1. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 289
Number of Billionaire Investors: 33
Microsoft Corporation (NASDAQ:MSFT) possesses a diverse range of products and services that have the potential to contribute to the development and utilization of the metaverse. The Azure cloud computing platform offered by Microsoft furnishes the necessary infrastructure and services to support the operational aspects of metaverse applications. Moreover, Microsoft Corporation (NASDAQ:MSFT)’s Mixed Reality platform, which encompasses devices like HoloLens and Windows Mixed Reality headsets, can facilitate augmented reality (AR) and virtual reality (VR) experiences within the metaverse. Additionally, Microsoft’s suite of productivity tools, including Office 365 and Teams, holds the possibility of being integrated into the metaverse, thereby enabling collaboration, communication, and content creation among metaverse users. Microsoft Corporation (NASDAQ:MSFT) is regarded as one of the leading stocks in the metaverse, garnering significant attention from billionaires. As of Q1 2023, 33 billionaires held long positions in the company.
On June 2, Evercore ISI analyst Kirk Materne increased the price target on Microsoft Corporation (NASDAQ:MSFT) to $400 from $337 and maintained an Outperform rating on the shares. The analyst argued that Microsoft Corporation (NASDAQ:MSFT) is uniquely positioned to capitalize on the shift to AI in the coming years. In a bullish scenario, Evercore predicts that the integration of AI throughout Microsoft’s product portfolio could result in a potential $100 billion increase in revenue by 2027.
According to Insider Monkey’s first quarter database, 289 hedge funds were bullish on Microsoft Corporation (NASDAQ:MSFT), compared to 259 funds in the earlier quarter. Billionaire Bill Gates’ Bill & Melinda Gates Foundation Trust is the largest Microsoft stakeholder, with a position worth $11.3 billion.
Ariel Global Fund made the following comment about Microsoft Corporation (NASDAQ:MSFT) in its Q1 2023 investor letter:
“Enterprise software provider, Microsoft Corporation (NASDAQ:MSFT) also traded higher in the period alongside the investor enthusiasm for Artificial Intelligence. Microsoft is well positioned as this new technology advances given its large investment in Open AI, the parent company of ChatGPT. Looking ahead, we continue to like Microsoft’s solid fundamentals, competitive positioning and long-term business outlook. We anchor on the company driving value creation by capitalizing on a broad and deep set of opportunities, most notably within Azure, its hybrid cloud infrastructure. The platform continues to demonstrate share gains and strong multi-year purchase intent as enterprises transition to cloud based platforms. At current trading levels, we believe Microsoft’s risk/reward is skewed to the upside.”
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