Billionaire Stephen Mandel's Largest Holding Is Down 15% From Its All-Time Highs. Is It a Buy for 2026?

• The marketplace doesn't similar Meta Platforms' spending plans.

• But Meta's basal concern is operating astatine a precocious level.

• And its investments successful artificial quality could wage off.

• 10 stocks we similar amended than Meta Platforms ›

Investors person entree to each sorts of data, including the holdings that billionaire hedge money managers have.

At the extremity of each quarter, immoderate wealth manager with greater than $100 cardinal successful assets indispensable disclose their holdings to the Securities and Exchange Commission (SEC) successful a Form 13F, and that database is past made disposable to the nationalist 45 days later. So, immoderate accusation we person astir these funds is arsenic of Sept. 30, but it tin inactive supply invaluable insights, particularly if thing notable happened betwixt present and then.

One billionaire I travel is Stephen Mandel, the manager of Lone Pine Capital Holdings. He has a important involvement successful a notable large tech company, Meta Platforms (NASDAQ: META). As of Sept. 30, 7.1% of his full portfolio was successful Meta's banal -- the largest presumption helium holds. That's important due to the fact that Meta has performed poorly since Sept. 30 and is down astir 10%. While this whitethorn interest immoderate investors, Mandel could beryllium scooping up shares owed to the market's short-term pessimism.

A bargain from Mandel could awesome investors that Meta is simply a astute bargain now, but we won't cognize astir it until astir March 15. Should you scoop up shares of Mandel's largest holding earlier we cognize for definite that helium did? Let's spot if the reward is greater than the risk.

Meta Platforms is the genitor institution of societal media platforms including Facebook, Instagram, Threads, and WhatsApp. Nearly each of its gross comes from advertizing connected these platforms, which tin beryllium a boom-and-bust industry. Right now, the advertisement manufacture is beardown due to the fact that the economical outlook is solid. If the economical outlook weakens, advertizing spending is the archetypal spot companies propulsion backmost on, which harms Meta's business.

Meta's CEO and founder, Mark Zuckerberg, is ever looking for the adjacent large happening and isn't acrophobic to walk superior superior to find it. A fewer years ago, helium thought it was the metaverse, which prompted the company's sanction alteration from Facebook. Now, helium seems to beryllium fixated connected generative artificial quality (AI) and the assorted signifier factors to bring it from the machine surface to mundane interactions.

The astir prevalent spot wherever Meta is processing this is successful its glasses, arsenic it thinks it tin bring a merchandise to marketplace that provides generative AI capabilities for real-world situations. Meta is presently spending a batch to make these glasses, though that could beryllium shifting.