Rowan Street Capital, an investment management company, released its first quarter 2023 investor letter. A copy of the same can be downloaded here. The fund gained +49.2% in the first quarter. The firm believes that the portfolio companies are rapidly repricing in 2023 which were beaten in 2022. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Rowan Street Capital highlighted stocks like Meta Platforms, Inc. (NASDAQ:META) in the first quarter 2023 investor letter. Headquartered in Menlo Park, California, Meta Platforms, Inc. (NASDAQ:META) is a technology company that develops products to connect people. On April 17, 2023, Meta Platforms, Inc. (NASDAQ:META) stock closed at $218.86 per share. One-month return of Meta Platforms, Inc. (NASDAQ:META) was 8.26%, and its shares gained 0.71% of their value over the last 52 weeks. Meta Platforms, Inc. (NASDAQ:META) has a market capitalization of $567.425 billion.
Rowan Street Capital made the following comment about Meta Platforms, Inc. (NASDAQ:META) in its Q1 2023 investor letter:
“Meta Platforms, Inc. (NASDAQ:META) stock hit the lows of $88 per share in November of 2022, as the stock dropped a staggering 75% from its highs, while revenues only declined by 1% in 2022, gross margins dropped 4% and EPS declined 38% (please see the figures we included below). At the time we published a note: “Does a $750 billion decline in Meta’s market cap make sense?”
Since those lows, Meta’s stock has increased +131% compared to the S&P 500 rise of +7% for the same time period. So how has Mr. Market’s perception of Meta’s future prospects change so much in just a few months?
As it usually happens after a huge rise in the stock price, analysts are now turning bullish on the stock and upgrading their price targets (akin to shooting an arrow first, seeing where it lands and putting a bulls eye over it). Their bullishness is largely based on the new discipline around expenses and capital spending…” (Please click here to read the full text)
Pixabay/Public Domain
Meta Platforms, Inc. (NASDAQ:META) is in 4th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 194 hedge fund portfolios held Meta Platforms, Inc. (NASDAQ:META) at the end of the fourth quarter which was 177 in the previous quarter.
We discussed Meta Platforms, Inc. (NASDAQ:META) in another article and shared Wedgewood Partners’ views on the company. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
