In this piece, we will take a look at the 5 latest stock picks of Chinese billionaire Chen Tianqiao’s Shanda Asset Management. If you want to learn more about Mr. Chen and his firm then head on over to 9 Latest Stock Picks of Chinese Billionaire Chen Tianqiao’s Shanda Asset Management.
5. Joby Aviation, Inc. (NYSE:JOBY)
Shanda Asset Management’s Stake Value: $2.99 million
Percentage of Shanda Asset Management’s 13F Portfolio: 0.31%
Number of Hedge Fund Holders: 21
Joby Aviation, Inc. (NYSE:JOBY) is an American company headquartered in California. Like some of the other companies that are a part of Shanda Asset’s new stock picks, the company is developing electric vertical take-off and landing (eVTOL) aircraft. Joby Aviation, Inc. (NYSE:JOBY) is also known for its partnership with the ride-sharing company Uber, which has invested in it.
Joby Aviation, Inc. (NYSE:JOBY)’s GAAP EPS for its fiscal Q3 stood at -$0.20, with an operating income of -$55.9 million and $1.4 billion in cash and short-term investments. Morgan Stanley set a $16 price target for the company in September 2021, sharing that the eVTOL designer is a strong first mover in a $1 trillion market.
Mr. Chen’s hedge fund took a $2.9 million stake in Joby Aviation, Inc. (NYSE:JOBY) shares during the third quarter of last year. This represented 0.3% of its portfolio and came through buying 298,000 shares. In Q3 2021, according to Insider Monkey’s research, 21 of 867 hedge funds had stakes in the eVTOL company.
4. Atea Pharmaceuticals, Inc. (NASDAQ:AVIR)
Shanda Asset Management’s Stake Value: $3.5 million
Percentage of Shanda Asset Management’s 13F Portfolio: 0.36%
Number of Hedge Fund Holders: 25
Atea Pharmaceuticals, Inc. (NASDAQ:AVIR) is an American pharmaceutical company whose products cover several diseases such as viral infections from the dengue virus and hepatitis C. It is also developing a treatment for the COVID-19 coronavirus.
As Q3 2021 came to an end, Mr. Chen’s Shanda Asset Management bought 100,000 Atea Pharmaceuticals, Inc. (NASDAQ:AVIR) shares. These were worth $3.5 million and represented 0.36% of its portfolio. During the same time period, 25 of the 867 hedge funds polled by Insider Monkey owned a stake in the pharmaceutical company.
Peter Kolchinsky’s RA Capital Management is Atea Pharmaceuticals, Inc. (NASDAQ:AVIR)’s largest investor through a $190 million stake via 5.4 million shares.
3. Intuitive Surgical, Inc. (NASDAQ:ISRG)
Shanda Asset Management’s Stake Value: $6.9 million
Percentage of Shanda Asset Management’s 13F Portfolio: 0.72%
Number of Hedge Fund Holders: 61
Intuitive Surgical, Inc. (NASDAQ:ISRG) is an American firm that sells surgical products in the country and globally. Its products allow medical professionals to practice their skills, conduct a variety of surgeries such as those involving the heart and gynecology, alongside augmented reality imaging products.
In its fiscal Q3, Intuitive Surgical, Inc. (NASDAQ:ISRG) brought in $1.4 billion in revenue and $1.19 in non-GAAP EPS, beating analyst estimates for both. UBS raised its price target to $352 from $323 in October 2021, sharing that supply chain constraints are not as serious as imagined.
Shanda Asset Management bought 21,000 Intuitive Surgical, Inc. (NASDAQ:ISRG) shares during the third quarter of last year. This enabled it to take a $6.9 million stake in the company which represented 0.72% of its portfolio. 61 of 867 hedge funds researched by Insider Monkey in Q3 2021 owned the company’s shares.
Wells Fargo raised the surgical equipment provider’s price target to $381 from $354 in October 2021, outlining that the strong quarterly earnings had merited the increase.
Intuitive Surgical, Inc. (NASDAQ:ISRG)’s largest investor is Ken Fisher’s Fisher Asset Management who owns 1.3 million shares worth $1.3 billion.
Ensemble Capital mentioned Intuitive Surgical, Inc. (NASDAQ:ISRG) in its Q1 2021 investor letter outlining that:
“Notable detractors to the Fund’s returns this quarter (included) Intuitive Surgical. Intuitive Surgical’s (6.3% weight in the Fund) growth slowed in 2020 as COVID hit the brakes on many elective surgeries. Given continued COVID-related risks in the US and Europe in 2021, it’s still unclear as to when elective surgeries recover to more normal levels. As such, hospitals may be holding off on planned surgical robot investments until demand rebounds. That said, in Asia, where COVID has been well contained, Intuitive Surgical’s procedures and systems utilizations improved, which bodes well for recovery in the US and EU. Most procedures can’t be delayed indefinitely or canceled, so we continue to expect a resumption of strong, durable growth as the pandemic recedes.”
2. New Oriental Education & Technology Group Inc. (NYSE:EDU)
Shanda Asset Management’s Stake Value: $7.6 million CALL Options
Percentage of Shanda Asset Management’s 13F Portfolio: 0.79%
Number of Hedge Fund Holders: 32
New Oriental Education & Technology Group Inc. (NYSE:EDU) is a Chinese private education provider. Its services include college and school education programs alongside entry test preparations.
Mr. Chen’s hedge fund bought 3.7 million call options for New Oriental Education & Technology Group Inc. (NYSE:EDU) during Q3 2021. These were worth $7.6 million and represented 0.79% of its portfolio. Out of 867 hedge funds part of Insider Monkey’s third-quarter 2021 research, 32 had owned New Oriental Education & Technology Group Inc. (NYSE:EDU)’s shares.
Jonathan Guo’s Yiheng Capital is New Oriental Education & Technology Group Inc. (NYSE:EDU)’s largest investor through owning 39 million shares worth $80 million.
New Oriental Education & Technology Group Inc. (NYSE:EDU) was mentioned by Polen Capital in its Q3 2021 investor letter. Polen, which exited its position, outlined that:
“The quarter’s leading detractors were Chinese companies that were impacted by the CCP’s regulatory crackdown and liquidity concerns at property developer Evergrande. New Oriental Education—the largest provider of private educational services in China—moved sharply lower in July after policymakers implemented new rules which effectively turned Chinese tutoring companies into non-profits. Looking at New Oriental Education, we closed our position as soon as government policy became clear and used the proceeds to allocate to existing holdings.
1. Uber Technologies, Inc. (NYSE:UBER)
Shanda Asset Management’s Stake Value: $35.8 million CALL Options
Percentage of Shanda Asset Management’s 13F Portfolio: 3.71%
Number of Hedge Fund Holders: 143
Uber Technologies, Inc. (NYSE:UBER) is an American company known for its ridesharing platform that kicked off the global interest in using consumer electronics and technology to connect drivers with riders. It operates through its smartphone application which aims to provide riders with conveniently sourced rides.
During Q3 2021, Shanda Asset Management bought 800,000 Uber Technologies, Inc. (NYSE:UBER)’s call options. These were worth $35.8 million and represented 3.71% of its portfolio. For the same time period, 143 of the 867 hedge funds polled by Insider Monkey owned a stake in the company.
In its Q3, Uber Technologies, Inc. (NYSE:UBER) earned $4.8 billion in revenue and -$1.28 in GAAP EPS, beating analyst revenue estimates and missing those for EPS. In November 2021, Stifel reduced the company’s price target from $58 to $55, outlining that recent circumstances merit a small reduction in estimates due to an unpredictable environment.
Uber Technologies, Inc. (NYSE:UBER)’s largest investor is Brad Gerstner’s Altimeter Capital Management who owns 24.5 million shares worth a cool $1 billion.
Uber Technologies, Inc. (NYSE:UBER) was mentioned by ClearBridge Investments in its Q2 2021 investor letter, which stated that:
“The pandemic has also brought attention to the question of gig worker employment status for companies, including ClearBridge holdings Uber and Lyft. In the U.K., Uber proactively classified its drivers as “workers” ahead of final rulings from the British court system. The worker status in the U.K. is a designation between self-employed and employed status that entitles drivers to minimum wage, holiday pay and in some cases a pension.
ClearBridge has engaged with Uber on labor issues since its IPO, and we have given feedback over that time to the CEO, CFO, Chief Legal Officer and Investor Relations on labor relations as well as strategy and communications. Uber’s agreement on this designation is ahead of other competitors in the market and the legal mandate represents a step forward in the company’s thinking about labor. The agreement represents a short-term hit to earnings, yet in some ways it places Uber ahead of the market in its ability to balance labor and shareholder interests. Workers benefit from improved conditions, with new contributions amounting to roughly 3% of a driver’s earnings, while Uber establishes more certainty on costs and visibility into its regulatory environment and operation conditions in the future.”
You can also take a peek at the 14 Stocks to Buy According to Daniel Kim’s Blackcrane Capital and 10 Best High Risk Stocks to Buy Right Now.
