Ruane, Cunniff & Goldfarb, an investment adviser managing Sequoia Fund, released its Q4 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund returned 8.81% compared to a 7.56% return for the S&P 500 Index. The fund returned -30.52% in 2022 compared to -18.11% for the index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.
Sequoia 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 March 20, 2023, Alphabet Inc. (NASDAQ:GOOG) stock closed at $101.93 per share. One-month return of Alphabet Inc. (NASDAQ:GOOG) was 10.73%, and its shares lost 27.34% of their value over the last 52 weeks. Alphabet Inc. (NASDAQ:GOOG) has a market capitalization of $1.301 trillion.
Sequoia Fund made the following comment about Alphabet Inc. (NASDAQ:GOOG) in its Q4 2022 investor letter:
“Alphabet Inc. (NASDAQ:GOOG)’s share price declined significantly this year, and the business results were undeniably mixed. For full-year 20 revenues are expected to be up approximately 10%, whereas EPS is expected to be down approximately 16% However when the business results are viewed over the past few years, the picture is anything but mixed. Versus 2019, Alphabet revenues and EPS are expected to have compounded at annual rates of approximately 21% and 24%, respectively. This a substantially bigger business than it was going into the pandemic.
As we all know, Google remains synonymous with search. Search advertising continues to grow at a double-digit rate driven by ongoing ecommerce penetration. The moats around Alphabet’s core business are wide and numerous. They include Google Chrome, which has a roughly 65% share in browsers, Android, which has a roughly 75% share in smartphones; and a variety of products and services-including Gmail, Maps, Chromebooks, Google Docs, and more-that tie users into the company’s ecosystem.
Adjacent businesses YouTube and Google Cloud continue to grow and have substantial room to improve their margins. Other ventures like Waymo, Nest and Verily remain early stage, but boast strong technical foundations…” (Click here to read the full text)
Pixabay/Public Domain
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 best strong buy stocks to invest in. 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.
