In this article, we discuss 10 tech stocks to buy according to billionaire George Soros. If you want to skip our detailed analysis of these stocks, go directly to 5 Tech Stocks To Buy According To Billionaire George Soros.
George Soros is a Hungarian-American billionaire investor who in 1970 founded Soros Fund Management, which is a New York-based hedge fund investing in public equity, fixed income markets, foreign exchange, currency, commodity markets, private equity, and venture capital funds.
According to the third quarter 13F filings, Soros Fund Management had a portfolio worth $5.4 billion, with investments concentrated in the information technology, healthcare, finance, consumer discretionary, and communications sectors.
In Q3 2021, Soros Fund Management purchased 76 new stocks, bought additional stakes in 32 securities, sold out of 83 companies, and reduced holdings in 26 equities. The fund’s top buys for Q3 2021 included IHS Markit Ltd. (NYSE:INFO), Nuance Communications, Inc. (NASDAQ:NUAN), and Spotify Technology S.A. (NYSE:SPOT). Whereas, Soros Fund Management reduced holdings in Atlassian Corporation Plc (NASDAQ:TEAM), The Walt Disney Company (NYSE:DIS), and OneMain Holdings, Inc. (NYSE:OMF).
The most notable Q3 stock picks of George Soros’ Soros Fund Management include Amazon.com, Inc. (NASDAQ:AMZN), salesforce.com, inc. (NYSE:CRM), and Airbnb, Inc. (NASDAQ:ABNB).
Our Methodology
We used the third quarter portfolio of Soros Fund Management for this analysis, selecting the fund’s top technology stocks for the period. We have ranked the list according to the hedge fund’s stake value in each holding.
Tech Stocks To Buy According To Billionaire George Soros
10. Airbnb, Inc. (NASDAQ:ABNB)
Soros Fund Management’s Stake Value: $13,001,000
Percentage of Soros Fund Management’s 13F Portfolio: 0.24%
Number of Hedge Fund Holders: 58
Airbnb, Inc. (NASDAQ:ABNB) is an American travel technology company that offers an online marketplace for lodging and vacation rentals. Airbnb, Inc. (NASDAQ:ABNB) is a popular tech stock among elite hedge funds, with the Q3 database of Insider Monkey suggesting that 58 funds were bullish on the stock, with collective stakes worth $2.71 billion.
Soros Fund Management added Airbnb, Inc. (NASDAQ:ABNB) to its portfolio in Q2 2021, buying 54,500 shares. In the third quarter of 2021, the fund elevated its Airbnb, Inc. (NASDAQ:ABNB) stake by 43%, holding a total of 77,500 shares, worth $13 million, representing 0.24% of the total Q3 13F securities.
BTIG analyst Jake Fuller on February 8 downgraded Airbnb, Inc. (NASDAQ:ABNB) to Neutral from Buy. The analyst was concerned over consensus expectations and the sustainability of multiples if estimates are coming down and growth is slowing. He added that the post-Omicron expectations for the company are “aggressive”, particularly in Q2, when he sees single-digit bookings growth given a tough comp.
Renaissance Technologies held a prominent position in Airbnb, Inc. (NASDAQ:ABNB) in Q3 2021, with 2.7 million shares worth $465.3 million.
Here is what Tollymore Investment Partners has to say about Airbnb, Inc. (NASDAQ:ABNB) in its Q3 2021 investor letter:
“Today disruptors are not typically seeking to replace incumbents entirely. Rather, they break the links in the customer journey, in doing so better aligning monetisation with value creation and minimizing externalities. For example, Airbnb broke the link between staying in residential property and owning it. Airbnb is a specific example of a business model innovation which separated asset use from ownership. This is hardly a novel idea; it’s called renting. Rental models lend themselves to assets which are expensive and durable, and where usage is infrequent.”
9. Coupang, Inc. (NYSE:CPNG)
Soros Fund Management’s Stake Value: $13,925,000
Percentage of Soros Fund Management’s 13F Portfolio: 0.25%
Number of Hedge Fund Holders: 45
Coupang, Inc. (NYSE:CPNG) is a South Korean e-commerce company, providing home goods and decor, apparel, groceries, sporting goods, electronics, everyday consumables, and restaurant delivery services.
In Q3 2021, Soros Fund Management added Coupang, Inc. (NYSE:CPNG) to its investment portfolio, buying 500,000 shares of the company, worth approximately $14 million, representing 0.25% of the fund’s total 13F securities.
Mizuho analyst James Lee lowered the price target on Coupang, Inc. (NYSE:CPNG) to $32 from $40 and kept a Neutral rating on the shares on November 15. The company reported a mixed quarter due to capacity constraints from a warehouse fire, increased investments in fresh/food delivery, and rising Covid related costs, the analyst told investors in a research note, and he expects these issues to remain in the fourth quarter.
Among the hedge funds tracked by Insider Monkey in Q3 2021, 45 funds held long positions in Coupang, Inc. (NYSE:CPNG), up from 33 funds in the quarter earlier. Greenoaks Capital held the biggest stake in Coupang, Inc. (NYSE:CPNG), with more than 209 million shares worth $5.8 billion.
In addition to Amazon.com, Inc. (NASDAQ:AMZN), salesforce.com, inc. (NYSE:CRM), and Airbnb, Inc. (NASDAQ:ABNB), Coupang, Inc. (NYSE:CPNG) is a popular tech stock among smart investors.
8. Aptiv PLC (NYSE:APTV)
Soros Fund Management’s Stake Value: $14,206,000
Percentage of Soros Fund Management’s 13F Portfolio: 0.26%
Number of Hedge Fund Holders: 44
Aptiv PLC (NYSE:APTV) is a global technology company based in Dublin, Ireland, specializing in safety technology and autonomous driving solutions for the automotive markets.
Credit Suisse analyst Dan Levy lowered the price target on Aptiv PLC (NYSE:APTV) on February 7 to $185 from $190 and kept an Outperform rating on the shares. After a challenged start to 2022 for the stock, the analyst believes an attractive entry point has emerged, and reaffirms Aptiv PLC (NYSE:APTV) as his Top Pick.
Among the hedge funds tracked by Insider Monkey, 44 hedge funds were bullish on Aptiv PLC (NYSE:APTV) in the third quarter, up from 40 funds in the quarter earlier. Impax Asset Management held the leading stake in Aptiv PLC (NYSE:APTV) in Q3 2021, with 3.78 million shares worth over $563 million.
Here is what Oakmark Funds has to say about Aptiv PLC (NYSE:APTV) in their Q1 2021 investor letter:
“Aptiv approached our estimates of intrinsic value and was, therefore, eliminated during the period. The company was a longstanding investment of the Fund and produced successful outcomes. We continue to believe that Aptiv is a well-positioned auto supplier that is likely to continue outgrowing light vehicle production for the foreseeable future, but this dynamic is now more fully appreciated by the market.”
7. DiDi Global Inc. (NYSE:DIDI)
Soros Fund Management’s Stake Value: $21,171,000
Percentage of Soros Fund Management’s 13F Portfolio: 0.39%
Number of Hedge Fund Holders: 15
DiDi Global Inc. (NYSE:DIDI) is a mobility technology platform offering on-demand ride hailing services across China, Brazil, Mexico, and internationally. On January 12, DiDi Global Inc. (NYSE:DIDI) began discussions with the Hong Kong stock exchange about a public listing, and the stock rose 5.3% on the news.
Soros Fund Management headed into the third quarter of 2021 with 2.71 million shares of DiDi Global Inc. (NYSE:DIDI), amounting to $21.1 million, representing 0.39% of the total 13F securities.
In Q3 2021, 15 hedge funds in the database of Insider Monkey held long positions in DiDi Global Inc. (NYSE:DIDI), down from 46 funds in the prior quarter. Philippe Laffont’s Coatue Management held the largest position in DiDi Global Inc. (NYSE:DIDI) in the third quarter, with 40.4 million shares worth $301 million.
DiDi Global Inc. (NYSE:DIDI) is a significant tech stock pick of billionaire George Soros, just like Amazon.com, Inc. (NASDAQ:AMZN), salesforce.com, inc. (NYSE:CRM), and Airbnb, Inc. (NASDAQ:ABNB).
6. Accenture plc (NYSE:ACN)
Soros Fund Management’s Stake Value: $24,154,000
Percentage of Soros Fund Management’s 13F Portfolio: 0.44%
Number of Hedge Fund Holders: 56
Accenture plc (NYSE:ACN) is a multinational company based in Ireland, providing IT services including technology innovation, intelligent automation, cloud computing, marketing, supply chain management, zero-based budgeting, and customer experience, among others.
Soros Fund Management acquired a stake in Accenture plc (NYSE:ACN) in Q4 2010, but sold off his shares entirely in Q2 2011. Over the years, the fund purchased Accenture plc (NYSE:ACN) shares and discarded them again. As of Q3 2021, Soros Fund Management boosted its position in Accenture plc (NYSE:ACN) by 51%, holding 75,500 shares of the company, worth $24.1 million. The stock accounts for 0.44% of the fund’s 13F securities.
On January 9, Goldman Sachs analyst Brian Essex initiated coverage of Accenture plc (NYSE:ACN) with a Neutral rating and a $446 price target. The analyst sees Accenture plc (NYSE:ACN) as among the best positioned to take advantage of IT services spending. However, the stock currently trades at a historical premium, which reflects its quality of management and execution, the analyst told investors in a research note.
According to Insider Monkey’s Q3 data, 56 hedge funds were long Accenture plc (NYSE:ACN), up from 52 funds in the quarter earlier. Ako Capital held a leading position in Accenture plc (NYSE:ACN), with 2.24 million shares worth approximately $719 million.
Here is what Polen Global Growth has to say about Accenture plc (NYSE:ACN) in its Q3 2021 investor letter:
“Accenture continues to perform well as the business has grown through the pandemic. Accenture has benefited as businesses around the world have sought a trusted partner to enable their digital transformation. Those leading in the new world are accelerating investment, while those lagging are investing to close the gap. These are two great examples of the pandemic accelerating trends that were already in motion, making leaders more resilient.”
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Disclosure: None. 10 Tech Stocks To Buy According To Billionaire George Soros is originally published on Insider Monkey.
