Top 5 Stock Picks of Value Investor David Abrams

3. Meta Platforms, Inc. (NASDAQ:FB)

Abrams Capital Management’s stake value: $405 million

Percentage of Abrams Capital Management’s portfolio: 8.89%

Number of hedge fund holders: 224

Meta Platforms, Inc. (NASDAQ:FB) is the third-largest stock holding of Abrams Capital according to the fourth quarter filings. The firm first initiated a position in the company in the fourth quarter of 2018 and left its stake unchanged over the past eight quarters. Shares of Meta Platforms remained under pressure over the past two quarters. Despite that, the stock price of the social media platform is up 55% in the past five years. 

In the fourth quarter investor letter, Boyar Value Group, an investment management firm, mentioned a few stocks including Meta Platforms. Here is what Boyar Value Group stated: 

“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. (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).”