5 Best Technology Stocks to Buy According to Giant Quant Hedge Fund

In this piece, we will take a look at 5 best technology stocks to buy according to giant quant hedge fund. For more stocks, head on over to 10 Best Technology Stocks to Buy According to Giant Quant Hedge Fund.

5. Airbnb, Inc. (NASDAQ:ABNB)

Number of Hedge Fund Holders: 47
Renaissance Technologies Equity Stake: $678.55 Million

With its subsidiaries, Airbnb, Inc. (NASDAQ:ABNB) operates a platform that enables hosts to offer stays and experiences to guests worldwide. The company connects hosts and guests online to book a homey place to stay with a kitchen to save on dining out at a much lower price than hotels.

Airbnb, Inc. (NASDAQ:ABNB) is experiencing booming business post-pandemic amid increase in international and domestic travel. It has emerged as one of the best technology stocks to buy according to the giant quant hedge fund, going by the 41% rally year to date. Renaissance Technologies held stakes worth $678.55 million in Airbnb, Inc. (NASDAQ:ABNB) as of Q2, 2023. 

At the end of the second quarter of 2023, 47 hedge funds in the database of Insider Monkey held stakes in Airbnb, Inc. (NASDAQ:ABNB), compared to 63 in the previous quarter. Among the hedge funds being tracked by Insider Monkey, Zevenbergen Capital Investments was a significant shareholder in Airbnb, Inc. (NASDAQ:ABNB) with 624,117 shares worth more than $85.64 million. 

Here is what Artisan Partners, an asset management firm, said about Airbnb, Inc. (NASDAQ:ABNB) in its Q3 2023 investor letter, 

“Top contributors to performance for the quarter included global online travel marketplace Airbnb, Inc. (NASDAQ:ABNB). Airbnb again defied fears about weaker travel demand as it experienced continued recovery in cross-border and urban nights and resilient pricing trends, though travel volumes remain mixed.”

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4. VeriSign, Inc. (NASDAQ:VRSN)

Number of Hedge Fund Holders: 35
Renaissance Technologies Equity Stake: $690.70 Million

VeriSign, Inc. (NASDAQ:VRSN) offers domain name registry services and internet infrastructure that enables internet navigation worldwide. The company ensures the security, stability, and resilience of internet infrastructure and services.

While VeriSign, Inc. (NASDAQ:VRSN) is down by 3% for the year, yet it remains one of the best technology stocks to buy, according to the giant quant hedge fund, as the internet sector experiences significant growth amid the digital technology revolution. VeriSign, Inc. (NASDAQ:VRSN) is up by more than 500% since Renaissance Technologies started investing in 2010.

VeriSign, Inc. (NASDAQ:VRSN) had 35 hedge funds as shareholders in Q2 2023, out of 910 hedge funds surveyed by Insider Monkey. The firm’s top investor was Warren Buffett’s Berkshire Hathaway in Q2 2023, which held 12.82 million shares valued at $2.90 billion.

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3. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 175
Renaissance Technologies Equity Stake: $785 Million

Headquartered in Santa Clara, California, NVIDIA Corporation (NASDAQ:NVDA) is a semiconductor company that provides graphics computing and networking solutions. The company offers GeForce graphics processing units for use in gaming and PCs. The GPUs are in high demand amid the artificial intelligence revolution, helping the company generate record revenues and earnings.

With NVIDIA Corporation (NASDAQ:NVDA) emerging as the poster child of the AI hype, the stock is up by more than 195% for the year, propelling it into a trillion-dollar company. It has also emerged as one of the best technology stocks to buy, according to the giant quant hedge fund for exposure in the semiconductor sector. The quant hedge fun increased its stakes in the company to $785 million as of the end of the second quarter from $882,000 as of the first quarter. 

NVIDIA Corporation (NASDAQ:NVDA) was a popular choice among 175 hedge funds in Q2 2023, out of 910 hedge funds tracked by Insider Monkey. The firm’s most notable investor was Zevenbergen Capital Investments, which held about 655,435 shares worth $285.11 million in the company.

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2. Apple Inc. (NASDAQ:AAPL)

Number of Hedge Fund Holders: 135
Renaissance Technologies Equity Stake: $954.67 Million

Apple Inc. (NASDAQ:AAPL) designs, manufactures, and sells smartphones, personal computers, tablets, wearables, and accessories. The company also offers various services, including Apple Arcade, games subscription services, payment services, Apple Music, subscription news and magazine services. 

While Apple Inc. (NASDAQ:AAPL) has pulled back significantly in recent months amid the tech stocks correction, it is still up by about 38% year to date, outperforming the S&P 500 10% gain. It stands out as one of the best technology stocks to buy according to the giant quant hedge fund owing to its track record of returning value through buybacks, dividends and share price appreciation.

Renaissance Technologies increased its stakes in Apple Inc. (NASDAQ:AAPL) to $954.68 million as of Q2 from $1.58 million as of Q1 2023.

Out of 910 hedge funds monitored by Insider Monkey, Apple had 135 hedge funds as shareholders in Q2 2023. The firm’s significant investor was Bailard Inc, which held a stake worth $154.28 million in the firm. 

Aristotle Large Cap Growth Strategy, a shareholder of Apple, said this about the company in its letter to investors for Q3 2023:

“Apple Inc. (NASDAQ:AAPL) contributed to outperformance in the third quarter, as a result of the underweight position relative to the benchmark. Following a very strong first-half performance, the stock saw a pullback ahead of the iPhone 15 launch, as investors weigh the potential growth from the new phone in the face of macroeconomic headwinds and slowing consumer spend.”

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1. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Holders: 225
Renaissance Technologies Equity Stake: $1.3 Billion

Headquartered in Menlo Park, California, Meta Platforms, Inc. (NASDAQ:META) develops products that enable people to connect and share experiences with family and friends. Its flagship products include Facebook and Instagram, which attract millions of active users daily. By running adverts on the platforms, the company generates billions of dollars in revenue. It also offers Messenger and WhatsApp for messaging.

Meta Platforms, Inc. (NASDAQ:META) has emerged as one of the best technology stocks to buy, according to Renaissance Technologies hedge fund, as it is up by about 150% for the year. The rally has come on the company benefiting from strong platform advertising. Likewise, the hedge fund’s stake value in Meta Platforms, Inc. (NASDAQ:META) increased to $1.3 billion in Q2, 2023 from $404.51 million as of Q1.

As of the end of the second quarter of 2023, 225 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in Meta Platforms, Inc. (NASDAQ:META). Zevenbergen Capital Investments was a prominent stakeholder of the company in the third quarter of 2023, with a stake worth about $131.95 million.

This is what Aristotle Large Cap Growth Strategy wrote about Meta Platforms, Inc. (NASDAQ:META) in its investor letter for Q3 2023:

“Meta Platforms, Inc. (NASDAQ:META), formerly known as Facebook, is a global technology company specializing in social networking and the development of augmented and virtual reality technologies. Founded in 2004 and headquartered in Menlo Park, CA, the company has expanded its reach to nearly three billion monthly active users worldwide.

We see Meta as well-positioned to capture a significant share of the rapidly growing digital advertising market and has created an interconnected ecosystem of apps that drives higher user engagements. While leveraging AI and machine learning technology, Meta should see an acceleration in the development of targeted digital advertising capabilities and enhance the user experience across its platform. We see near-term catalysts in Rising Reels and Messenger revenue monetization and an expected robust 2024 political and Olympic advertising. Year-to-date, investors have been optimistic about the company’s pivot away from a focus on metaverse investments to an emphasis on profitability and growth in what the company calls its “Year of Efficiency.””

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