In this article, we discuss the 5 technology stocks to buy now according to Stanley Druckenmiller. If you want to read about some more stocks in the Druckenmiller portfolio, go directly to 10 Technology Stocks to Buy Now According to Stanley Druckenmiller.
5. Palo Alto Networks, Inc. (NYSE:PANW)
Number of Hedge Fund Holders: 73
Palo Alto Networks, Inc. (NYSE:PANW) provides cybersecurity solutions. On March 25, RBC Capital analyst Matthew Hedberg kept an Outperform rating on the stock and raised the price target to $710 from $670, noting that the stock was a “top idea” based on “durable” double-digit top-line growth with improving margins. The analyst also appreciated the demand environment for the company in general and lauded the fast growing NGS business in addition to the durable FWaaS business.
Latest 13F filings show that Duquesne Capital owned 229,500 shares of Palo Alto Networks, Inc. (NYSE:PANW) at the end of the fourth quarter of 2021 worth more than $127 million, representing 4.63% of the portfolio. The fund slashed its stake in the firm by 43% in the fourth quarter compared to third quarter data.
Among the hedge funds being tracked by Insider Monkey, London-based firm Generation Investment Management is a leading shareholder in Palo Alto Networks, Inc. (NYSE:PANW) with 976,997 shares worth more than $543 million.
4. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 279
Amazon.com, Inc. (NASDAQ:AMZN) is a diversified technology firm with core interests in ecommerce. Securities filings show that the hedge fund led by Druckenmiller owned 56,882 shares of the company at the end of the fourth quarter of 2021 worth more than $189 million, representing 6.87% of the portfolio. The fund decreased its stake in the firm by 42% between October and December compared to third quarter filings. The firm has featured in the Druckenmiller portfolio consistently since early 2017.
On March 25, Evercore ISI analyst Mark Mahaney maintained an Outperform rating on Amazon.com, Inc. (NASDAQ:AMZN) stock with a price target of $4,300, identifying the stock as the “number one mega cap internet long idea” and noting that the market was underappreciating opportunities such as “shipping elasticity, brand advertising revenue, and grocery” in relation to the stock.
Among the hedge funds being tracked by Insider Monkey, London-based investment firm Citadel Investment Group is a leading shareholder in Amazon.com, Inc. (NASDAQ:AMZN) with 4.1 million shares worth more than $13 billion.
In its Q4 2021 investor letter, Mercator International, an asset management firm, highlighted a few stocks and Amazon.com, Inc. (NASDAQ:AMZN) was one of them. Here is what the fund said:
“Transformative technologies often generate euphoria. People are excited by the big new thing that is changing the world. We saw this pattern with the boom of westward canal transportation at the dawn of the nineteenth century. Railway stocks similarly attracted large numbers of eager investors a few decades later. Then came the electrification of America, the telephone, and the automobile industry, to name just a few transformative technologies.
The initial euphoric phase always ends with a reality check. Valuations come back to earth. At the end of the cycle, only a few companies remain standing. A shakeout has a way of clarifying the field of opportunities.
For example, readers may recall that when the internet bubble burst two decades ago, Amazon.com, Inc. (NASDAQ:AMZN) stock suffered greatly but pet.com was gone. For those investors who had stayed on the sidelines, this was an excellent time to buy Amazon.com, Inc. (NASDAQ:AMZN). The company’s business model had shown its merits and competition was rapidly shrinking. The stock price was now also much more attractive.”
3. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 262
Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. The company is one of the biggest players in the professional workspace software, cloud computing, and gaming domains. In a volatile market, it is also one of the few tech players with a reliable dividend history stretching back almost two decades. In mid-March, the firm declared a quarterly dividend of $0.62 per share, in line with previous. The forward yield was 0.9%. The dividend is payable to shareholders by late May and early June.
Regulatory filings reveal that the investment firm of Druckenmiller owned 800,490 shares of Microsoft Corporation (NASDAQ:MSFT) at the end of the fourth quarter of 2021 worth $269 million, representing 9.76% of the portfolio.
Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in Microsoft Corporation (NASDAQ:MSFT) with 26 million shares worth more than $9 billion.
In its Q4 2021 investor letter, ClearBridge Investments, an investment management firm, highlighted a few stocks and Microsoft Corporation (NASDAQ:MSFT) was one of them. Here is what the fund said:
“Despite these mixed emerging growth results, the ClearBridge Global Growth Strategy outperformed the benchmark due to resilience among our secular and structural growth holdings. The bulk of these contributions came from U.S. mega-cap growth stocks Apple and Microsoft Corporation (NASDAQ:MSFT) which continued to uniquely act both offensively and defensively as they have through most of the pandemic.”
2. Alphabet Inc. (NASDAQ:GOOG)
Number of Hedge Fund Holders: 158
Alphabet Inc. (NASDAQ:GOOG) is a California-based technology firm. Latest data shows that Duquesne Capital owned 94,414 shares of the firm at the end of the fourth quarter of 2021 worth more than $273 million, representing 9.91% of the portfolio. The fund slashed its position in the company by 20% between October and December compared to third quarter filings. The company has been a constant feature in the Druckenmiller portfolio, with minor exceptions, since late 2015.
On April 13, Alphabet Inc. (NASDAQ:GOOG) announced that it would be investing at least $9.5 billion across offices and data centers in the United States in 2022, up from $7 billion in 2021. The investment will create 12,000 full-time jobs this year, per the firm.
Among the hedge funds being tracked by Insider Monkey, London-based investment firm TCI Fund Management is a leading shareholder in Alphabet Inc. (NASDAQ:GOOG) with 2.9 million shares worth more than $8.5 billion.
In its Q4 2021 investor letter, Vulcan Value Partners, an asset management firm, highlighted a few stocks and Alphabet Inc. (NASDAQ:GOOG) was one of them. Here is what the fund said:
“In contrast, we made a different kind of mistake about a decade ago. Google, now Alphabet Inc. (NASDAQ:GOOG), performed very well for us while we owned it. The company kept outperforming our assumptions and we kept lowering them to be conservative. “Trees do not grow to the sky.” The stock kept going up and our value grew but did not keep pace with the stock. It hit our estimate of fair value and we sold it with a nice gain, patting ourselves on the back. We kept following the company and what they actually did over the next several years was roughly double the assumptions we used to value it. Therefore, our value was too conservative, and we sold it too cheaply, missing many years of compounding. Fortunately, we experienced some volatility several years ago that allowed us to purchase Alphabet Inc. (NASDAQ:GOOG) (Google) again with a margin of safety.”
1. Coupang, Inc. (NYSE:CPNG)
Number of Hedge Fund Holders: 29
Coupang, Inc. (NYSE:CPNG) is a South Korea-based ecommerce firm. The company has been in the Druckenmiller portfolio since the first quarter of 2021. The fund has steadily increased the initial stake it bought in the company, adding to it up 47%, 14%, and 15% in the subsequent quarters. The initial stake comprised just a little over 10.5 million shares purchased at an average price of $46.22. The shares have lost value in the past twelve months, dropping by about 63%.
According to the latest filings, the hedge fund chaired by Druckenmiller owned more than 17.7 million shares of Coupang, Inc. (NYSE:CPNG) at the end of the fourth quarter of 2021 worth $521 million, representing 18.92% of the portfolio.
Among the hedge funds being tracked by Insider Monkey, California-based investment firm Greenoaks Capital is a leading shareholder in Coupang, Inc. (NYSE:CPNG) with 115 million shares worth more than $3.4 billion.
You can also take a peek at 10 Best Stocks to Buy According to Warren Buffett and 11 Biotech Stocks Popular On Reddit.
