Montaka Increased its Position in Alphabet (GOOG) in Q4

Montaka Global Investments, an investment management company, released its fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. All of the companies in Motaka’s portfolio have significant and growing competitive advantages, which aligns with the firm’s investment strategy. All of them are situated within advantageous tailwinds and structural changes. Furthermore, they continue to be substantially undervalued despite recent great stock price performance. Montaka’s investee companies account for 75% of Montaka’s total portfolio and yearly portfolio turnover is roughly 25% (representing ~4 year holding period, on average). In addition, please check the fund’s top five holdings to know its best picks in 2024.

Montaka Global Investments highlighted stocks like Alphabet Inc. (NASDAQ:GOOG) in its Q4 2024 investor letter. Alphabet Inc. (NASDAQ:GOOG), the parent company of Google, offers various platforms and services operating through Google Services, Google Cloud, and Other Bets segments. The one-month return of Alphabet Inc. (NASDAQ:GOOG) was 1.49%, and its shares gained 30.19% of their value over the last 52 weeks.  On January 22, 2024, Alphabet Inc. (NASDAQ:GOOG) stock closed at $200.03 per share with a market capitalization of $2.437 trillion.

Montaka Global Investments stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its Q4 2024 investor letter:

“While the bulk of Montaka’s portfolio exposures continued to remain relatively stable over the December quarter, we did undertake some modest hands-on portfolio management in the tail-end of the portfolio.

We exited three of Montaka’s smallest portfolio names. While we see long-term upside in all of these names, we see more upside elsewhere. Hence, we reallocated these proceeds to (i) scale up Montaka’s investment in Alphabet Inc. (NASDAQ:GOOG) on increased probabilities that its advantages in Google Search are strengthening (not to mention the group’s numerous growth options increasing in probability – from YouTube, to Waymo, and even quantum computing); and (ii) to establish an initial ‘outlier’ position in database software provider, MongoDB (MDB).”

Is Alphabet Inc. (GOOGL) The Best Cash App Stock To Buy According to Hedge Funds?

A user’s hands typing a search query into a Google Search box, emphasizing the company’s search capabilities.

Alphabet Inc. (NASDAQ:GOOG) is in 7th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 160 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOG) at the end of the third quarter which was 165 in the previous quarter. While we acknowledge the potential of Alphabet Inc. (NASDAQ:GOOG) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

In another article, we discussed Alphabet Inc. (NASDAQ:GOOG) and shared the list of most important AI stocks according to BlackRock. Alphabet Inc. (NASDAQ:GOOG) was one of the material contributors to the performance of Vulcan Value Partners during Q4 2024. In addition, please check out our hedge fund investor letters Q3 2024 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.