Jefferies Group, an investment management firm, published its third-quarter 2021 investor letter – a copy of which can be downloaded here. In the letter, the fund talked about the Metaverse and discussed some of the key companies involved in this virtual/augmented reality technology. You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.
Jefferies Group, in its Q3 2021 investor letter, mentioned Meta Platforms, Inc. (NASDAQ: FB) and discussed its stance on the firm. Meta Platforms, Inc. is a Menlo Park, California-based multinational technology conglomerate holding company with a $938.1 billion market capitalization. FB delivered a 24.86% return since the beginning of the year, while its 12-month returns are up by 23.76%. The stock closed at $341.06 per share on November 24, 2021.
Here is what Jefferies Group has to say about Meta Platforms, Inc. in its Q3 2021 investor letter:
“While still early, FB is in the process of building the platforms that will ultimately support the development the Metaverse. We look at FB’s position through the lens of 4 current investment initiatives: 1) Oculus VR hardware, 2) Smart glasses, 3) Augmented Reality lenses, and 4) “Horizon Workrooms”
Oculus Virtual Reality hardware: Since acquiring Oculus in 2014 ($2B deal), FB has been focused on developing best-in-class hardware and complementary software & services to support VR experiences. The Oculus Quest 2 is FB’s newest VR headset; it retails at $299 and allows users to play games, try fitness classes, play sports, and watch concerts in virtual environments. Most importantly, Quest 2 is linked to users’ Facebook accounts, which means users can seamlessly connect with friends in virtual environments to play games or spend time together. We believe one of FB’s biggest differentiators in VR is its large array of non-gaming experiences that were designed for Oculus. For instance, users can explore extreme terrain in National Geographic Explore VR, join virtual fitness classes, or simulate being a chef. As FB’s hardware continues to improve and becomes less cumbersome, we would expect a flywheel of greater developer and user adoption of VR…” (Click here to see the full text)
Photo by Austin Distel on Unsplash
Based on our calculations, Meta Platforms, Inc. (NASDAQ: FB) ranks 2nd in our list of the 30 Most Popular Stocks Among Hedge Funds. FB was in 248 hedge fund portfolios at the end of the third quarter of 2021, compared to 266 funds in the previous quarter. Meta Platforms, Inc. (NASDAQ: FB) delivered a -7.42% return in the past 3 months.
Disclosure: None. This article is originally published at Insider Monkey.
