax professionals. Shares increased after the company reported financial results that exceeded Street expectations, with 13% revenue growth and 22% EPS growth in the recently completed fiscal year. Management provided favorable guidance for the next fiscal year that demonstrated confidence in the business momentum despite macroeconomic uncertainty. Intuit is benefiting from the sale of higher-value services and is well positioned to capitalize on increasing adoption of artificial intelligence given the company’s vast datasets. We continue to own the stock due to Intuit’s strong competitive position and numerous growth opportunities.”
Number of Hedge Fund Holders: 51
Eaton Corporation plc (NYSE:ETN) operates as a power management company worldwide. The hedge fund of billionaire Philippe Laffont owned over 3.7 million shares of Eaton Corporation plc (NYSE:ETN) at the end of the third quarter of 2023 worth more than $808 million, representing 4.10% of the portfolio.
On November 1, Wells Fargo analyst Joseph O'Dea maintained an Equal Weight rating on Eaton Corporation plc (NYSE:ETN) stock and raised the price target to $220 from $210, noting the firm had delivered another impressive quarter.
Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Eaton Corporation plc (NYSE:ETN) with 738,428 shares worth more than $157 million.
In its Q2 2023 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Eaton Corporation plc (NYSE:ETN) was one of them. Here is what the fund said:
“Meanwhile, our cyclical industrials and materials holdings were standouts from a relative perspective. Industrials holdings continued to outperform, with Eaton Corporation plc (NYSE:ETN) advancing amid enthusiasm for the company’s electrical product lineup, which is critical to both energy saving and long-term electrification of the global economy. Solid execution is also helping the stock perform strongly.”
Number of Hedge Fund Holders: 79
Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company. Latest filings show that the hedge fund overseen by Laffont owned 4 million shares of Tesla, Inc. (NASDAQ:TSLA) at the end of the third quarter of 2023 worth $1 billion, representing 5.11% of the portfolio.
On November 20, investment advisory Jefferies maintained a Hold rating on Tesla, Inc. (NASDAQ:TSLA) stock and lowered the price target to $210 from $250, noting the firm had value in the future with full self-driving features.
At the end of the second quarter of 2023, 79 hedge funds in the database of Insider Monkey held stakes worth $6.5 billion in Tesla, Inc. (NASDAQ:TSLA), compared to 82 in the previous quarter worth $6.4 billion.
Just like NVIDIA Corporation (NASDAQ:NVDA), Meta Platforms, Inc. (NASDAQ:META), and Amazon.com, Inc. (NASDAQ:AMZN), Tesla, Inc. (NASDAQ:TSLA) is one of the top stocks in the portfolio of Philippe Laffont.
Here is what Baron Fund has to say about Tesla, Inc. (NASDAQ:TSLA) in its Q2 2023 investor letter:
"Many factors contributed to the strong performance of our largest Disruptive Growth position, Tesla, Inc. (NASDAQ:TSLA), in the period. Investors’ concerns regarding Tesla in 2022 continue to dissipate, and the company’s business has continued to grow materially, although at below peak margins. Tesla’s deliveries in China are recovering. The company’s newest factory in Texas has ramped production and should contribute to improved domestic sales and margins. U.S. government policies have lowered the cost to own Tesla vehicles, while also reducing the company’s battery production expenses.
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Disclosure. None. Philippe Laffont Stock Portfolio: 10 Top Stock Picks is originally published on Insider Monkey.
