Is it a Great Time to Add On to Your Meta (FB) Position?

Oakmark Funds, an investment management firm, published its “Oakmark Select Fund” first quarter 2022 investor letter – a copy of which can be seen here.  A decline of 6% was reported by the fund for the first quarter of 2022, compared to the S&P 500 Index, which declined 5% for the same period. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Oakmark Select Fund mentioned Meta Platforms, Inc. (NASDAQ:FB) and explained its insights for the company. Founded in 2004, Meta Platforms, Inc. (NASDAQ:FB)  is a Menlo Park, California-based multinational technology conglomerate with a $499.7 billion market capitalization. Meta Platforms, Inc. (NASDAQ:FB) delivered a -45.26% return since the beginning of the year, while its 12-month returns are down by -38.86%. The stock closed at $184.11 per share on April 22, 2022.

Here is what Cooper Investors Oakmark Select Fund has to say about Meta Platforms, Inc. (NASDAQ:FB) in its Q1 2022 investor letter:

“Meta Platforms (NASDAQ:FB) (-34%) was one of the most significant detractors in the first quarter. Meta reported a disappointing outlook for the first quarter of this year as well, but for different reasons. The company’s targeted advertising business has been negatively impacted by Apple’s (NASDAQ:AAPL) new privacy policies, and the franchise also appears to be maturing somewhat. The stock was pummeled on news that the first quarter of 2022 could see revenue growth in the 5-10% plus range. While most companies would kill for an outlook like that, Meta shareholders were accustomed to more. Now shares are valued as if the company won’t grow much at all going forward, which we believe is misguided. We sold put options to add to our economic exposure in Meta to take advantage of the price weakness.”

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Our calculations show that Meta Platforms, Inc. (NASDAQ:FB) ranks 3rd on our list of the 30 Most Popular Stocks Among Hedge Funds. Meta Platforms, Inc. (NASDAQ:FB) was in 224 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 248 funds in the previous quarter. Meta Platforms, Inc. (NASDAQ:FB) delivered a -39.27% return in the past 3 months.

In April 2022, we published an article that includes Meta Platforms, Inc. (NASDAQ:FB) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.