Billionaire Stephen Mandel’s 5 Must-Buy Tech Stocks

Below we’ll sift through the list of Billionaire Stephen Mandel’s 5 Must-Buy Tech Stocks. For our methodology and a more comprehensive list of his highest conviction tech stock picks, please see Billionaire Stephen Mandel’s 10 Must-Buy Tech Stocks.

5. Meta Platforms, Inc. (NASDAQ:META)

Value of Lone Pine Capital‘s 13F Position: $814 million

Number of Hedge Fund Shareholders: 204

Stephen Mandel’s Lone Pine Capital took advantage of the extreme Q1 weakness in Meta Platforms, Inc. (NASDAQ:META)‘s shares to buy 3.66 million of them. Iconic investor Michael Burry of The Big Short fame was also buying META shares in Q1 as recession fears mount. Meta Platforms remains one of the undisputed most popular stocks among hedge funds, but there has been a 26% drop in hedge fund ownership of the company over the past year.

Meta Platforms, Inc. (NASDAQ:META)’s shares have been crushed this year partly due to the social media’s giant disastrous metaverse initiatives, which lost billions of dollars in Q1. Ultimately, it may all be for nothing, as a recent report from research firm IDC says the company’s strategy of selling its Oculus VR headsets at a loss is unsustainable in the long run and will force the company to eventually scale back its investments in mixed-reality, which will open the door for competitors like Apple Inc. (NASDAQ:AAPL) to swoop in and take over the market.

In its Q4 2021 investor letter, Boyar Value Group noted the significant amount of insider selling that billionaires like Meta Platforms, Inc. (NASDAQ:META)’s CEO Mark Zuckerberg were undertaking last year, presciently suggesting it could be a warning that the market had topped out:

“Corporate executives can have many different reasons for selling shares (anticipation of tax law changes, philanthropy, diversification, and much more), but the sheer number of billionaire founders who sold shares in 2021 should raise eyebrows and might well be signaling a market top. Bloomberg’s Ben Steverman and Scott Carpenter report not only that Mark Zuckerberg of Meta Platforms, Inc. (NASDAQ:META) (formerly known as Facebook) sold shares in his company almost every day last year but also that the founders of Google sold ~$3.5 billion worth of stock (the first time either Sergey Brin or Larry Page has sold shares since 2017).”