In this article, we discuss the 5 stocks to buy according to Anand Desai’s Darsana Capital. If you want to read our detailed analysis of Desai’s history, investment philosophy, and hedge fund performance, go directly to the 10 stocks to buy according to Anand Desai’s Darsana Capital.
5. Meta Platforms, Inc. (NASDAQ:FB)
Darsana Capital Stake Value: $271,512,000
Percentage of Darsana Capital’s 13F Portfolio: 8.94%
Number of Hedge Fund Holders: 248
Meta Platforms, Inc. (NASDAQ:FB), formerly known as Facebook, Inc., is a worldwide technological corporation based in the United States. As Morgan Stanley analyst Brian Nowak revised his forecasts and carried forward prices throughout his Internet sector coverage, he raised his price objective on Meta Platforms, Inc. (NASDAQ:FB) to $395 from $365 in January 2022, retaining an “Overweight” rating on the company.
Meta Platforms, Inc. (NASDAQ:FB) recently saw a decrease in hedge fund sentiment. The number of long hedge fund positions declined to 248 at the end of the third quarter compared to 266 positions in the previous quarter. Intermede Investment Partners, with approximately 469,111 shares worth $157.79 million, is the largest shareholder in Meta Platforms, Inc. (NASDAQ:FB) as of Q4.
In its fourth-quarter 2021 investor letter, Wedgewood Partners mentioned Meta Platforms, Inc. (NASDAQ:FB). Here is what the fund said:
“Meta Platforms, formerly known as Facebook, detracted from performance. Meta’s core Facebook properties reported an impressive +35% revenue growth, an acceleration over last year’s +22% revenue growth, as small businesses continued to flock to the Company’s advertising platform. However, the Company’s forward-looking guidance came in below what many investors were expecting because changes to Apple’s mobile operating system (iOS) privacy policies made it more difficult for advertisers and Facebook to track the performance of ad spend. Facebook has anticipated Apple’s changes for some time; however the rollout of alternative performance tracking will take time for advertisers to implement. Longer-term, we think Facebook’s core properties represent a compelling value proposition for most small advertisers because the Company has billions of daily users that flock to it. Although Meta’s spending on noncore projects related to what it defines as the “metaverse” has driven expense growth higher, we consider it not too out of line compared to the spending of most large technology companies that often just refer to it as “research and development.” Meta trades at an attractive multiple and with an unmatched competitive positioning in social media advertising, so we added to our position during the quarter.”
