We recently published a list of Israel Englander’s Stock Portfolio: Top 10 Stocks to Invest in. In this article, we are going to take a look at where Meta Platforms, Inc. (NASDAQ:META) stands against other stocks to invest in from Israel Englander’s portfolio.
Millennium Management is a globally recognized investment firm specializing in multi-strategy hedge fund offerings. Founded in 1989, the firm has established itself as one of the largest alternative asset management firms. With headquarters in New York, Millennium Management has expanded its operations across North America, Europe, and Asia, with 18 primary offices in financial hubs such as London, Dubai, Singapore, and Tokyo. The firm employs a platform-based investment approach, consisting of approximately 330 investment teams operating under a decentralized model. These teams deploy diverse strategies across various asset classes, including equities, fixed income, commodities, and derivatives. Millennium’s core strategies encompass fundamental equity research, equity arbitrage, macroeconomic-driven fixed-income investments, and commodity-based trades. By leveraging a data-driven and diversified approach, the firm seeks to generate consistent, high-quality returns for its investors while effectively managing risk across global markets.
Millennium was co-founded by Israel A. Englander and Ronald Shear, both of whom had extensive experience in the American Stock Exchange (AMEX). The firm initially launched with $35 million in capital, with Englander contributing $5 million and securing additional investment from Canadian financiers, the Belzberg brothers. However, the firm faced early struggles, leading to Shear’s departure just six months after its inception. Despite these challenges, Millennium Management evolved into a powerhouse in the hedge fund industry, consistently ranking among the top-performing firms. Over the years, Millennium has adopted an institutionalized structure, attracting seasoned executives such as Bobby Jain, who served as co-CIO alongside Englander until his departure in 2023. By implementing a disciplined risk management framework and continuously refining its investment strategies, Millennium has remained at the forefront of alternative asset management.
Israel Englander, the driving force behind Millennium, has built a reputation as one of the most successful hedge fund managers in modern finance. A graduate of New York University, Englander pursued an MBA before leaving early to trade at AMEX, where he gained valuable experience in market-making and derivatives trading. His expertise and strategic vision enabled Millennium to grow rapidly, managing approximately $13 billion in assets by 2011. In recent years, Englander has explored opportunities to sell a minority stake in the firm, signaling a shift towards institutional ownership. His approach to hedge fund management prioritizes capital allocation to specialized teams rather than making direct investment decisions himself. This model has allowed Millennium to maintain a highly competitive edge, attracting top talent and fostering a dynamic investment environment.
Millennium’s outstanding performance has positioned it as one of the most successful hedge funds globally. As of Q4 2024, the firm reported $204.64 billion in managed 13F securities, with its top ten holdings comprising 15.5% of its portfolio. Notably, Millennium has consistently ranked among the highest-grossing hedge funds, posting the fourth-largest net gains of any fund since its inception. Its commitment to risk-adjusted returns, diversification, and strategic innovation has earned it a strong reputation among institutional investors. With a proven track record, an expansive global presence, and a disciplined investment approach, Millennium Management continues to be a dominant force in the hedge fund industry.
Our Methodology
The stocks discussed below were picked from Millennium Management’s Q4 2024 13F filings. They are compiled in the ascending order of the hedge fund’s stake in them as of December 31, 2024. To assist readers with more context, we have included the hedge fund sentiment regarding each stock using data from 1,008 hedge funds tracked by Insider Monkey in the fourth quarter of 2024.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
Photo by Timothy Hales Bennett on Unsplash
Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Holders as of Q4: 262
Millennium Management’s Equity Stake: $1.50 Billion
Meta Platforms, Inc. (NASDAQ:META), formerly known as Facebook, is a leading multinational technology conglomerate based in Menlo Park, California. The company owns and operates major social media platforms, including Facebook, Instagram, Threads, and WhatsApp, alongside various digital services. In Q4 2024, the company reported exceptional financial results, with revenue rising 21% year-over-year to $48.4 billion, surpassing Wall Street’s forecast of $47 billion. Diluted earnings per share (EPS) saw an impressive 50% increase, reaching $8.02, well above the expected $6.76. This strong performance initially boosted Meta’s stock by nearly 9%, though some of those gains were later pared back. The company’s core digital advertising business remains a key driver of growth, while its advancements in artificial intelligence (AI), including AI-driven content recommendations and marketing tools, have further solidified its competitive position.
Investor confidence in Meta Platforms, Inc. (NASDAQ:META) continues to grow, with institutional interest in the stock surging. As of Q4 2024, Millennium Management held over 2.5 million META shares, valued at almost $1.50 billion, ranking it among Israel Englander’s top investment picks. Hedge fund interest in Meta has also increased, with 262 funds tracked by Insider Monkey holding stakes worth over $59.38 billion by the end of the fourth quarter, up from 235 funds in Q3. This heightened institutional backing reflects strong expectations for the company’s long-term growth, driven by its expanding AI capabilities and dominant presence in the social media and digital advertising markets.
Meta Platforms, Inc. (NASDAQ:META) is expanding its digital ad market share through AI-driven solutions, boosting 2024 revenue by 22%, double the industry’s growth rate. AI tools enhance ad targeting, creativity, and efficiency, increasing advertiser ROI by 32% and reducing acquisition costs by 17%. Advertiser adoption has quadrupled in six months, while ad prices rose 14% in Q4. With new AI innovations like video generation and a projected $513 billion digital ad market by 2027, Meta is poised for continued growth.
Overall, META ranks 2nd on our list of stocks to invest in from Israel Englander’s portfolio. While we acknowledge the potential for META as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than META but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
