5 Stocks to Buy in 2022 According to Mark Massey’s AltaRock Partners

3. Microsoft Corporation (NASDAQ:MSFT)

AltaRock Partners’ Stake Value: $812,492,000
Percentage of AltaRock Partners’ 13F Portfolio: 20.71%
Number of Hedge Fund Holders: 262

Microsoft Corporation (NASDAQ:MSFT) is a global technology company based in Redmond, Washington, manufacturing computer software, consumer electronics, personal computers, and associated products and services. Microsoft Corporation (NASDAQ:MSFT) was present in the public stock portfolios of 262 hedge funds in the fourth quarter of 2021, compared to 250 funds in the earlier quarter.

On May 18, American Airlines Group Inc. (NASDAQ:AAL) and Microsoft Corporation (NASDAQ:MSFT) announced a partnership in which American Airlines will use Microsoft Azure as its preferred cloud platform for airline applications and critical work schedules, significantly accelerating its digital transformation and solidifying Microsoft’s position as one of the airline’s largest technology partners.

Among the hedge funds tracked by Insider Monkey, Fisher Asset Management is a notable shareholder of Microsoft Corporation (NASDAQ:MSFT) as of Q1 2022, with 27.87 million shares worth $8.59 billion. Mark Massey’s AltaRock Partners first invested in Microsoft Corporation (NASDAQ:MSFT) back in the second quarter of 2021. In the first quarter of 2022, the hedge fund raised its position in Microsoft Corporation (NASDAQ:MSFT) by 54% to 2.64 million shares, accounting for 20.71% of the overall portfolio.

In its Q4 2021 investor letter, Vulcan Value Partners highlighted a few stocks, and Microsoft Corporation (NASDAQ:MSFT) was one of them. Here is what the fund said:

“Microsoft Corporation (NASDAQ:MSFT) was a material contributor during the quarter. It is one of the highest quality companies in the world. We believe it has tremendous competitive advantages in its consumer and commercial Microsoft Office products as well as in its server and tools and Azure divisions. Over the last several years, Microsoft Corporation (NASDAQ:MSFT) has been implementing a successful transition from a traditional software license and maintenance revenue model to a subscription revenue model. The company remains competitively entrenched, produces strong free cash flow, and has a strong balance sheet.”