5 Best Gig Economy Stocks To Buy Now

2. Block, Inc. (NYSE:SQ)

Number of Hedge Fund Holders: 72   

Block, Inc. (NYSE:SQ) creates tools that enable sellers to accept card payments and provides reporting and analytics, as well as next-day settlement. It is one of the premier gig economy stocks to invest in. On August 8, investment advisory Barclays maintained an Overweight rating on Block, Inc. (NYSE:SQ) stock and lowered the price target to $130 from $150. Analyst Ramsey El-Assal issued the ratings update. 

Among the hedge funds being tracked by Insider Monkey, Florida-based investment firm ARK Investment Management is a leading shareholder in Block, Inc. (NYSE:SQ), with 9.1 million shares worth more than $799 million. 

In its Q2 2022 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and Block, Inc. (NYSE:SQ) was one of them. Here is what the fund said:

“Block, Inc. (NYSE:SQ) provides point-of-sale technology to small businesses and operates the Cash App ecosystem of financial services for individuals. Shares fell due to mixed quarterly results with more modest growth in the Seller business offsetting strength in Cash App. While integration of recently acquired Afterpay is progressing well and credit metrics remain healthy, the buy-now-pay-later business slowed due to greater competitive intensity. We continue to own the stock due to Block’s long runway for growth, sustainable competitive advantages, and unique corporate culture.”

Given this cash-generation power, we are naturally drawn to what we believe are strong and profitable financial institutions when the price is right. Presently, we believe the valuations of our financial holdings are not only reasonable, but extremely compelling, and our portfolio composition reflects this view. Representative financial holdings in the Fund includes Wells Fargo.”