Argosy Investors, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. The fund’s 2022 first-quarter performance was -15.1% in select accounts. The S&P 500 by comparison returned -4.4%. Argosy ended the quarter with 43% of the portfolio in cash and equivalents, which means that these results would have been worse without the allocation to cash. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.
In its Q1 2022 investor letter, Argosy Investors mentioned Meta Platforms, Inc. (NASDAQ:FB) and explained its insights for the company. Founded in 2004, Meta Platforms, Inc. (NASDAQ:FB) is a Menlo Park, California-based multinational technology conglomerate with a $443.1 billion market capitalization. Meta Platforms, Inc. (NASDAQ:FB) delivered a -51.32% return since the beginning of the year, while its 12-month returns are down by -50.33%. The stock closed at $163.74 per share on June 17, 2022.
Here is what Argosy Investors has to say about Meta Platforms, Inc. (NASDAQ:FB) in its Q1 2022 investor letter:
“Meta Platforms (NASDAQ:FB), formerly known as Facebook, declined significantly after announcing their 4Q 2021 results and sharing that changes Apple had made to their privacy controls will negatively impact them going forward. At the same time, they announced they were making significant investments in the metaverse, a somewhat ambiguous effort to develop a new way that people will interact with each other through technology. I can’t pretend to know everything about the metaverse and the potential it holds, but ultimately the investment in the metaverse, if unsuccessful, can be stopped and will still allow FB to generate significant free cash flow. FB currently trades for a mid-teens multiple of free cash flow, so absent a complete deterioration in the business, I would expect attractive returns from FB here.”
Our calculations show that Meta Platforms, Inc. (NASDAQ:FB) ranks 4th on our list of the 30 Most Popular Stocks Among Hedge Funds. Meta Platforms, Inc. (NASDAQ:FB) was in 200 hedge fund portfolios at the end of the first quarter of 2022, compared to 224 funds in the previous quarter. Meta Platforms, Inc. (NASDAQ:FB) delivered a -24.37% return in the past 3 months.
In February 2021, we published an article that includes Meta Platforms, Inc. (NASDAQ:FB) in 5 Best Metaverse ETFs To Buy. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.
Disclosure: None. This article is originally published at Insider Monkey.