Top 5 Stock Picks of Terry Smith’s Fundsmith LLP

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1. PayPal Holdings, Inc. (NASDAQ:PYPL)

Fundsmith LLP Stake Value: $3.6 billion

Percentage of Fundsmith LLP’s 13F Portfolio: 9.92%

No. of Hedge Fund Holders: 143

Ranked first on the list of top 10 stock picks of Terry Smith’s Fundsmith LLP is PayPal Holdings, Inc. (NASDAQ: PYPL). The company, headquartered in San Jose, California, is a digital payments and technology platform firm that enables users to make digital and mobile payments.The company has a market cap of $297 billion. In the second quarter of 2021, PayPal Holdings, Inc. (NASDAQ:PYPL) reported an EPS of $1.15, beating estimates by $0.03. The company’s revenue in the second quarter came in at $6.24 billion, an increase of 18.6% year over year, and missed revenue estimates by $30 million.

On July 29, investment advisory Morgan Stanley kept an Overweight rating on PayPal Holdings, Inc. (NASDAQ: PYPL) stock and increased its price target $340 from $337, appreciating positive future growth of the company.

Smith’s Fundsmith LLP decreased stake in PayPal Holdings, Inc. (NASDAQ:PYPL) by 1% during the second quarter of 2021 compared to the first quarter. At the end of the second quarter of 2021, 143 hedge funds in the database of Insider Monkey held stakes worth $16 billion in PayPal Holdings, Inc. (NASDAQ:PYPL), same as the preceding quarter worth $14 billion.

Harding Loevner, an investment management firm, published its Q2 2021 investor letter and mentioned PayPal Holdings, Inc. (NASDAQ: PYPL). Here is what Harding Loevner has to say about the company:

“Digital payments provider PayPal announced strong first-quarter results (with transactions up by over a third) and more product enhancements for its suite of products (including Venmo, Honey, and Braintree) as it continues to deepen its transformation from a digital wallet into a “super-app.”

You can also take a peek at the 10 Penny Stocks Redditors are Buying in August and 10 Best Small-Cap Stocks to Buy According to Hedge Funds.

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