5 Best Semiconductor Stocks to Buy Now

2. Alphabet Inc. (NASASQ:GOOGL)

Number of Hedge Fund Holders: 191

Alphabet Inc. (NASDAQ:GOOGL) is one of the largest technology companies in the world that rose to fame through its internet search engine Google. The company also has a host of other software and hardware products, such as Gmail, YouTube, Pixel smartphones, and a robot.

Alphabet Inc. (NASDAQ:GOOGL) won a big contract from the United States Department of Commerce in September 2022 to design chips that researchers can use to develop semiconductors and nanotechnology. This made the company one of the first beneficiaries of the U.S. Chips Act passed by Congress earlier this year to jumpstart U.S. chipmaking dominance. Alphabet Inc. (NASDAQ:GOOGL) also designs its own chips for the Pixel smartphones and plans to expand this to its Chromebook notebook lineup.

191 out of the 895 hedge funds part of Insider Monkey’s Q2 2022 survey had held a stake in Alphabet Inc. (NASDAQ:GOOGL).

Out of these, Chris Hohn’s TCI Fund Management is Alphabet Inc. (NASDAQ:GOOGL)’s largest investor through a $5.4 billion stake that comes via 2.4 million shares.

Baron Funds mentioned the company in its Q2 2022 investor letter and stated that:

“Alphabet Inc. is the parent company of Google, the world’s largest search and online advertising company. Shares of Alphabet declined 21.6% in the quarter due to concerns about slower global growth impacting the company’s core advertising business. We retain conviction in Alphabet’s merits as it continues to benefit from growth in mobile and online video advertising, which accrues to its core assets of search, YouTube, and the Google ad network. We are further encouraged by Alphabet’s investments in Cloud, AI, and Autonomous Driving (through its Waymo subsidiary).”