5 Best Stocks To Invest In According to AI

2. Meta Platforms Inc. (NASDAQ:META)

Number of Hedge Fund Holders: 225

Share price performance from May 30 to September 7: 13.96%

Meta Platforms Inc. (NASDAQ:META), formerly known as Facebook, Inc. and TheFacebook, Inc., is a multinational technology conglomerate headquartered in Menlo Park, California, USA. The company possesses and manages various products and services, including Facebook, Instagram, Threads, and WhatsApp, among others. On April 26, Meta Platforms Inc. (NASDAQ:META) reported a Q1 GAAP EPS of $2.20 beating Wall Street estimates by $0.23. The revenue of $28.65 billion increased 2.7% year-over-year, surpassing market predictions by $990 million.

As of May 30, the share price performance of Meta Platforms Inc. (NASDAQ:META) has seen an increase of almost 14%. According to Insider Monkey’s second quarter database, 204 hedge funds were bullish on Meta Platforms Inc. (NASDAQ:META), same as the last quarter. Ken Fisher’s Fisher Asset Management is the most prominent stakeholder of the firm, with almost 42.7 million shares, worth approximately $5.11 billion.

RiverPark Large Growth Fund made the following comment about Meta Platforms, Inc. (NASDAQ:META) in its Q2 2023 investor letter:

“Meta Platforms, Inc. (NASDAQ:META): META shares, continuing their rebound, were the top contributor for the second quarter. The company reported 1Q23 results, beating revenue expectations and lowering guidance for operating expenses and capital expenditures, while increasing revenue expectations.

META owns multiple social media platforms, each with more than one billion users, has an 80% gross margin, and generated $20 billion of FCF in 2022. Both its Facebook and its Instagram franchises have more than 2 billion Daily Active Users and generate the bulk of the company’s revenue. Recently, the company’s short form video offering, Reels, has gained mass user engagement and growing advertiser adoption, which we believe will return the company to strong revenue and free cash flow growth. After its advance, META shares trade at 19x Wall Street’s consensus estimates for 2024 EPS, estimates that we think could prove to be too low.”