Is it Time to Trim Your Meta Platforms (FB) Position?

Polen Capital, an investment management firm, published its “Polen Focus Growth” fourth quarter 2021 investor letter – a copy of which can be downloaded here. During the fourth quarter of 2021, the Polen Focus Growth Composite Portfolio (the “Portfolio”) returned 5.24% and 5.07% gross and net of fees, respectively. The Russell 1000 Growth Index (the “Index”) returned 11.64%, and the S&P 500 (the “S&P”) 11.03%.  Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Polen Focus Growth, in its Q4 2021 investor letter, mentioned Meta Platforms, Inc. (NASDAQ: FB) and discussed its stance on the firm. Meta Platforms, Inc. is a Menlo Park, California-based multinational technology conglomerate holding company with a $589.4 billion market capitalization. FB delivered a -35.62% return since the beginning of the year, while its 12-month returns are down by -20.85%. The stock closed at $216.54 per share on February 16, 2022.

Here is what Polen Focus Growth has to say about Meta Platforms, Inc. in its Q4 2021 investor letter:

“We trimmed our position in Meta Platforms (formerly Facebook), balancing the short-term growth headwinds with the long-term opportunity and relocating the proceeds to Amazon. In our view, Meta’s core family of apps (Facebook, Instagram, and WhatsApp) remain strong and well-positioned for future growth from social media advertising and increasingly e-commerce within Meta’s respective apps. That said, we believe Meta’s heavy investment and major push in strategy, capital deployment, and innovation are likely to keep Meta’s earnings growth below what we would have otherwise expected in the medium term.”

Photo by Timothy Hales Bennett on Unsplash

Our calculations show that Meta Platforms, Inc. (NASDAQ: FB) ranks 2nd on our list of the 30 Most Popular Stocks Among Hedge Funds. FB was in 248 hedge fund portfolios at the end of the third quarter of 2021, compared to 266 funds in the previous quarter. Meta Platforms, Inc. (NASDAQ: FB) delivered a -36.46% return in the past 3 months.

In February 2022, we also shared another hedge fund’s views on FB in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

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