5 Best Tech Stocks to Buy According to Anand Parekh’s Alyeska Investment

4. Alphabet Inc. (NASDAQ:GOOG)

Alyeska Investment’s Stake Value: $129 million

Percentage of Alyeska Investment’s 13F Portfolio: 1.48%

Number of Hedge Fund Holders: 153

Alphabet Inc. (NASDAQ:GOOG) is one of the largest technology firms in the world that is primarily known for its search engine Google. The company also has a host of other technologies and products in its portfolio, such as autonomous driving, cloud computing, and productivity applications.

Alphabet Inc. (NASDAQ:GOOG) announced earlier this month that it had decided to wind down its Stadia gaming service – a decision that left developers surprised as they complained that the company had not provided them with a warning. In a nice pivot to environmentally friendly technologies, the firm announced in September 2022 that it is introducing a new platform that will allow its users to search for environmentally friendly hotels and airplane tickets for their vacations.

Mr. Parekh’s investment firm owned 59,573 Alphabet Inc. (NASDAQ:GOOG) shares as part of its second quarter of 2022 investment portfolio which let it own a $129 million stake in the company. For the same time period, 153 out of the 895 hedge funds polled by Insider Monkey had also invested in the company.

Alphabet Inc. (NASDAQ:GOOG)’s largest investor in our database is Chris Hohn’s TCI Fund Management which owns 2.4 million shares that are worth $5.4 billion.

“The largest adds were Alphabet, the parent of Google, and Meta, formerly called Facebook. Alphabet came into the portfolio at the last rebalance after Q1 2022, but was increased again as valuation improved with a decline in enterprise value despite rising free cash flow estimates. Figure 13 plots the indexed change in Alphabet’s enterprise value and free cash flow estimates since the start of the year and the overall result looks very similar to the lines for Apple on the previous page. In conjunction with the stability in cash flows highlighted earlier, this makes Alphabet look very appealing. In contrast to Alphabet, Figure 14 shows the same indexed enterprise value and rolling next-twelve-month consensus estimate for free cash flow for Amazon, and highlights how Amazon’s performance has largely followed downward revisions in its estimated profitability.”