Vltava Fund, an investment management company, recently released its fourth-quarter 2022 investor letter. A copy of the same can be downloaded here. Last year, market faced a few shocks together, and the global stock market fell more than 17% as measured by the MSCI World index, and the S&P 500 index fell more than 19%. However, the fund performed significantly better than its benchmark. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.
Vltava Fund highlighted stocks like Alphabet Inc. (NASDAQ:GOOG) in the Q4 2022 investor letter. Headquartered in Mountain View, California, Alphabet Inc. (NASDAQ:GOOG) is a multinational technology company. On January 3, 2023, Alphabet Inc. (NASDAQ:GOOG) stock closed at $89.70 per share. One-month return of Alphabet Inc. (NASDAQ:GOOG) was -5.73%, and its shares lost 34.84% of their value over the last 52 weeks. Alphabet Inc. (NASDAQ:GOOG) has a market capitalization of $1.158 trillion.
Vltava Fund made the following comment about Alphabet Inc. (NASDAQ:GOOG) in its Q4 2022 investor letter:
“Alphabet Inc. (NASDAQ:GOOG) (formerly Google, GOOG) probably needs no special introduction. It dominates the global online search market and has a number of other valuable businesses (YouTube, Maps, Gmail, Chrome, Google Play, Android OS, Google Cloud, Waymo, etc.) Why GOOG and why right now? The technology sector had been dominating the US market for several years up until the close of 2020. Since then, the sector has been under greater selling pressure. (The Nasdaq index, with its large representation of technology stocks, fell by 33% last year.) We are following it very closely, waiting to see if anything emerges that is attractive to buy. Most stocks, however, seem either uninteresting or still expensive to us. The only stock that has slipped through our screen so far is Alphabet. It’s a quality business, no question about it. When the price fell to $90, we cautiously started buying. It’s not yet a price that makes a buyer jump for joy, but it’s a reasonable price for a solid company. We see a lot of future potential (perhaps somewhat paradoxically) in trimming the corporate fat that the company has packed on over the past few years. When revenues were growing rapidly, this could have been hidden, but now it’s proving to be a problem. Costs are rising too fast, the company apparently has too many employees and too many overpaid employees, and it has some other segments, like the socalled “other bets”, that have swallowed up tens of billions of dollars and still produce virtually no sales. Management seems to be realising this and if they start running the company with much greater emphasis on efficiency, then maybe we will add some more to this position.”
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Alphabet Inc. (NASDAQ:GOOG) is in 6th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 156 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOG) at the end of the third quarter, which was 153 in the previous quarter.
We discussed Alphabet Inc. (NASDAQ:GOOG) in another article and shared the list of the most valuable silicon valley companies in the world. In addition, please check out our hedge fund investor letters Q4 2022 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
