In this article, we discuss the 5 best stocks to buy according to Brennan Diaz’s Fernbridge Capital Management. If you wish to see our detailed analysis of Diaz’s history, investment philosophy, and hedge fund performance, go directly to the 10 Best Stocks To Invest In According To Brennan Diaz’s Fernbridge Capital Management.
5. Workday, Inc. (NASDAQ:WDAY)
Fernbridge Capital Management’s Stake Value: $73.9 million
Percentage of Fernbridge Capital Management’s 13F Portfolio: 9.02%
Number of Hedge Fund Holders: 72
Workday, Inc. (NASDAQ:WDAY) is placed fifth on our list of 10 best stocks to invest in according to Brennan Diaz’s Fernbridge Capital Management. The California-based company markets enterprise cloud applications
On October 13, DA Davidson analyst Robert Simmons initiated coverage of Workday, Inc. (NASDAQ:WDAY) with a Buy rating, alongside a $300 price target.
At the end of the second quarter of 2021, 72 hedge funds in the database of Insider Monkey held stakes worth $5.18 billion in Workday, Inc. (NASDAQ:WDAY), up from 69 in the previous quarter worth $5.17 billion. Fernbridge Capital Management increased its stake in the company by 296% in the second quarter, with 309,761 shares worth more than $73.9 million.
4. T-Mobile US, Inc. (NASDAQ:TMUS)
Fernbridge Capital Management’s Stake Value: $75.8 million
Percentage of Fernbridge Capital Management’s 13F Portfolio: 9.25%
Number of Hedge Fund Holders: 100
T-Mobile US, Inc. (NASDAQ:TMUS) is ranked fourth on our list of the 10 best stocks to invest in according to Brennan Diaz’s Fernbridge Capital Management. The Washington-based company provides wireless communication services under the T-Mobile brand.
Based on our database, Brennan Diaz’s hedge fund holds 523,962 shares in the company at the end of the second quarter of 2021 worth $75.8 million, representing 9.25% of the its portfolio value.
At the end of the second quarter of 2021, 100 hedge funds in the database of Insider Monkey held stakes worth $8.02 billion in T-Mobile US, Inc. (NASDAQ:TMUS), up from 98 the preceding quarter worth $9.06 billion.
On October 18, Citi analyst Michael Rollins reiterated a Buy rating on T-Mobile US, Inc. (NASDAQ:TMUS) with a $167 price target on the company’s shares.
ClearBridge Investments, an investment management firm, in its first-quarter 2021 investor letter mentioned T-Mobile US, Inc. (NASDAQ:TMUS). Here is what the firm said:
“The portfolio’s quality bias and valuation discipline have generated compelling returns over time with typically strong relative results in more challenging environments as it did through the first three quarters of 2020. However, that same quality bias tends to create a more challenging relative performance environment for the Strategy during periods of sharp economic acceleration, which tend to benefit stocks that are more commodity linked or of lower quality. This has been the case during the vaccine- and stimulus-driven rally experienced late last year and during the most recent quarter. Sectors that lagged in the quarter included communication services, where T-Mobile trailed after generating robust returns earlier in the recovery.”
3. Amazon.com, Inc. (NASDAQ:AMZN)
Fernbridge Capital Management’s Stake Value: $81.18 million
Percentage of Fernbridge Capital Management’s 13F Portfolio: 9.9%
Number of Hedge Fund Holders: 271
Amazon.com, Inc. (NASDAQ:AMZN) is a multinational company that specializes in e-commerce, cloud computing, digital streaming and artificial intelligence. The company is placed third on our list of the 10 best stocks to invest in according to Brennan Diaz’s Fernbridge Capital Management.
On October 5, JPMorgan analyst Doug Anmuth reiterated an Overweight rating on Amazon.com, Inc. (NASDAQ:AMZN) alongside a $4,100 price target on its shares.
According to the Q2 2021 securities filings, Brennan Diaz’s Fernbridge Capital Management holds 23,599 shares in Amazon.com, Inc. (NASDAQ:AMZN), worth more than $81.18 million, representing 9.9% of the investment firm’s portfolio value.
There were 271 hedge funds in our database that held stakes in Amazon.com, Inc. (NASDAQ:AMZN) worth $60.49 billion in the second quarter of 2021, compared to 243 funds in the first quarter with total stakes amounting to approximately $50.4 billion.
In its Q2 2021 investor letter, L1 Capital, an investment management firm, mentioned Amazon.com, Inc. (NASDAQ:AMZN). Here is what the fund said:
“Amazon flipped from being the largest detractor from portfolio performance in the March 2021 quarter, to one of the leading contributors in the June 2021 quarter. We took advantage of negative near-term sentiment in the March 2021 quarter to add to our Amazon investment. We continue to view Amazon as one of the best positioned businesses globally, with its share price still not reflecting fair value.”
2. Microsoft Corporation (NASDAQ:MSFT)
Fernbridge Capital Management’s Stake Value: $93.5 million
Percentage of Fernbridge Capital Management’s 13F Portfolio: 11.41%
Number of Hedge Fund Holders: 238
Coming in at second on our list of the 10 best stocks to invest in according to Brennan Diaz’s Fernbridge Capital Management, is the multinational technology giant Microsoft Corporation (NASDAQ:MSFT).
On October 6, Morgan Stanley analyst Keith Weiss kept an Overweight rating and a $331 price target on the shares of Microsoft Corporation (NASDAQ:MSFT), noting that the company is marking its leadership in the Robotics and Public Cloud segments.
By the end of the June 2021, the hedge fund managed by Brennan Diaz held 345,286 shares in Microsoft Corporation (NASDAQ:MSFT). These shares were valued at $93.5 million and represented 11.41% of his hedge fund’s investment portfolio. Of the 873 hedge funds tracked by Insider Monkey, 238 hedge funds have positions in Microsoft Corporation (NASDAQ:MSFT), valued at over $62.4 billion. The number of hedge funds that held stakes in the company stood at 251 in the previous quarter, worth over $58.9 billion.
Baron Opportunity Fund, in its Q2 2021 Investor Letter, expects solid growth and profitability of Microsoft Corporation (NASDAQ:MSFT) in the years to come. Here is what the fund said:
“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 was a top contributor in the period because it trades at reasonable free cash flow and earnings valuations, has cloud and digital transformation tailwinds at its back, reported a solid March quarter, and beat Street expectations by a wide margin. Microsoft’s results continued to be strong across the board, with Azure cloud computing revenues up 46% in constantcurrency (“cc”) terms and commercial cloud bookings growth of 38% cc, the best in years. Microsoft also reported robust profitability growth, with operating income expanding 31% and GAAP earnings up 45%. We believe the company is well positioned for continued solid growth and profitability through market share gains as more companies look to transform and digitize their businesses as they move operations to the cloud.”
1. Meta Platforms Inc. (NASDAQ:FB)
Fernbridge Capital Management’s Stake Value: $109 million
Percentage of Fernbridge Capital Management’s 13F Portfolio: 13.3%
Number of Hedge Fund Holders: 266
Meta Platforms Inc. is a multinational technology conglomerate holding based in Menlo Park, California. Known primarily for its social networking services and platforms, the company tops our list of the 10 best stocks to invest in according to Brennan Diaz’s Fernbridge Capital Management.
According to our database, 266 hedge funds held stakes worth $42 billion in Meta Platforms Inc, up from 257 hedge funds in the previous quarter with stakes worth more than $40.9 billion. As of Q2 2021, Fernbridge Capital Management owns 313,621 shares in Meta Platforms Inc., valued at $109 million and representing 13.3% of the investment firm’s total holdings value.
On October 7, JPMorgan analyst Doug Anmuth reiterated an Overweight rating on Facebook, Inc. (NASDAQ:FB) alongside a $450 price target on the company’s shares.
First Eagle Investment Management, an investment management firm, in its Q2 2021 investor letter, mentioned Facebook, Inc. (NASDAQ:FB). Here is what the fund said:
“Leading contributors in the First Eagle Global Fund this quarter included Facebook, Inc. Class A. Facebook has continued to post impressive results for both revenue and active users of its traditional platforms. In the meantime, the social media giant continues to make progress on new initiatives—like Facebook Horizon (virtual reality) and Facebook Shops (e-commerce)—and maintains attractive monetization optionality around services like Messenger and WhatsApp.”
You can also take a peek at 15 Best New Tech Stocks to Buy Now and 10 Best Tech Stocks to Buy According to Japanese Billionaire Masayoshi Son
