Facebook Inc (FB) May Be Making A Twitter Rival For Business

How are hedge funds trading Facebook Inc (NASDAQ:FB)?

At the end of March, 129 of the hedge funds we follow were long on Facebook Inc (NASDAQ:FB), holding stakes with an aggregate value of $7.09 billion in holdings, up from 118 investors a quarter earlier. However, even though the number of hedge funds with investments in Facebook increased, there was a 10.27% quarter-over-quarter decline in the total value of their holdings, despite a 5.38% increase of the stock. Furthermore, only 3.08% of Facebook’s outstanding stock was held by the funds from our database.

Lone Pine Capital, managed by Stephen Mandel, held the largest position in Facebook Inc (NASDAQ:FB) at the end of the first quarter, which contained 8.11 million shares. Moreover, Jim Simons‘ Renaissance Technologies initiated a large position in the company by acquiring 2.65 million shares. On the other hand, Hoplite Capital Management, led by John Lykouretzos, closed its position by unloading 1.39 million shares in the first quarter.

Facebook Inc (NASDAQ:FB), as we can see, experienced an outflow of capital in the first quarter. However, it should be noted that morehedge funds are bullish on the stock. Furthermore, as we have covered in the past, industry experts think that the social network has a lot of room to grow, driven mostly by the potential of virtual reality, video and Instagram. Because of these, we still recommend a long position in Facebook.

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