Here’s Why Alphabet (GOOGL) Declined in Q3

Renaissance Investment Management, an investment management company, released its “Large Cap Growth Strategy” third quarter investor letter. A copy of the same can be downloaded here. In the third quarter, the strategy returned -3.46% (net) compared to a -3.60% return for the Russell 1000 Growth Index and -4.88% return for the S&P 500 Index. The focus on high-quality stocks led the strategy to outperform the indexes in the quarter. The Consumer Discretionary sector significantly contributed to the strategy’s performance while the Technology sector detracted from the performance. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Renaissance Investment highlighted stocks like Alphabet Inc. (NASDAQ:GOOGL) in its Q3 2022 investor letter. Headquartered in Mountain View, California, Alphabet Inc. (NASDAQ:GOOGL) is a multinational technology company. On December 27, 2022, Alphabet Inc. (NASDAQ:GOOGL) stock closed at $87.39 per share. One-month return of Alphabet Inc. (NASDAQ:GOOGL) was -13.47%, and its shares lost 40.41% of their value over the last 52 weeks. Alphabet Inc. (NASDAQ:GOOGL) has a market capitalization of $1.135 trillion.

Renaissance Investment made the following comment about Alphabet Inc. (NASDAQ:GOOGL) in its Q3 2022 investor letter:

“Lastly, Alphabet Inc. (NASDAQ:GOOGL) declined after reporting third quarter results that were better than feared, driven by upside in the company’s search segment and despite tough comparisons. The stock’s weakness was concentrated in the last month of the quarter after the Fed “non-pivot” caused a sell-off in high-multiple growth stocks.”

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Alphabet Inc. (NASDAQ:GOOGL) is in third position list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 196 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOGL) at the end of the third quarter, which was 191 in the previous quarter.

We discussed Alphabet Inc. (NASDAQ:GOOGL) in another article and shared the best digital transformation companies in the U.S. In addition, please check out our hedge fund investor letters Q3 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.