This $40 Billion Hedge Fund Loves These 5 Stocks

1. Microsoft Corporation (NASDAQ:MSFT)

Fundsmith’s stake value: $4.37 billion

Percentage of Fundsmith’s portfolio: 10.67%

Number of hedge fund holders: 262

The hedge fund’s strategy of holding a large stake in Microsoft Corporation (NASDAQ:MSFT) contributed significantly to its returns. It was among the largest contributor to Fundsmith’s returns in 2021. Over the years shareholders of the technology giant are enjoying steady share price gains and healthy dividend growth. The company has generated double-digit growth in revenue and earnings in 2021 and expects to extend the trend into the coming years. 

In the fourth quarter investor letter, Motiwala Capital, an investment management firm, mentioned a few stocks including Microsoft Corporation. Here is what Motiwala Capital stated:

“Microsoft (NASDAQ:MSFT) re-enters our portfolio after a long gap. MSFT sells enterprise and consumer software products as well as hardware products such as the Xbox video game console and Surface laptops. All business segments experienced double-digit revenue growth and earnings per share have compounded in the mid-double digits over the last 5 years. We believe MSFT continues this momentum in the years ahead.”

You can also take a look at 10 Monthly Dividend Stocks to Buy in April and 10 Consumer Technology Stocks to Invest In According to Ken Fisher

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