Top 5 Stocks to Buy According to Legendary Value Investor Joel Greenblatt

3. Microsoft Corporation (NASDAQ:MSFT)

Gotham Asset Management’s Stake Value: $56,504,000

Percentage of Gotham Asset Management’s 13F Portfolio: 2.29%

Number of Hedge Fund Holders: 250

Microsoft Corporation (NASDAQ:MSFT) is an American multinational technology company offering operating systems, computer software, and consumer electronics. Microsoft Corporation (NASDAQ:MSFT) is a top stock to buy according to legendary value investor Joel Greenblatt in the third quarter, with Greenblatt holding 200,426 Microsoft Corporation (NASDAQ:MSFT) shares, worth $56.5 million, representing 2.29% of his 13F portfolio. 

On December 2, Wells Fargo analyst Michael Turrin kept an Overweight rating on  Microsoft Corporation (NASDAQ:MSFT), stating that Dynamics 365 remained an important growth driver and product category for Microsoft Corporation (NASDAQ:MSFT), and Power Automate was the market leader in total adoption.

Here is what Baron Opportunity Fund has to say about Microsoft Corporation (NASDAQ:MSFT) in its Q3 2021 investor letter:

“Shares of Microsoft Corporation, a cloud-software leader and provider of software productivity tools and infrastructure, rose during the quarter following a strong earnings report highlighting solid demand for its broad product stack and continued momentum migrating its business to the cloud. Microsoft’s results continued to be strong across the board, with total revenue beating Street estimates by 4.5%, an acceleration in Commercial Cloud revenue to 31% constant-currency growth, a four-point improvement in Commercial Cloud gross margins (to 70% from 66%), and GAAP earnings up 42%. We believe the company is positioned to deliver 13% to 15% organic growth over the next three years, underpinned by TAM expansion across its disruptive cloud product portfolio, as more companies look to transform and digitize their businesses, as well as strong operating leverage as its cloud products gain scale.”