Here’s Why Baron Opportunity Fund Trimmed its Position in Alphabet (GOOG)

Baron Funds, an investment management company, released its “Baron Opportunity Fund” fourth quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund declined 4.54% (Institutional Shares) compared to a 2.31% return for the Russell 3000 Growth Index and a 7.56% return for the S&P 500 Index. For the one-year period, the fund fell sharply trailing both indexes. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Baron Opportunity 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 February 28, 2023, Alphabet Inc. (NASDAQ:GOOG) stock closed at $90.30 per share. One-month return of Alphabet Inc. (NASDAQ:GOOG) was -10.97%, and its shares lost 32.99% of their value over the last 52 weeks. Alphabet Inc. (NASDAQ:GOOG) has a market capitalization of $1.155 trillion.

Baron Opportunity Fund made the following comment about Alphabet Inc. (NASDAQ:GOOG) in its Q4 2022 investor letter:

“Alphabet Inc. (NASDAQ:GOOG) remains the second largest position in the portfolio, and we continue to be positive on its growth opportunities with search, YouTube, and cloud computing, but we decided to slightly reduce the position size to fund other investments in software, semiconductors, and digital media, and because ChatGPT and/or similar AI-based services present a hard to measure risk to Google’s virtual search monopoly.”

Photo by Firmbee.com on Unsplash

Alphabet Inc. (NASDAQ:GOOG) is in 6th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 152 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOG) at the end of the fourth quarter which was 156 in the previous quarter.

We discussed Alphabet Inc. (NASDAQ:GOOG) in another article and shared the list of most profitable stocks of the last 20 years. 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.