5 Blue Chip Stocks Hedge Funds Love

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 259

Microsoft Corporation (NASDAQ:MSFT) is up next on our list of blue chip stocks that hedge funds love. A total of 259 hedge funds were long on the company shares at the end of March, down from 262 hedge funds a quarter earlier. Fisher Asset Management increased its stake in Microsoft Corporation (NASDAQ:MSFT) by 4% in the first quarter, thereby owning 27.87 million shares worth $8.59 billion.

On June 2, Microsoft Corporation (NASDAQ:MSFT) was given a ‘Buy’ rating by Stifel analyst Brad Reback, who lowered the price target to $320 from $350 on account of multiple contraction and the firm’s updated guidance which reflects a more pessimistic foreign exchange environment through May. However, the analyst maintained his bullish thesis citing secular tailwinds and a growing total addressable market.

Microsoft Corporation’s (NASDAQ:MSFT) earnings per share for the first quarter beat estimates by $0.02. Quarterly revenue was also recorded above forecasts by $311.2 million and increased 18.35% from the year-ago quarter by coming in at $49.36 billion.

Investment firm Motiwala Capital discussed Microsoft Corporation (NASDAQ:MSFT) in its Q4 2021 investor letter. It said:

“Microsoft (NASDAQ:MSFT) re-enters our portfolio after a long gap. MSFT sells enterprise and consumer software products as well as hardware products such as the Xbox video game console and Surface laptops. All business segments experienced double-digit revenue growth and earnings per share have compounded in the mid-double digits over the last 5 years. We believe MSFT continues this momentum in the years ahead.”