An investment management firm released its “Polen Global Growth Strategy” investor letter for the first quarter of 2023. The same file can be downloaded here. The fund’s net return for the first quarter was 11.37 percent, compared to 7.31 percent for the MSCI ACW Index.
First quarter global equity markets were volatile. In January, the market rewarded qualitative fundamentals, and in February, inflation and central bank policy fears reemerged. Nevertheless, despite the banking crisis, March again rewarded quality fundamentals. In addition, please review the top five holdings of the fund to determine its best choices for 2023.
In the investor letter for the first quarter of 2023, Polen Global Growth Strategy highlighted Microsoft Corporation (NASDAQ:MSFT). Microsoft Corporation (NASDAQ:MSFT), headquartered in Redmond, Washington, is a multinational software corporation that develops and licenses software, services, devices, and solutions.
Microsoft Corporation (NASDAQ:MSFT) stock closed at $281.77 per share on April 24, 2023. Microsoft Corporation (NASDAQ:MSFT) had a one-month return of 2.38 percent, and its shares increased in value by 4.27 percent over the past 52 weeks. Microsoft Corporation (NASDAQ:MSFT) has a $2,097 trillion market capitalization.
Polen Global Growth Strategy mentioned Microsoft Corporation (NASDAQ:MSFT) in its Q1 2023 investor letter:
“Microsoft Corporation (NASDAQ:MSFT)’s fundamentals have largely stayed intact despite the headwinds many technology companies are facing due to the macroeconomic environment. While growth has decelerated below our longer-term target (we expect low-double-digit revenue growth over the next 3-5 years), we believe the deceleration should prove to be ephemeral. Azure and Office Commercial remain bright spots, while Windows OEM has been and will continue to be a drag over the next few quarters. With respect to Azure, even at a decelerated rate, the business continues to grow well. After eight consecutive quarters of Azure’s top line growth being in the mid-to-high-40s range, over the last two quarters, growth has been 42% and 38%, respectively. Microsoft is a scaled business with multiple and interlocking competitive advantages, and we believe the company will compound at high rates for a long period of time.”
Microsoft Corporation (NASDAQ:MSFT) is the most popular stock among hedge funds on our list of the 30 most popular stocks. Microsoft Corporation (NASDAQ:MSFT) was held by 259 hedge fund portfolios at the end of the fourth quarter, down from 269 at the end of the previous quarter, according to our database.
In another article, we discussed Microsoft Corporation (NASDAQ:MSFT) and provided a list of the best securities for novice investors to purchase in 2023. In addition, please visit our page containing investor letters from hedge funds and other prominent investors for Q1 2023.