5 Rebounding Tech Stocks to Watch

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

Number of Hedge Fund Holders: 200

5-Day Percentage Increase in Share Price as of August 5: 6.27%

Meta Platforms, Inc. (NASDAQ:META) stock has gained over 6% in the last five days, despite the company reporting below consensus Q2 2022 results. On August 4, Meta Platforms, Inc. (NASDAQ:META) reported that it is entering the corporate bond market for the first time, with the company is planning to sell $10 billion of its debt. The company had to make this move since it has faced a massive stock decline in 2022, losing 50% of its value year-to-date. 

On July 28, JMP Securities analyst Andrew Boone maintained an ‘Outperform’ rating on Meta Platforms, Inc. (NASDAQ:META) and lowered the price target on the stock to $215 from $240. The company’s Q2 results and guidance reflect a challenging macro environment that is impacting advertiser sentiment, as well as growing foreign exchange headwinds. However, the analyst still sees Meta Platforms, Inc. (NASDAQ:META) as a “must-buy” for advertisers due to its 3 billion daily active users, the analyst told investors. With shares now trading at 14-times expected 2023 GAAP earnings, the risk/reward on Meta Platforms, Inc. (NASDAQ:META) is positive at current levels, the analyst contended.

Among the hedge funds tracked by Insider Monkey, Boykin Curry’s Eagle Capital Management held a significant position in the company, consisting of 7.4 million shares worth $1.65 billion. Overall, 200 hedge funds were bullish on Meta Platforms, Inc. (NASDAQ:META) at the end of Q1 2022, compared to 224 funds in the prior quarter. 

Here is what Boyar Value Group had to say about Meta Platforms, Inc. (NASDAQ:META) in its Q4 2021 investor letter:

“Corporate executives can have many different reasons for selling shares (anticipation of tax law changes, philanthropy, diversification, and much more), but the sheer number of billionaire founders who sold shares in 2021 should raise eyebrows and might well be signaling a market top. Bloomberg’s Ben Steverman and Scott Carpenter report not only that Mark Zuckerberg of Meta Platforms Inc. (formerly known as Facebook) sold shares in his company almost every day last year but also that the founders of Google sold ~$3.5 billion worth of stock (the first time either Sergey Brin or Larry Page has sold shares since 2017).”

You can also take a look at This Analyst Is Bearish on These 15 Retail Stocks Amid “Soft Landing” Expectations and 10 Best Stocks For Inflation According to Redditors. 

Follow Insider Monkey on Twitter