Top 10 Stocks to Buy According to Eagle Capital Management

3. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Holders as of Q4: 262

Eagle Capital Management’s Equity Stake: $1.81 Billion 

Meta Platforms, Inc. (NASDAQ:META) delivered exceptional Q4 2024 financial results, with revenue soaring 21% year-over-year to $48.4 billion, surpassing Wall Street’s estimate of $47 billion. Earnings per share (EPS) surged 50% to $8.02, exceeding the projected $6.76, which instantly drove Meta’s stock up nearly 9%. The company’s digital advertising division remains its core revenue driver, benefiting from advanced artificial intelligence (AI) tools that enhance ad targeting and content recommendations. These AI-driven enhancements have strengthened Meta Platforms, Inc. (NASDAQ:META)’s market position, allowing it to outperform competitors and capture greater advertising expenditure.

Meta Platforms, Inc. (NASDAQ:META)’s dominance in digital advertising is fueled by its AI-powered solutions, which contributed to a 22% revenue increase in 2024—twice the industry’s growth rate. AI-driven improvements in ad targeting and campaign efficiency led to a 32% rise in advertiser return on investment (ROI) and a 17% reduction in customer acquisition costs. With advertiser adoption of Meta’s AI solutions quadrupling in just six months and ad prices increasing by 14% in Q4, the company is poised for sustained growth. As it continues to develop innovations such as AI-generated video content and with the digital advertising market projected to reach $513 billion by 2027, Meta is well-positioned to capitalize on these trends.

By the end of Q4 2024, Eagle Capital Management held over 3.1 million shares valued at approximately $1.82 billion, making Meta the third-largest investment in Boykin Curry’s portfolio. Institutional confidence in Meta Platforms, Inc. (NASDAQ:META) has hence grown significantly, reflecting strong investor optimism about its long-term potential. Hedge fund interest has also surged, with 262 funds tracked by Insider Monkey holding stakes worth almost $59.38 billion in Q4 2024, up from 235 funds in the previous quarter. This increasing institutional backing reinforces the company’s growth trajectory, supported by its AI advancements, expanding market share, and dominant presence in the social media and digital advertising industries. With its robust financial performance and continuous innovation, Meta remains a compelling stock for investors seeking exposure to high-growth technology and AI-driven markets.