Al Gore’s Generation Investment Portfolio: Top 5 Stock Picks

In this article, we discuss the 5 best stocks according to Al Gore’s Generation Investment Management. If you want to read our detailed analysis of Gore’s hedge fund and latest developments, go directly to read Al Gore’s Generation Investment Portfolio: Top 10 Stock Picks. 

5. Cisco Systems, Inc. (NASDAQ:CSCO)

Number of Hedge Fund Holders: 63

Cisco Systems, Inc. (NASDAQ:CSCO) is an American technology company that mainly specializes in hardware, software, and telecommunication equipment. Generation Investment Management started building its position in the company during the third quarter of 2020, with a stake worth $726.1 million. In Q3 2021, the hedge fund holds shares worth $1.04 billion in Cisco Systems, Inc. (NASDAQ:CSCO), which represented 4.31% of Al Gore’s portfolio.

In Q3 2021, Cisco Systems, Inc. (NASDAQ:CSCO) reported revenue of $12.9 billion, up 8% from the prior-year quarter. Moreover, the company also reported a 33% year-over-year growth in its total product order. Acknowledging the company’s product portfolio and growth in nearly all segments, recently, Erste Group upgraded Cisco Systems, Inc. (NASDAQ:CSCO) to Buy from Hold.

As of Q3 2021, 63 hedge funds tracked by Insider Monkey reported owning stakes in Cisco Systems, Inc. (NASDAQ:CSCO), up from 60 in the previous quarter. These stakes are valued at roughly $4 billion. Ken Fisher’s Fisher Asset Management was the company’s largest shareholder in Q3, owning a stake worth $1.24 billion.

ClearBridge Investments mentioned Cisco Systems, Inc. (NASDAQ:CSCO) in its Q1 2021 investor letter. Here is what the firm has to say:

“Also in IT, we added Cisco Systems, which provides IT and networking services in the form of network security, software development and cloud computing. Cisco continues to derive over 50% of its sales from on-premise deployments of its products of enterprise and small and midsize customers, while recurring revenues from software are becoming a larger part of the mix. Return-to-office enterprise spending should offer upside to its core campus business. Cisco was an early technology leader in sustainability over two decades ago, through its Internet-connecting capabilities which supported live concerts in partnership with the United Nations Development Program to raise awareness and funds to fight poverty. Cisco has very strong environmental standards (including driving lower energy consumption in IT departments through new product innovations and a longstanding goal to reduce emissions and reliance on non-renewable energy sources). Its data privacy and supply chain management policies are best in class.”