Billionaire venture capitalist Jim Breyer said he is buying the dip in Microsoft, a conviction bet for him for the long term.
“I’m buying a little bit. If we take a company like Microsoft on weakness, I will continue to buy; I will continue to add and hold for years,” Breyer said in an interview with CNBC’s Sarah Eisen at the World Economic Forum in Davos, Switzerland, on Wednesday.
“What we really need is conscious leadership. Leadership that can understand left brain, right brain and this new set of challenges coming out of Covid.”
Breyer is the founder and CEO of Breyer Capital, a venture capital firm based in Menlo Park, California. He also revealed he’s been buying shares of Blackstone, where he’s a board member, Apple and Alphabet during the recent tech rout.
“Those are the public tech stocks that I believe not only have an attractive current model but they are leaders in AI and quantum,” Breyer said.
The technology sector has been hit hard this year as rising interest rates work to slow the economy and can make tech companies’ future cash flows less valuable. The tech-heavy Nasdaq Composite is down more than 27% year to date and off 30% from its record high, reached last November.
Microsoft shares have sold off 22% in 2022, while Apple and Alphabet are down 23% and 27%, respectively, this year.
On Meta Platforms, Breyer said while he believes in Mark Zuckerberg’s vision, the company is entering a new virtual, augmented reality space that’s already become increasingly competitive.
“Meta is going through a change that’s quite significant. Never ever bet against Mark Zuckerberg,” Breyer said. “With the Metaverse, Facebook is going to do well, but Microsoft already is doing well.”