Billionaire Stephen Mandel’s 5 Must-Buy Tech Stocks

2. Workday, Inc. (NYSE:WDAY)

Value of Lone Pine Capital‘s 13F Position: $1.23 billion

Number of Hedge Fund Shareholders: 87

Workday, Inc. (NYSE:WDAY) was Stephen Mandel’s top tech stock pick at the end of 2021, but he trimmed his stake in Q1 by 12% to 5.12 million shares. Hedge funds love what Workday is doing, as their ownership stakes in the company have doubled over the last three years. The company was also ranked as one of the 30 Most Popular Stocks Among Hedge Funds in Q1.

Workday, Inc. (NYSE:WDAY) is yet another cloud-based software company that Stephen Mandel loves, and one whose shares have been hit hard this year, losing 45% of their value. Workday grew its subscription revenue by 23% in its fiscal Q1 and believes that it can maintain 20% growth over the longer-term as customers adopt more of its products.

The market seemed to take issue with Workday, Inc. (NYSE:WDAY) noting that some of its deals had to be pushed back to Q2, which could then cause a chain reaction that would delay projected Q2 deals from being completed until later in the year. The company did add several notable new customers in Q1, including Barclays, Callaway Golf and West Tennessee Healthcare. Management also noted that changing SEC disclosure regulations in regards to ESG standards are making its platform, which tracks and supports company’s ESG initiatives, a priority in boardrooms.