In this article, we discuss the 5 tech stocks to buy according to former VP Al Gore. You can skip our detailed analysis of Al Gore’s hedge fund and recent developments, and go directly to read 10 Tech Stocks to Buy According to Former VP Al Gore.
5. Palo Alto Networks, Inc. (NASDAQ:PANW)
Number of Hedge Fund Holders: 73
Generation Investment Management’s Stake Value: $773,377,000
Palo Alto Networks, Inc. (NASDAQ:PANW), an American tech and cybersecurity company, saw growth in the number of hedge funds having stakes in it. In Q3, 73 hedge funds tracked by Insider Monkey reported owning stakes in the company, up from 69 in the previous quarter. These stakes hold a consolidated value of roughly $5.9 billion.
Recently, Mizuho listed Palo Alto Networks, Inc. (NASDAQ:PANW) as one of its top picks for 2022 due to the company’s growing role in digital transformation. The firm set a $625 price target on the stock while maintaining a Buy rating on the shares. After reporting solid fiscal Q1 results, Palo Alto Networks, Inc. (NASDAQ:PANW) lifted its guidance for the fiscal year 2022 due to the growth in security demand. The company now expects revenue in the range of $5.35 billion to $5.4 billion.
Generation Investment Management started investing in Palo Alto Networks, Inc. (NASDAQ:PANW) during the first quarter of 2020. In Q3, the hedge fund holds a stake worth $773.3 million in the company, which accounted for 3.23% of Al Gore’s portfolio. As of the close of December 20, Palo Alto Networks, Inc. (NASDAQ:PANW) is up 50.2% for 2021.
4. Gartner, Inc. (NYSE:IT)
Number of Hedge Fund Holders: 33
Generation Investment Management’s Stake Value: $856,927,000
Gartner, Inc. (NYSE:IT) is an American technology research organization. The company reported solid Q3 earnings, posting revenue of $1.2 billion, up 20.6% from the prior-year quarter. In the past two years, Gartner, Inc. (NYSE:IT) has beaten revenue estimates 100% of the time.
Generation Investment Management holds 2.8 million shares in Gartner, Inc. (NYSE:IT) in Q3, worth roughly $857 million. The company constituted 3.56% of Al Gore’s portfolio. Appreciating the company’s strong organic growth and Q3 earnings beat, both Baird and BMO Capital raised their price targets on Gartner, Inc. (NYSE:IT) to $375 and $339, respectively.
As of Q3 2021, 33 hedge funds in Insider Monkey’s database held stakes in Gartner, Inc. (NYSE:IT), down from 39 in the previous quarter. These stakes hold a value of over $2 billion. Apart from Generation Investments, Alkeon Capital Management was also one of the company’s most prominent shareholders in Q3, owning over 1.2 million shares.
Saturna Capital mentioned Gartner, Inc. (NYSE:IT) in its recently-published Q3 2021 investor letter. Here is what the firm has to say:
“Gartner has had a tremendous year, appreciating just shy of 90% through the first three quarters. Gartner provides IT research and advisory services, and the resumption of business activity has been a boon to its business. While the Delta variant continues to affect in-person events, investors are looking ahead to a resumption of its conference business as well.”
3. Cisco Systems, Inc. (NASDAQ:CSCO)
Number of Hedge Fund Holders: 63
Generation Investment Management’s Stake Value: $1,041,232,000
Cisco Systems, Inc. (NASDAQ:CSCO) was the fifth-largest holding of Generation Investment Management in Q3, as the hedge fund holds shares worth over $1 billion in the company. Cisco Systems, Inc. (NASDAQ:CSCO) constituted 4.32% of Al Gore’s portfolio.
As per Insider Monkey’s data for Q3, 63 hedge funds were bullish on Cisco Systems, Inc. (NASDAQ:CSCO), up from 60 in the previous quarter. The stakes hold a consolidated value of roughly $4 billion.
In fiscal Q1 2022, Cisco Systems, Inc. (NASDAQ:CSCO) posted an EPS of $0.82, beating consensus by $0.02. The company earned $12.9 billion in revenues, up 8.1% from the same period last year. Moreover, Cisco Systems, Inc. (NASDAQ:CSCO)’ annualized recurring revenue for the quarter stood at $21.6 billion, presenting a 10% year-over-year growth.
ClearBridge Investments mentioned Cisco Systems, Inc. (NASDAQ:CSCO) in its Q1 2021 investor letter. Here is what the firm has to say:
“Also in IT, we added Cisco Systems, which provides IT and networking services in the form of network security, software development and cloud computing. Cisco continues to derive over 50% of its sales from on-premise deployments of its products of enterprise and small and midsize customers, while recurring revenues from software are becoming a larger part of the mix. Return-to-office enterprise spending should offer upside to its core campus business. Cisco was an early technology leader in sustainability over two decades ago, through its Internet-connecting capabilities which supported live concerts in partnership with the United Nations Development Program to raise awareness and funds to fight poverty. Cisco has very strong environmental standards (including driving lower energy consumption in IT departments through new product innovations and a longstanding goal to reduce emissions and reliance on non-renewable energy sources). Its data privacy and supply chain management policies are best in class.”
2. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 242
Generation Investment Management’s Stake Value: $1,357,750,000
In Q3, Amazon.com, Inc. (NASDAQ:AMZN) accounted for 5.64% of Al Gore’s portfolio, representing shares worth $1.35 billion. Recently, UBS initiated its coverage on Amazon.com, Inc. (NASDAQ:AMZN) with a Buy rating and a $4,700 price target, highlighting the company’s importance in the U.S. internet sector. Since the beginning of the year, the stocks is up 4.69%, as of the close of December 20.
Ken Fisher’s Fisher Asset Management was one of the company’s largest shareholders in Q3, owning a stake worth $6.3 billion. Overall, of the 867 hedge funds tracked by Insider Monkey, 242 hedge funds held stakes in Amazon.com, Inc. (NASDAQ:AMZN) in Q3, down from 271 in the previous quarter. These stakes are valued at over $42.5 billion.
Davis Funds mentioned Amazon.com, Inc. (NASDAQ:AMZN) in its Q3 2021 investor letter. Here is what the firm has to say:
“E-commerce, online search and advertising, social media and software are another component of the portfolio that have proven, attractive businesses. The online portion of the Fund is currently dominated by such market leaders as Amazon.com. We are attracted to these names based on the size and rapid expansion of their market opportunities globally, their ability to generate and grow new revenue sources through constant innovation, ample operating leverage as they continue to scale and capable, focused, highly competitive leadership teams. If purchased at sensible prices, these types of businesses in our experience can contribute meaningfully to long-term results.”
1. Alphabet Inc. (NASDAQ:GOOG)
Number of Hedge Fund Holders: 156
Generation Investment Management’s Stake Value: $1,407,974,000
Alphabet Inc. (NASDAQ:GOOG) was the second-largest holding of Generation Investment Management in Q3 and represented 5.85% of the hedge fund’s 13F portfolio. The fund made its first investment in the company during the fourth quarter of 2018.
At the end of Q3 2021, 156 hedge funds tracked by Insider Monkey reported owning stakes in Alphabet Inc. (NASDAQ:GOOG), up from 155 in the previous quarter. The total value of these stakes is roughly $35 billion, compared with $33.7 billion in Q2.
Since the beginning of 2021, Alphabet Inc. (NASDAQ:GOOG) delivered a 64.1% return to shareholders, while the stock surged 63.05% in the past year, as of the close of December 20. Recently, Tigress Financial lifted its price target on Alphabet Inc. (NASDAQ:GOOG) to $3,540, with a Strong Buy rating on the shares, appreciating the company’s increased focus on artificial intelligence.
Saturna Capital mentioned Alphabet Inc. (NASDAQ:GOOG) in its Q3 2021 investor letter. Here is what the firm has to say:
“Alphabet was a new addition to the Fund this year, as we believed it important to have exposure to the top online media and advertising company in the world. Some have raised concerns surrounding Alphabet’s exposure to political interference, but we take comfort from the belief that were the company to be broken up, it would quite likely be worth even more than as a single entity.”
You can also take a look at 10 Best Tech Stocks To Buy Now According To Billionaire Laffont and 10 Best Tech Stocks to Buy According to Billionaire Ken Griffin
