From Nasdaq: 2024-04-14 14:50:00

Dan Loeb, founder of hedge fund Third Point with $11.5 billion AUM, sold Microsoft shares but added a new position in Amazon in Q4 2023. He also increased Third Point’s stake in Meta Platforms by 5.5%. Meta’s Q4 profits tripled, and stock rose 45% since 2023. Loeb’s moves show potential profit-taking and confidence in Meta’s profitability.

Loeb’s history with Meta includes owning and exiting shares in the past, with recent purchases in Q2 2020 and Q3 2023. Meta’s focus on profitability led to a more than tripled earnings in Q4 2023. Despite Meta stock rise, Loeb’s trimming of Amazon and Microsoft positions may indicate a diversification strategy for Third Point’s portfolio.

While Loeb’s increase in Meta stock shows potential gains, Amazon and Microsoft have also seen double-digit growth. Despite possible missed opportunities to earn more from these stocks, diversifying Third Point’s holdings may prove beneficial in the long run. Amazon, Microsoft, and Meta are positioned for long-term success due to AI and profitability initiatives.

The Motley Fool Stock Advisor advises against buying Meta Platforms, with ten alternative stocks for potential high returns. Stock Advisor provides guidance and stock picks, tripling the returns of S&P 500 since 2002. John Mackey and Randi Zuckerberg are board members, with the Motley Fool having positions in Amazon, Meta Platforms, and Microsoft. The Motley Fool recommends these stocks and certain options.

Disclaimer: The author Keith Speights has positions in Amazon, Meta Platforms, and Microsoft. The Motley Fool may have positions in and recommend Amazon, Meta Platforms, and Microsoft, with a disclosure policy. Views expressed here are the author’s and do not necessarily reflect those of Nasdaq, Inc.



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