5 High Free Cash Flow Stocks to Buy in 2022

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 259

Free Cash Flow TTM: $65 Billion 

Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology firm. The company has stepped up the pursuit of Amazon in the cloud sector by asking prominent tech giants in the sector, like Google and Oracle, for help to speak to the US government in this regard. Amazon controls nearly 33% of the high-growth cloud infrastructure space in the US. The company has also reached out to firms like VMware, Dell Technologies, IBM, and Hewlett Packard Enterprise with a set of talking points for the meeting. 

On July 27, Wedbush analyst Daniel Ives maintained an Outperform rating on Microsoft Corporation (NASDAQ:MSFT) stock and lowered the price target to $320 from $340, noting that the underlying metrics around cloud and commercial bookings were strong for the firm. 

Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in Microsoft Corporation (NASDAQ:MSFT), with 27.8 million shares worth more than $8.5 billion.

In its Q1 2022 investor letter, Carillon Tower Advisers, an investment management firm, highlighted a few stocks and Microsoft Corporation (NASDAQ:MSFT) was one of them. Here is what the fund said:

“Stock selection contributed the most while sector allocation was also positive. An underweight to communication services and an overweight to energy helped performance, while an underweight to consumer staples and an overweight to materials detracted. Stock selection was strong within healthcare and materials but was weak within information technology and industrials. Microsoft Corporation (NASDAQ:MSFT) reported positive results driven by personal computing strength, but analysts were especially positive on its growth outlook for its Azure cloud-computing services.”