10 Best Tech Stocks To Buy Now According To Billionaire Laffont

Published March 24, 2021 at 12:45 pm EDT Updated August 19, 2026 at 4:49 am EDT

In this article, we discussed the 10 best tech stocks to buy now according to billionaire Laffont.

While Phillipe Laffont’s Coatue Management posted a 65% return on his flagship fund last year amid bets on tech stocks, Julian Robertson’s tiger cub saw pressure on most of his holdings during the first quarter of 2021. Tech stocks have lost their attractiveness over the last two months as 2020 bull-run have pushed their valuations to record levels. Meanwhile, economic reopening and wider availability of coronavirus vaccines have shifted investors’ focus towards value stocks that are likely to benefit from economic recovery. The US Federal Reserve expects gross domestic product growth in the range of 6.5% this year compared to the previous forecast for 4.2% GDP growth.

Dow Jones Industrial index jumped more than 2500 points year to date and the broader market S&P 500 index recently hit a new all-time high. However, the tech-heavy Nasdaq index has been struggling since it breached a record 14000 level early in February. Investors profit-taking strategy along with rising Treasury yields have strongly hit last year’s high flyers like Tesla (NASDAQ: TSLA), Amazon (NASDAQ: AMZN), Apple (NASDAQ: AAPL), Facebook (NASDAQ: FB), and many others. The market observers believe that growth stocks are likely to bounce back strongly after a short correction. Wedbush analyst Dan Ives said:

“The momentum names in tech are down anywhere from 15% to 25%+ and in our opinion, this sell-off is way overdone given the $2 trillion of digital transformation spending on the horizon coupled by a massive M&A spree set for the next few years in the tech space,”

Billionaire Laffont is also bullish over the future fundamentals of tech stocks. Information technology stocks represent a 31% weighting in the tiger cub’s portfolio while growth stocks from consumer discretionary and communication sectors weighted around 28% and 26%, respectively.

Moreover, the tiger cub has raised his stake in companies that are likely to benefit from economic reopening. For instance, he raised his position in Walt Disney (NYSE: DIS) by 17% in the fourth quarter, making it the largest stock holding of Coatue Management 13F position. Walt Disney weighted around 7.50% of the overall portfolio at the end of Q4.

At the end of the fourth quarter of 2020, Coatue Management held a position in 76 stocks, and its 13F portfolio market value stood around $26.73 billion. The firm initiated brand new positions in 17 stocks and added to its 26 existing positions. On the other hand, Coatue Management sold out 14 stocks and reduced positions in 20 stocks.

Phillipe Laffont was born in Belgium and grew up in France. He came to the US with the intent of working in asset management. Laffont worked as an analyst for Julian Robertson’s Tiger Management. He left Julian Robertson in 1999 and founded Coatue Management with $45 million in initial capital. Phillipe Laffont’s Coatue Management uses a fundamental approach with both long/ short strategies.

Philippe Laffont of Coatue Management

While Phillipe Laffont’s reputation remains intact, the same can’t be said of the hedge fund industry as a whole, as its reputation has been tarnished in the last decade, during which its hedged returns couldn’t keep up with the unhedged returns of the market indices. On the other hand, Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 124 percentage points since March 2017. Between March 2017 and February 26th 2021 our monthly newsletter’s stock picks returned 197.2%, vs. 72.4% for the SPY. Our stock picks outperformed the market by more than 124 percentage points (see the details here). We were also able to identify in advance a select group of hedge fund holdings that significantly underperformed the market. We have been tracking and sharing the list of these stocks since February 2017 and they lost 13% through November 16th. That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.

Let’s now begin our countdown of the 10 best tech stocks to buy now according to billionaire Laffont:

10. Amazon.com, Inc. (NASDAQ: AMZN)

The world’s largest e-commerce giant Amazon.com generated robust returns for investors during the pandemic year on the back of a strong revenue growth trend. Its December quarter revenue hit the $125 billion mark for the first time in history, thanks to pandemic-driven demand. However, investors’ profit-taking and a wider tech market correction have shed 5.5% of Amazon’s stock value this year. Amazon could be an attractive pick for new investors as the company anticipates extending the double-digit revenue growth momentum into 2021.

Mairs & Power, an investment management firm, stated in a fourth-quarter investor letter that Amazon’s rising margins and advertising business are among the biggest catalysts for 2021. Here is what Mairs & Power stated:

“We did acquire AMZN in the fourth quarter. But not owning it till then cost the Fund in performance relative to the S&P 500 TR Index. We had held off taking a position in Amazon largely due to concerns about the company’s slim margins. But in 2020, we saw its core margins nearly double as more consumers shopped online, which in turn led to greater utilization and route density within Amazon’s delivery network. In addition, Amazon’s advertising business, which represents a small portion of its overall sales, has been growing quickly. Advertising could become a third leg of growth for the company along with e-commerce and Amazon Web Services. In short, Amazon checks all of our boxes — it has a strong management team, great growth prospects, and a strong competitive advantage. And last year, we initiated our position at an intriguing valuation.”

9. Global Payments Inc. (NYSE: GPN)

Shares of payment technology provider Global Payments Inc. (NYSE: GPN) are in the red so far this year after a rally of more than 70% in the pandemic year. It is ranked ninth in the list of 10 best tech stocks to buy now according to billionaire Laffont. Coatue Management first initiated a position in GPN during the second quarter of 2019 and it is currently representing 2.75% of the 13F portfolio.

GPN shareholders have witnessed a decrease in hedge fund interest recently. It was in 55 hedge funds’ portfolios at the end of the fourth quarter of 2020 compared to the all-time high for this statistic of 68.

8. Peloton Interactive, Inc. (NASDAQ: PTON)

The online interactive fitness products provider Peloton Interactive, Inc. (NASDAQ: PTON) is offering a good buying opportunity for investors after a 28% stock price selloff in 2021. Shares of Peloton soared close to 400% in 2020 due to users move to online platforms amid social distancing policies. It is among the 10 best tech stocks to buy now according to billionaire Laffont. Coatue Management first bought Peloton shares in Q4 of 2019.

Artisan Partners Limited Partnership, a high value-added investment management firm, stated in the fourth quarter investor letter that post-pandemic dynamics could reduce demand for Peloton. Here is what Artisan Partners Limited Partnership said,

“Among our top individual contributors in Q4 was Peloton Interactive. Peloton Interactive’s growth has accelerated during the pandemic as consumers replace in-person gym workouts with the company’s connected bikes and online classes. This has increased the Peloton’s brand awareness, decreased its need for advertising spend and quickly proved out its high-margin, recurring revenue business model. While some of this demand may soften as consumers face more workout options post-pandemic, we believe Peloton is very early in its profit cycle. The pandemic has introduced more people to the convenience of at-home connected fitness, Peloton’s scale and network advantages have been strengthened, and, with the launch of a new lower-priced treadmill in 2021, the company will be poised to address a much larger category than stationary bikes.”

7. Netflix Inc (NASDAQ: NFLX)

Shares of Netflix (NASDAQ: NFLX) are in the red so far this year. Investors’ concerns over post-pandemic user growth negatively impacted NFLX’s share price this year. The company posted massive user and revenue growth last year due to lockdowns and staying-at-home policies. It is ranked seventh in the list of 10 best tech stocks to buy now according to billionaire Laffont.

Miller Value Partners, which returned 35.4% for the fourth quarter, highlighted a few stocks including Netflix in the Q4 investor letter. Here is what Miller Value Partners stated:

“Lastly, we added a small position to Netflix after the disappointment following 3Q results. Overall, it’s getting more difficult to find investment opportunities in the very high growth areas that meet our standards for attractive value. On the other hand, we continue to find opportunities in more value-oriented areas of the market. We would expect the portfolio to migrate in this direction.”

6. CrowdStrike Holdings, Inc. (NASDAQ: CRWD)

Tiger cub Laffont’s strategy of buying CrowdStrike Holdings, Inc. (NASDAQ: CRWD) at the beginning of 2020 helped in generating big gains. It is currently representing 3.14% of Phillipe Laffont’s portfolio and ranked sixth in the list of 10 best tech stocks to buy now according to billionaire Laffont.

Other hedge funds are also bullish over the future fundamentals of CrowdStrike. The number of long hedge fund bets went up by 21 lately. CrowdStrike was in 92 hedge funds’ portfolios at the end of December compared to the all-time high for this statistic of 78. This means the bullish number of hedge fund positions in this stock currently sits at its all-time high.

5. Zoom Video Communications, Inc. (NASDAQ: ZM)

The pandemic darling Zoom Video Communications, Inc. (NASDAQ: ZM) has been a member of Phillipe Laffont’s portfolio since the second quarter of 2019. Shares of Zoom Video grew 112% in the last twelve months. Coatue Management held 2.5 million shares of the video calling company at the end of the fourth quarter.

Baron Opportunity Fund, which returned 23.02% (institutional shares) in Q4, highlighted a few stocks including Zoom Video in the fourth quarter investor letter. Here’s what Baron Opportunity Fund stated:

“Zoom Video Communications, Inc. is a cloud-based software company providing a video-first platform for communication. Shares of Zoom declined during the fourth quarter on profit taking following the strong run in the stock because of accelerated pandemic-driven Zoom adoption, revenue growth, and free cash flow generation. We retain conviction as Zoom remains a leading player in disrupting the $100 billion unified communications market with its scalable, globally distributed, cloud-based, video-first offering, while its well-known brand (Zoom is now a verb!) should enable it to grow profitably as it takes market share.”

4. Uber Technologies, Inc. (NYSE: UBER)

Billionaire Phillipe Laffont’s strategy of adding to his existing Uber Technologies position appears to be working. This is because shares of the ride-sharing company rose almost 5% in 2021, extending the six months gains to 60%. Uber was representing 4.04% of Coatue Management’s 13F portfolio at the end of the fourth quarter, up 78% from the previous quarter.

RiverPark Advisors stated in the fourth quarter investor letter that Uber’s businesses will grow in the years ahead. Here is what RiverPark Advisors said:

“UBER was also a strong contributor, as shares rallied following the approval of California’s Proposition 22 by voters, allowing the company’s California-based drivers to remain independent contractors (rather than become more expensive employees). We believe this news is not just about the 10%-15% of Uber’s revenue tied to California, but the influence this will have on other states reassessing driver pay. UBER also reported strong third quarter results with Delivery Gross Bookings growing 135% year-over-year which nearly fully offset a reduction in Mobility Gross Bookings, which were down 50% year over year. Total Gross Bookings for the quarter were down only 10% year over year as compared with down 35% last quarter.

Despite the COVID disruption, UBER remains the undisputed global leader in ride sharing (44% of the Company’s third quarter revenue), with greater than 50% share in every major region in which it operates. The company is also a leader in food delivery (46% of revenue), where it is number one or two in the more than 25 countries in which it operates. We view UBER as more than just ride sharing and food delivery, but also as a global mobility platform with the ability to sell to its more than 100 million users (by comparison, Amazon Prime has 130+ million members) and penetrate new markets of on-demand services, such as grocery delivery, truck brokerage and worker staffing for shift work. At its current $96 billion market capitalization, UBER trades at only 6x next year’s revenue from its two core businesses. Additionally, the company has substantial, seemingly unrecognized, value in its several nascent development businesses and another $12 billion in equity stakes in synergistic businesses around the world.”

3. Tesla, Inc. (NASDAQ: TSLA)

The world’s largest electric vehicle manufacturer Tesla Motors Inc is the third biggest stock holding of Coatue Management. Despite a 30% stake sale in the fourth quarter, tiger cub’s hedge fund held 2.1 million shares of Tesla at the end of the fourth quarter. Shares of Tesla are struggling in 2021 following a massive growth in 2020.

In the fourth quarter investor letter, Baron Opportunity Fund presented a bullish outlook for Tesla. Here’s what Baron Opportunity Fund stated:

“Tesla, Inc. designs, manufactures and sells fully electric vehicles, solar products, and energy storage solutions. The stock increased on strong financial results, including profitability that exceeded market forecasts and strong growth across different geographies and vehicle programs. Indeed, in the third quarter, Tesla delivered almost 140,000 total vehicles – with strong unit level economics of 27.7% GAAP automotive gross profit margins – and another quarter of GAAP profitability and strong free cash flow (almost $1.4 billion). Recently, Tesla announced a record of over 180,000 total vehicle deliveries for the fourth quarter, effectively hitting its goal of 500,000 deliveries for the calendar year, a projection given before the COVID pandemic. In addition, we believe newly released full selfdriving functionality should yield further improvements in unit economics and open exciting new growth opportunities. Lastly, Tesla joined the S&P 500 Index, a meaningful milestone that significantly expands the potential shareholder base.”

2. PayPal Holdings, Inc. (NYSE: PYPL)

The payment technology giant Paypal Holdings Inc. (NYSE: PYPL) extended the bull-run into 2021 on the back of user and revenue growth. The company’s strategy of introducing crypto services added to its fundamentals and financial forecast. It is ranked second in the list of 10 best tech stocks to buy now according to billionaire Laffont.

In the Q4 investor letter, Polen Capital Management forecasted double-digit growth for PayPal in the years ahead. Here is what Polen Capital Management stated:

“For the full year 2020, one of the top performers was PayPal, which we purchased in 2019, the company continues to take market share in digital payments and has seen an acceleration in user adoption and engagement, especially within their “silver tech” or older user demographic. We expect many more years of ongoing double-digit growth from their various business segments and new initiatives.”

1. The Walt Disney Company (NYSE: DIS)

Shares of Walt Disney grew close to 4.5% this year, extending the six months gains to 53%. Coatue Management increased its stake in the world’s largest entertainment giant by 17% to 7.49% of the overall portfolio. Economic reopening and easing social distancing policies is the catalyst for Walt Disney’s share price.

Semper Augustus Investments Group, an investment management firm, highlighted a few stocks including Disney in the fourth-quarter investor letter. Here is what Semper Augustus said:

“With few exceptions, portfolio activity added tremendous earning power. Sales were generally undertaken at high prices where price gains had outstripped fundamentals and thus as earnings yields diminished. Buys added wholesale earnings power. When numerous holdings plunged in price in March and later, we both added to and initiated positions at high single-digit expected earnings yields.

Portfolio activity in Disney provides an example of the opportunity the year brought. Disney was originally purchased in 2018 prior to the closing of their merger with Twenty-First Century Fox (21st Century Fox). Disney’s shares were weak during the prior four years, largely due to the well-known fact that cord cutting was harming Disney’s valuable ESPN franchise. Hard to believe in my household but some people evidently don’t enjoy watching televised sports, and as the highest priced platform in the traditional cable or satellite bundle, a loss of subscribers comes with a loss of revenue. Further, the merger-arbitrage community had bid up the price of Fox and down the price of Disney shares. At $100 per share, Disney traded for roughly 15 times then its earning power.”

You can also take a peek at Billionaire Ken Griffin’s Top 10 Stock Picks and Billionaire Nicholas Pritzker’s Tao Capital’s Best Stock Ideas.

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