1. Meta Platforms (META) – A Prominent Gainer
One of the standout winners of the previous year was Facebook parent company, Meta Platforms. The stock experienced an impressive surge, nearly tripling in value and soaring by 194%. Although Facebook’s renaming to Meta last year forayed into the metaverse concept, its aspirations have yet to be fully realized. Nevertheless, its suite of apps, including Facebook, Instagram, and WhatsApp, continues to command a staggering 3.96 million monthly active users.
Meta Platforms reported impressive performance in its latest quarter, with revenue surging 21% to an astonishing $34.2 billion in constant currency. The primary driver behind this growth was a substantial 31% increase in ad impressions across its platforms, despite a minor 6% dip in average revenue per ad.
Despite the stock’s significant rally since its late 2022 low point, Wood remains optimistic about its future prospects. Citi analyst Ronald Josey has raised the stock’s price target from $425 to $440, affirming a bullish buy rating. Josey believes that the online advertising market strengthened in the fourth quarter, setting the stage for Meta’s upcoming financial update. Citing successful monetization of Facebook’s Reels, promising new ad products, and strong user engagement, Citi has named the stock its top internet pick for 2024.
2. Recursion Pharmaceuticals (RXRX) – A Growing Interest
A company that has caught Wood’s attention recently is Recursion Pharmaceuticals. Tracking Wood’s daily market transactions reveals her increasing favor towards the stock, as she has been progressively adding to her position for 12 consecutive trading days up until this Wednesday. Unlike Meta, which boasts household recognition and a market cap surpassing $1 trillion, Recursion is a smaller player with a market cap of $2.2 billion.
Recursion Pharmaceuticals offers an innovative operating system utilizing machine learning algorithms and searchable biology and chemistry relationships. This system aims to accelerate the development of potential treatments. Although the company’s trailing revenue is a modest $47 million, profitability remains several years away. However, Recursion has been actively striking partnerships to expand the reach of its Recursion OS platform and strengthen its artificial intelligence aspirations. With her recent purchases, Wood now owns over 10% of Recursion’s outstanding shares.
3. Ginkgo Bioworks (DNA) – Embracing the Biotech Space
Wood’s portfolio includes several acquisitions in the biotech sector. One such stock is Ginkgo Bioworks, a specialist in biosecurity and biofoundry. While the company’s recent financial performance was a mixed bag, it provided reassurance to investors by announcing its preliminary financial results for fiscal year 2023.
Ginkgo Bioworks anticipates reporting revenue between $250 million and $260 million for the entirety of last year, based on preliminary unaudited estimates. Wood’s holdings in the company now constitute nearly 11% of its outstanding shares.